Key Facts
• Ibaraki governor election scheduled for September 7, 2025.
• Minimum wage in Ibaraki to increase by ¥69/hour starting October 2025.
• Wage hike surpasses national guideline by ¥6, narrowing gap with Hyogo Prefecture by ¥5.
• Ibaraki’s economic index ranks 9th nationwide, but minimum wage ranks 14th.
• Agreement reached in June 2025 to raise minimum wage by ¥35 over 5–7 years.
• Isejin Corporation raised wages by 6.2% in spring 2025 to retain staff.
• Small businesses face financial strain; support measures requested by business groups.
• Wage increase welcomed by workers but criticized for complicating business operations.
• Labor council highlights issues like income caps and labor shortages.
• Calls for national tax and social insurance reforms to address systemic challenges.
Summary
Ibaraki Prefecture is set to implement a significant minimum wage increase of ¥69/hour in October 2025, exceeding national guidelines by ¥6. This move aims to enhance workforce retention and address disparities with other regions, such as Hyogo Prefecture. The decision follows a June 2025 agreement to raise wages by ¥35 over 5–7 years. While workers welcome the increase, small businesses express concerns over financial strain, urging expanded support measures. Isejin Corporation, a local employer, has already raised wages by 6.2% to stabilize its workforce. However, systemic issues like income caps and labor shortages persist, prompting calls for national tax and social insurance reforms. The wage hike reflects Ibaraki’s efforts to balance economic growth with social equity.
