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Japan – Largest union federation to demand wage increase amid pandemic (The Japan Times)

20 November 2020

Japan’s biggest labour union, the Japanese Trade Union Confederation known as Rengo, said Covid-19 will not stop it demanding pay increases for its 7 million members, even after the worst year for corporate profits since the global financial crisis, reports The Japan Times. Rikio Kozu, head of Rengo, indicated in an interview Tuesday he’ll push for a 4% wage increase, including base pay, even though rising waves of the coronavirus are darkening the outlook for employers. “If we say wage growth is impossible this time because of Covid, then we’ll be totally neglecting our responsibility to the economy,” Kozu said. “There is a serious concern” that Japan could fall back into deflation without pay gains, Kozu added. Rengo demanded a 4% raise at wage talks this past spring, but secured an average gain of just 1.9%, the smallest bump in seven years. Japan reported a record of more than 2,000 new cases Wednesday, and the capital is preparing to raise the city’s virus alert to its highest level.