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Free AccessMNI BRIEF: Actual Pay Rise Higher Than Estimated - BOJ
Businesses have been more likely to reflect price rises in wages than previously, according to the full text of the BOJ’s April Outlook Report released Monday.
“Moves to reflect the recent price rises in wages have been clearly observed in the annual spring labor-management wage negotiations this year,” the report said.
A chart made by bank officials calculating estimation of base pay increases showed the actual base pay increase was predicted to be about 2%, much higher than the estimated base pay increase of about 1%.
“In considering the outlook for prices, with economic activity continuing to improve, it is necessary to carefully examine whether the cycle in which prices and wages push each other up will continue and whether the linkage between them will increase to a sufficient degree," the report added.
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