Marek Lehocky
CEO and Founder of Kreston Proworks, Japan
Japan’s regional minimum wages increase in 2026
October 26, 2026
Japan has announced increases to regional minimum wages across all prefectures in 2026, with the weighted national average rising by JPY 56 to JPY 1,177 per hour. The revised rates will take effect between 1 October and 2 December 2026, depending on the prefecture, with individual increases ranging from JPY 54 to JPY 65 per hour.
Read the full article by Kreston ProWorks here, or read a summary down below.
Key changes for employers
Among the revised minimum hourly rates effective from 1 October 2026 are:
- Tokyo: JPY 1,280
- Kanagawa: JPY 1,279
- Osaka: JPY 1,231
- Aichi: JPY 1,195
- Chiba: JPY 1,195
Japan’s regional minimum wage requirements apply to employees regardless of nationality or employment status, including full-time, part-time, fixed-term and student workers.
Employers must also ensure that salaried employees meet the applicable minimum wage when qualifying remuneration is converted to an hourly rate. Certain payments, including overtime premiums and specified allowances, are excluded from these calculations.
Implications for businesses operating in Japan
Businesses should review employee remuneration, update payroll systems and assess any necessary adjustments to overtime calculations ahead of the relevant implementation dates.
Foreign-owned businesses should also consider the implications for employment documentation, workforce budgets and outsourced-service costs. Where changes affect fixed remuneration, potential implications for future social insurance calculations should be assessed separately.
For a detailed breakdown of the revised rates by prefecture, including effective dates and employer considerations, read the full article from Kreston ProWorks Japan.
Doing business in Japan
Kreston ProWorks is one of three Kreston Global member firms in Japan, providing professional services to businesses operating in or looking to expand into the Japanese market. To learn more about doing business in Japan and how our local experts can support your organisation, please click here.
