Wages and labour costs · Japan
Japan Average Cash Earnings YoY
The Japan Average Cash Earnings YoY measures how fast pay, or the total cost of employing people, is rising in Japan.
- Importance
- Medium
- Released
- Monthly
- Next release
- Currency
- JPY · Japanese yen
- Central bank
- The Bank of Japan
Latest figures
The latest release for AUG, published on 6 October 2026, came in at 3.8%, above the consensus of 3.7%, down from 4.3% the time before (revised).
A higher figure than expected makes the Bank of Japan more likely to keep rates high or raise them: it tends to support the Japanese yen and push bond yields up, and is often a weight on stocks.
Over the last 12 releases it ranged from 0.5% to 4.7%, averaging 2.9%.
| Released | For | Actual | Consensus | Previous |
|---|---|---|---|---|
| 6 Oct 2026 | AUG | 3.8% | 3.7% | 4.3% ® |
| 7 Sep 2026 | JUL | 4.7% | 3.9% | 4% ® |
| 4 Aug 2026 | JUN | 3.4% | 3.4% | 3.3% ® |
| 6 Jul 2026 | MAY | 3.2% | 3.4% | 3.6% ® |
| 4 Jun 2026 | APR | 3.5% | 3.2% | 3.1% ® |
| 7 May 2026 | MAR | 2.7% | 3.2% | 3.4% ® |
| 7 Apr 2026 | FEB | 3.3% | 2.7% | 3% |
| 9 Mar 2026 | JAN | 3% | 2.5% | 2.4% |
| 8 Feb 2026 | DEC | 2.4% | 3% | 1.7% ® |
| 7 Jan 2026 | NOV | 0.5% | 2.3% | 2.5% ® |
| 7 Dec 2025 | OCT | 2.6% | 2.2% | 2.1% ® |
| 5 Nov 2025 | SEP | 1.9% | 1.9% | 1.3% ® |
Why it matters
Wages are the largest cost for service businesses, so wage growth well above productivity growth turns into lasting inflation. Central banks watch it to judge whether inflation will return to target; strong wage growth tends to keep the Bank of Japan hawkish.
How it is calculated
Pay data come from employer surveys, tax records or collective agreements; the release usually shows the change from a year earlier. Labour cost indexes include employers' social contributions and benefits.
Wage growth (yoy) = average pay ÷ average pay a year ago − 1
Real wage growth ≈ wage growth − inflationWhat changes mean
- Wage growth of about 3–3.5% is roughly consistent with 2% inflation when productivity grows about 1%.
- Compositional effects (low-paid workers losing jobs) can lift the average misleadingly.
Higher than expected: A higher figure than expected makes the Bank of Japan more likely to keep rates high or raise them: it tends to support the Japanese yen and push bond yields up, and is often a weight on stocks.
Lower than expected: A lower figure than expected gives the Bank of Japan room to cut or hold rates lower: the Japanese yen tends to soften and bond yields to fall.
A short history
The link between wages and inflation was described by A. W. Phillips in 1958 (the Phillips curve); it has weakened and strengthened over the decades but remains central to central-bank thinking.
Questions
What is the Japan Average Cash Earnings YoY?
The Japan Average Cash Earnings YoY measures how fast pay, or the total cost of employing people, is rising in Japan.
What was the latest Japan Average Cash Earnings YoY?
3.8% for AUG, published on 6 October 2026 (consensus 3.7%, previous 4.3%).
When is the next Japan Average Cash Earnings YoY?
On Thursday 5 November 2026 at 23:30 UTC.
Educational content only, not investment advice. Figures are the published results as recorded by our calendar; market reactions described are typical, not guaranteed.