Japan’s Kishida Vows to Press Companies to Raise Wages
(Bloomberg) -- Japanese Prime Minister Fumio Kishida said he would do everything possible to create an environment for firms to raise wages.
Kishida told a news conference Tuesday, to mark the end of the parliamentary session that measures would include drawing up rules on non-financial disclosure for firms in the year starting in April.
Raising pay is a key pillar of Kishida’s “New Capitalism” plans to bolster the economy by better distributing the fruits of growth. The premier, who took office in October, must maintain public support ahead of an upper house election due next year to keep his grip on the top job.
“Distribution by raising pay is not a cost but an investment in the future,” Kishida said. “Paying properly creates the foundation for firms to create value sustainably.”
Kishida also made the following remarks:
- Will keep border controls -- the strictest among Group of Seven nations -- in place for time being on omicron concerns
- Will hold talks with U.S. President Biden soon
- No plans for summit with China now; still considering how to deal with the Beijing Olympics
- Public finances are the foundation of trust in the nation, there is a need to work on fiscal health in the mid to long-term; this doesn’t contradict short-term support measures introduced to combat the effect of the pandemic
- Will draw up a digital infrastructure plan by March
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