×

Japan auto union group looks beyond inflation-linked pay hikes for 2027 talks

By Thomson Reuters Oct 26, 2026 | 3:59 AM

By Makiko Yamazaki and Kentaro Sugiyama

TOKYO, Oct 26 (Reuters) – Japan’s top automobile ​industry union group is ‌looking to move beyond wage demands aimed merely at keeping pace with inflation in next ‌year’s ​labour talks, ⁠as stronger pay ⁠growth is needed to help compete with the challenge from China, its chief ​said.

“We are discussing raising the bar compared with ⁠previous years” ⁠for the 2027 spring ​wage talks, Akihiro Kaneko, president ​of the Confederation of Japan ‌Automobile Workers’ Unions (JAW), told Reuters in an interview on Monday.

After securing the ⁠strongest wage gains in decades in recent years, JAW believes annual ⁠pay ‌hikes focused primarily ⁠on protecting workers from ​rising ‌living costs are ​no longer ⁠sufficient to reverse decades of wage stagnation, Kaneko said.

(Reporting by Makiko Yamazaki and Kentaro Sugiyama; Editing by ​Susan Fenton)