Overview

• A Ministry of Health, Labour and Welfare advisory subcommittee set a guideline for a 63 JPY (6.0%) rise in the national weighted average to 1,118 JPY for fiscal 2025.
• The proposed increase is the largest in amount and rate since the current minimum wage system began in 2002 and would, if adopted, lift all 47 prefectures above 1,000 JPY per hour.
• Labour and business representatives reached the guideline after seven subcommittee meetings—the first such extended talks since 1981—highlighting disputes over inflation and small‐business impacts.
• Each prefectural council must now review the recommendation, with new wage rates slated to be applied sequentially from October.
• Prime Minister Shigeru Ishiba described the move as proof of his administration’s wage-driven growth plan and pledged targeted support for regions that exceed the national guideline.