Japanese labor unions said they clinched their biggest raises in years as Prime Minister Shinzo Abe calls for companies to boost wages to help put the world’s third-largest economy on a path to sustainable growth.
As Japan’s economy fell into recession last year, Yoichi Uehara wanted to save money at his family firm. Firing workers wasn’t an option: Under Japan’s labor laws, that would have increased costs, not cut them.
Prime Minister Shinzo Abe’s victory in yesterday’s election solidifies his control over the Japanese government and gives him a freer hand to carry out economic reforms. Japan’s business leaders have a wish list for him.
Beyond the bright prospects for the return to rapid U.S. economic growth and the resulting decline in federal debt as a percentage of gross domestic product, the U.S. will enjoy six major long-term advantages over its competitors.
Japanese Prime Minister Shinzo Abe urged companies to increase wages faster than gains in the cost of living to break the legacy of 15 years of deflation, and praised Toyota Motor Corp. and Hitachi Ltd. for pledging to help.
Japanese Prime Minister Shinzo Abe’s winning of the first bicameral majority for the ruling coalition in six years sets up an internal government battle as he seeks to revamp economic to defense policies.