Wages Increased by 10.9% for 1,800 Workers
Union Target Exceeded 6% by Far
Overall Improvement in Treatment in the Food Service Industry
Wage Increases Spread Across Industries
Matsuya Food Holdings (hereinafter Matsuya Food), which operates 1,200 gyudon specialty stores across Japan, has decided to increase the wages of its full-time employees by an average of 10.9% starting from April next year. The Japanese labor sector is closely watching whether the wave of wage increases that began earlier this year will spread to the food service industry.
According to the Nihon Keizai Shimbun on the 11th, Matsuya Food has decided to raise the wages of 1,800 full-time employees by an average of 10.9% starting in April next year. This includes salary increases for those eligible for promotion, as well as simultaneous raises in the base pay for regular employees and starting salaries for new hires. As a result, the starting salary for university graduates is expected to rise from the current 230,000 yen (2,082,420 KRW) to 250,000 yen.
This wage increase is the largest since Matsuya Food was listed on the Tokyo Stock Exchange First Section (now the Prime Market) in 2001. Matsuya Food also raised base pay by 7.5% in the wage negotiations conducted in April this year.
Matsuya Food explained that this wage increase is part of measures to secure excellent talent and reduce employee turnover.
Matsuya Food is a major food service franchise company that operates more than 1,200 gyudon specialty stores called "Matsuya" nationwide in Japan. In addition to Matsuya, the company also operates the curry specialty restaurant Miakari Shokudo and the tonkatsu specialty restaurant Matsunoya across the country.
Given Matsuya Food's significant position in the food service market, the industry is paying close attention to whether the wage increase trend will spread throughout the food service sector starting with them. It has also become a topic of discussion that Matsuya Food's decision exceeds the 6% wage increase target set this year by UA Zensen, a labor union mainly composed of service industry workers.
Currently, Japan's food service industry is facing a chronic labor shortage and urgently needs to secure workers through wage increases. Zensho HD, which operates the gyudon specialty store "Sukiya," a competitor of Matsuya, has also promised to continue raising wages including next year. Monogatari Corporation, which owns the yakiniku specialty restaurant "Yakiniku King," is also initiating its first base pay increase.
As the Japanese economy breaks free from long-term deflation and gains momentum, wage increases by companies appear to be spreading across industries. Nihon Keizai explained, "Companies such as electronics retailer Bic Camera and building supplies retailer Workman are increasingly raising wages early in response to rising prices," adding that "there is also a significant purpose in expanding overseas business and securing talent."
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