Japan to Increase Minimum Pay by Record as Inflation Takes Hold

Japan will raise the minimum hourly wage to an average of 1,004 yen ($6.91), exceeding the level proposed by a government panel, as inflation crimps consumers’ spending power.

Japanese prefectures are set to boost the lowest pay by an average of 43 yen an hour for the current fiscal year, the labor ministry announced on Friday. The increase, the largest since records of wage rises began in 1978, will take effect in October.