Toyota, which is the world’s largest manufacturer and also Japan’s biggest employer, said that during this year’s annual union talks, the asked wage increases were “surprisingly high.”
Senior Managing Officer Naoki Miyazaki said that Toyota would still wait until the negotiations are completed to officially say if it accepts the requests, while also taking into consideration the improved economy and the personal spending needs of its employees.
Toyota Motor Workers’ Union, which represents more than 50,000 workers said in a statement that for its proposed salary increase it’s taking into consideration workers’ efforts, the improving economy and Japan’s sales-tax increase, due this April. The planned increase would see a net 4,000 yen ($39) average boost in monthly salary and more importantly annual bonuses of around 6.8 paid months.
As monetary policies of Prime Minister Shinzo Abe have considerably weakened the yen against foreign currencies, Toyota saw its earnings from overseas exports improving, and this month the company said its quarter profit quintupled – prompting it to raise its forecast for the year ending March 31 to a record 1.9 trillion yen.