Uniqlo-owner Fast Retailing Co. will raise annual pay for its full-time employees in Japan by as much as 40%, the company said.
(Bloomberg) — Uniqlo-owner Fast Retailing Co. will raise annual pay for its full-time employees in Japan by as much as 40%, the company said.
The plan will affect staff at both the company’s headquarters and its stores, the retailer said in a statement Wednesday.
Companies in Japan facing the fastest pace of inflation in decades, forcing them to consider wage hikes to retain and motivate employees. Consumer prices in Tokyo outpaced forecasts to hit 4% for the first time since 1982, suggesting a strong underlying price trend.
Starting monthly salaries for university graduates will increase to ¥300,000 ($2,270) from ¥255,000, while salaries for new store managers will rise to ¥390,000 from ¥290,000. “For other employees, the company plans to increase annual salaries by as much as 40%,” the company said in the statement.
“Going forward, the new remuneration of each employee will be decided by globally aligned grade criteria” based on work performance and results, as well as ability to contribute to the business, Fast Retailing said.
More stories like this are available on bloomberg.com
©2023 Bloomberg L.P.