0517 GMT - Japan's real wages will likely keep falling in the near term, as the speed of price increases outpace that of wage growth, SMBC Nikko Securities economists say. Government data released Monday showed that inflation-adjusted wages fell 1.8% in January from a year earlier, the first decline in three months. "In February and March 2025, revived subsidies for electricity and gas will likely slow price increases, helping the fall in real wages shrink. But that's not enough to push them positive," the economists say. They expect real wages to turn positive in the latter half of this year when food inflation is expected to ease and this year's wage hikes go into effect.(megumi.fujikawa@wsj.com)
(END) Dow Jones Newswires
March 10, 2025 01:17 ET (05:17 GMT)
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