Asia

Monday, July 8, 2019 - 20:11

MNI DATA IMPACT: Japan May Wages Fall; Real Pay Stays Negative


--Japan May Average Wages -0.2% Y/Y, 5th Straight Drop; Apr -0.3%
--Japan May Real Average Wages -1.0% Y/Y; Apr -1.4%
--Japan May Base Wages -0.6% Y/Y, 5th Straight Drop
--Japan May Overtime Pay +0.8% Y/Y, 1st Rise in 6 Months
--Japan May Bonuses, Other Special Pay +2.5% Y/Y, Apr -5.3%

TOKYO (MNI) - Japan's average wages fell 0.2% on year in May, the fifth straight month showing a year-on-year drop following a 0.3% decline in April, with real wages also in negative territory, preliminary data released Tuesday by the Ministry of Health, Labour and Welfare showed.

The key points from the Monthly Labour Survey:

--Total monthly average cash earnings per regular employee in Japan fell 0.2% on year to Y275,597 in May, the fifth straight year-on-year drop following a 0.3% fall in April.

--In real terms, average wages fell 1.0% on year in May, the fifth straight drop following a 1.4% fall in April. Total CPI minus imput rents rose 0.9% on year in May, slowing from +1.0% in April.

--Base wages, the key to a steady recovery in cash earnings, fell 0.6% in May from a year earlier, the fifth straight drop after falling 0.1% in the previous month.

--Overtime pay rose 0.8% on year in May, the first rise in six months, after falling 1.9% in April.

--MNI Tokyo Bureau; tel: +81 90-2175-0040; email: hiroshi.inoue@marketnews.com
--MNI London Bureau; tel: +44 203-586-2225; email: les.commons@marketnews.com

[TOPICS: MAJDS$,M$A$$$,M$J$$$]

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