Tokyo insurer Meiji Yasuda Life Insurance is reportedly considering raising wages by an average of 5 percent for all of its 47,000 employees in the next fiscal year starting in April, it said. Bloomberg.

The move is part of a government-led campaign to bolster wages and spur economic recovery.

For Meiji Yasuda’s 11,000 in-house staff, who deal with planning, investment and office work, this is the second consecutive year of salary increases.

The company’s 36,000 salespeople will see their salary increase for the fourth consecutive year.

The pay plan will be finalized after talks with the union, with the company’s youngest employees of five years or less receiving an 8% pay rise. NHK World.

In addition to this, Meiji Yasuda is also increasing the starting salary of new college graduates.

Those joining the company from April can expect to start with a monthly salary of up to Y332,000 (roughly $2,100).

This is an increase on previous starting salaries for graduates.

The company’s decision is in line with last year’s call by the Japan Confederation of Trade Unions (RENGO) for wage increases of at least 5 percent by 2025, it said. Reuters.

Prime Minister Shigeru Ishiba, who has been in office since October 2024, has emphasized wage growth as a key element of his economic policy, aiming to support the country’s tentative economic recovery.

Last month, Meiji Yasuda also announced the upcoming expiration of its collaboration agreement with Talanx, originally signed in 2010. The agreement will end on December 31, 2025.

Meiji Yasuda agreed on financial terms to transfer his Warta Group and Europa Group shares, which he acquired in 2012, to Talanx.

Meiji Yasuda Life Insurance was established through the merger of Meiji Life Insurance and Yasuda Mutual Life Insurance, two of Japan’s oldest life insurers.

According to its website, as of October 1, 2024, the company operates 105 regional offices and market development departments, 1,033 agency offices and 19 group marketing departments.

“Meiji Yasuda plans 5% pay hike for 47,000 workers” was originally created and published by International life insurancea trademark owned by GlobalData.

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