### Section 5. Trends of labour-management relationship

In the shunto (annual spring wage offensive) in 2013, in the severe employment situation, some companies whose business performance was improving agreed to raise the bonus compared with the previous year. However, many companies maintained the wage curve.

On the other hand, in the shunto (annual spring wage offensive) in 2014, corporate profits and the employment situation showed a sign of improvement thanks to economic recovery, and the government, labour and management shared a common perception of increasing wages according to the expansion of corporate profits in the "meeting among government, labour and management towards virtuous economic cycle." As a result of negotiation among the three parties based on this, many companies agreed to raise wage and some companies agreed to raise the bonus compared with the previous year. This negotiation showed largely different aspects from the previous negotiations. Companies also agreed to raise wage for many small and medium-sized associations and offered to pay more hourly wage and monthly wage for non-regular workers compared with the previous year for more associations.

## (The shunto (annual spring wage offensive) of 2013 in the severe employment situation)

Looking at the results of major private companies in the shunto (annual spring wage offensive) of 2013, the agreed amount was 5,478 yen, the wage increase rate was 1.80% (5,400 yen and 1.78% in the same period last year), both rates surpassing that in the previous year.

## (Trends of shunto (annual spring wage offensive) of 2014)

In the shunto (annual spring wage offensive) in 2014, corporate profits and employment situation showed a sign of improvement thanks to economic recovery, and the government, labour and management shared a common perception of increasing wages according to the expansion of corporate profits in the "meeting among government, labour and management towards virtuous economic cycle." This negotiation showed largely different aspects from the previous negotiations.

First, we will look at the movement on the labour side in the shunto (annual spring wage offensive) of 2013. In the policy for spring struggle for a better life in 2014, the Japanese Trade Union Confederation (RENGO) maintained the amount corresponding to periodic wage increase (wage curve) (approximately 2%) and requested to raise wage (more than 1%) in the amount corresponding to the increase in commodity prices and productivity in the following year.

On the other hand, looking at the management side, the Japan Business Federation (KEIDANREN) stated in its "Position Paper 2014 by Committee on Management and Labour Policy" that it will not change the principle of judging and determining wage according to the company's capacity to pay from the viewpoint of appropriate management of total labour costs regarding all employees including basic wage, various allowances, bonus and benefits.

After March 12, 2014, an agreement concerning wage and bonus was made for major private associations. Figure 21 shows the result of shunto (annual spring wage offensive) of 2014. Companies maintained the amount corresponding to periodic wage increase and agreed to raise wage for many associations. They also agreed to raise bonus compared to the previous year.

Following the major private associations, companies responded that they will raise wages for many small and medium-sized associations. Companies also agreed to raise wages and salaries for non-regular workers compared to the previous year in many associations, showing an increase trend in wages.

## (While the number of labour union members shows a tendency of decline, the actions for non-regular workers are being promoted)

Looking at the organizational situation of labour unions, as of June 30, 2013, the number of labour unions was 25,532 (down by 243 unions and by 0.9% from the last year) and the number of labour union members was 9,875 thousand persons (down by 17,000 persons and by 0.2% from the last year).

On the other hand, looking at the organizational situation of part-time workers according to Figure 22,