Japan's Top 5 Trading Companies 'Itochu' Salaries Spark Local Buzz
Company Birth Rate Tripled in 10 Years, Famous for Morning Welfare Benefits
It has become a hot topic among local netizens that the average annual salary of regular employees at Itochu Corporation, one of Japan's five major general trading companies, is approaching 25 million yen (about 230 million KRW). Itochu prohibits overtime and night shifts and focuses on employee welfare, earning a reputation as a "dream workplace" even within Japan. The average birth rate among its employees has tripled over the past decade.
On social networking services (SNS) such as Japan's X on the 4th (local time), this year's salary table of Itochu was shared. What caught the attention of Japanese workers was none other than the salary of regular employees. From this year, Itochu will pay up to 25 million yen to GRADE 3 regular employees, who are the lowest grade staff.
Itochu employees watching a sports game broadcast during work [Image source=Captured from Itochu Instagram]
It is not only regular employees whose salaries are increasing. Assistant managers earn 29.7 million yen (about 276.24 million KRW), managers earn 36.2 million yen (about 336.7 million KRW), and general managers earn 41.1 million yen (about 382 million KRW). Among workers who saw the salary table, reactions such as "I can't believe it" poured in. Comments included, "It's several times what I earn," and "I guess you have to earn that much to achieve an in-house birth rate of 1.97."
Some also mentioned Itochu's outstanding in-house welfare in addition to the high salaries. One Japanese netizen expressed envy, saying, "I heard that at Itochu, watching the WBC (World Baseball Classic) during working hours is allowed. Is it really okay to work like that while earning 25 million yen?"
Starting annual salary for regular employees at Itochu ranges from 21 to 25 million yen [Image source=Captured from X]
Itochu, one of Japan's five major trading companies, was already famous for its welfare benefits. It provides free breakfast for employees who arrive between 6:30 and 8:00 a.m. The breakfast menu features popular items from its subsidiary convenience store, FamilyMart.
Since 2013, Itochu has implemented the "morning work system" and the "110 campaign." The morning work system is a type of flexible working hours that allows employees to shift overtime work to the early morning of the next day. Itochu strictly prohibits overtime work after 8 p.m. Moreover, employees who handle overtime work between 5 and 8 a.m. are paid 1.5 times the usual overtime allowance.
Employees who choose the morning work system can finish work as early as 3 p.m. after starting early in the morning. The "focused work hours," which apply to the entire team, are from 9 a.m. to 3 p.m. It is reported that about half of Itochu employees opt for the morning work system due to its popularity.
Combining high salaries, flexible working hours, and welfare benefits, Itochu has gained a reputation not only as a "great company to work for" but also as a "great company to start a family." From 2012 to 2021, the in-house total fertility rate (the expected number of children a female employee will have in her lifetime) increased about threefold from 0.6 to 1.97. This phenomenon was called a "miracle" by local media and received extensive coverage.
However, there are many Japanese who view the benefits enjoyed by Itochu employees with a critical eye. One X user pointed out, "Doesn't this ultimately mean that to raise children and plan for the future in Japan, you need to earn 25 million yen annually?" and added, "For most Japanese people now, this is something they can't even dream of."
© The Asia Business Daily(www.asiae.co.kr). All rights reserved.
