The owner of Uniqlo is boosting pay for Japan employees by up to 40% as inflation bites | CNN Business

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Fast Retailing, the Japanese giant that owns popular clothing brands Uniqlo and Theory, will start paying its employees much more this year.

The company announced Wednesday that it would boost salaries in Japan by up to 40%, acknowledging that “remuneration levels have remained low” in the country in recent years. “This will include employees from headquarters and corporate departments responsible for the functions of the company’s global headquarters, as well as employees working in stores,” the firm said in a statement.

In the capital of Tokyo, core inflation, which measures items excluding fresh food, climbed 4% in December compared to a year ago, above the 3.8% expected by economists, according to official figures released Tuesday. That was “the highest seen in 40 years,” analysts at Nomura said in a Wednesday report. “Inflation in Japan is a factor in our considerations,” a Fast Retailing spokesperson told CNN on Wednesday.

 

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