Japan’s fast fashion retailer Uniqlo announced on Wednesday that starting in March, it would raise wages by up to 40% for employees in its home country, where wages have been under downward pressure for years, from the beginning of March.
“This will include employees from headquarters and corporate departments responsible for the functions of the company’s global headquarters, as well as employees working in stores,” the firm said in a statement released on Wednesday.
Fast Retailing Co., Ltd., the parent company of Uniqlo, said that it acknowledged that “remuneration levels have remained low” in the country in recent years.
The company said it made the move “in order to remunerate each and every employee appropriately for their ambition and talents, as well as increase the company’s growth potential and competitiveness in line with global standards.”
“In Japan especially, where remuneration levels have remained low, the company is significantly increasing the remuneration table,” it added.
Last week, Japan’s Prime Minister, Fumio Kishida, urged businesses to raise wages to assist people struggling with rising prices. It comes as wages in the country remain flat, despite inflation rising at the quickest rate in decades.
