On February 18, the labor union of Toyota's automotive parts manufacturers submitted their wage increase demands for this spring's labor negotiations. The average request for wage increases is 17,820 yen, which is marginally less than last year's average demand of 17,929 yen. The wage increase rate stands at 6.05%, compared to 6.25% the previous year, as announced by the All Toyota Labor Union Federation based on the average of 123 manufacturing unions that submitted their requests. While the Toyota labor union has not publicly disclosed its demand, some key unions have stated theirs, with Denso requesting 23,500 yen, Aisin 18,000 yen, and Toyota Industries 22,000 yen, all remaining unchanged from last year.

As Japan grapples with a labor shortage, medium-sized and smaller companies are showing a trend of increasing their wage rate demands, which indicates rising pressure on wages overall within the automotive sector. Companies are striving to attract and retain workers in a challenging labor market, suggesting that economic pressures may lead to higher wage settlements in the coming negotiations. These developments come at a critical time as the country is in the midst of negotiations for wage increases that could set the tone for labor relations across various industries in Japan.