New Japan PM to prioritise wage raises

Japan’s new Prime Minister Kishida Fumio has reiterated that he will prioritise raising wages of corporate employees over reviewing taxes on capital gains of the wealthy, according to NHK World.

The priority is to raise wages, he said, highlighting the idea of tax incentives for companies that raised their workers’ wages in a TV Tokyo business programme.  

The prime minister also said that he plans on a capital gains taxes discussion sometime in the future, noting however that a review will not be included in next fiscal year’s taxation plan. 

He added that he would not raise consumption tax to increase fiscal resources to correct wealth disparities.

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Kishida has also pledged to raise the pay for nurses, caregivers and other public workers, an area where the government can show leadership and also push for change. He aims for better economic growth to provide the funds for the increased wages, and not an increase in the sales tax.