Japan's Summer Bonuses Hit Record 1.04 Million Yen

The average summer bonus paid by major Japanese companies has reached a record high of 1,042,537 yen, according to a survey by the Japan Business Federation. This figure represents a 7.04% increase from last year and is the highest since comparable records began in 1981.

Manufacturers saw an average bonus increase of 6.23% to 1,093,629 yen, while non-manufacturing companies experienced an 8.96% rise to 941,145 yen. The higher bonuses are attributed to strong corporate earnings and substantial wage increases resulting from annual spring wage negotiations.

The labor unions' push for compensation due to rising prices, combined with employers seeking to secure workers, led to pay increases exceeding 5% for the third consecutive year. As a result, summer bonuses were boosted as they are generally calculated based on employees' basic salaries.