Nissan Union Scales Back Wage Demands amid Financial Strains

Nissan Union Scales Back Wage Demands amid Financial Strains

Nissan Motor Co.’s labor union has decided to scale back its initial wage demands in this year’s spring labor‑management negotiations, taking into account the automaker’s difficult financial situation.

The union had first drafted a policy calling for a monthly pay rise of 10,000 yen per worker but is now preparing to lower the request to 8,000 yen. Of this, around 4,000 yen will be treated as a base‑up increase, meaning it will permanently raise the company’s wage table, while the remainder will be covered by regular, seniority‑based pay hikes. The union also plans to reduce its annual lump‑sum bonus request from the equivalent of 5.2 months of salary in the previous year to 5.0 months this year.

Union officials say the revised package still aims to secure meaningful wage improvement for employees, combining base‑up and regular salary increases, but with a scale they believe is more realistic given Nissan’s earnings pressures. The policy has been presented at workplace meetings, and labor representatives are now closely watching employee reactions before finalizing their formal demands to management.

The negotiations are part of Japan’s broader spring “shuntō” wage offensive, in which unions across major companies press for higher pay to keep pace with rising living costs. The outcome at Nissan is expected to be closely watched within the auto industry, where settlements at major manufacturers often influence wage trends at smaller firms and related suppliers.

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