Japan Rengo's second-round wage hike agreed at 5.4%

Dhwani Mehta FXStreet

Japan's largest trade union group’s, Rengo, second-round data of annual labor talk (Shunto) results showed Japanese firms agreed to raise pay by 5.4% this year.

The data is lower than the first-round results, which showed an average wage hike of 5.46% for fiscal 2025, higher than last year's average of 5.1%.

The reading exceeded 5% for the second straight year.

Market reaction

The Japanese Yen (JPY) is off the lows but remains under heavy selling pressure on these headlines, keeping USD/JPY 0.42% higher on the day at 149.42 at the press time.

Author

Dhwani Mehta

FXStreet

Residing in Mumbai (India), Dhwani is a Senior Analyst and Manager of the Asian session at FXStreet. She has over 10 years of experience in analyzing and covering the global financial markets, with specialization in Forex and commodities markets.

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