TOKYO — Japan's biggest business lobby Keidanren and trade unions kicked off annual labor talks on Wednesday that are likely to lead to another year of bumper wage hikes, though policymakers will be mainly focused on how far the momentum spreads to smaller firms.
With some of the biggest firms already promising to raise pay substantially for this year, the prospect of large wage hikes is seen supporting the case for the Bank of Japan to increase interest rates later this week.