How did you get your pay raise?

What is the hint seen from corporate reform January 3 16:03

Will my salary go up this year?

Expectations for wage hikes are rising as a result of the record price rise for the first time in 40 years.

Under these circumstances, companies have begun to try to increase their earning power and generate funds for wage increases.

(Rage increase coverage team: Tomokazu Katsuki, Ryota Miyazaki, Takehiro Kamino)

drone on construction site

The construction site in Kirishima City, Kagoshima Prefecture.

A drone was flying in the air.

Yamaguchi, a construction company with 95 employees in the city, is focusing on improving productivity using IT technology.

Using this drone and laser scanner, we will survey and create drawings.

This process used to be done by multiple people, but with the introduction of the latest equipment, it is now possible for one person to be in charge.

The time required for creation, which used to take about two weeks, was shortened to a few days.

Furthermore, the data of the drawing is sent to the heavy equipment and read as it is.

The process of leveling sloping ground and carrying soil has also been automated, greatly improving work efficiency.

The series of capital investments cost about 50 million yen, but the number of orders increased as we were able to start the next construction earlier as we had more manpower.

At construction sites, the price of materials such as steel frames has risen sharply since around spring last year, and the procurement cost has risen by nearly 40% compared to before the corona disaster, but it means that profits have been secured stably.

This company has been actively working on wage increases so far, but plans to raise wages further this year.

As the labor shortage in the construction industry becomes more serious, we would like to secure excellent human resources.

Vice President Hidenori Yamaguchi

: “Unless we raise wages and create a situation where employees can live with their families in a stable manner, we cannot run the company. I think it is important to consider how to proceed.”

Reform by promoting young people

Some SMEs aim to improve performance and raise wages by boldly appointing young employees, reviewing existing systems, and incorporating new ideas.

"Sato Seisakusho" is a metal processing company with 16 employees in Meguro-ku, Tokyo.

We manufacture parts used in medical equipment and communication equipment.

In the past, this company had an aging workforce with an average age approaching 60, and the production system had become rigid, with fixed employees in charge of each detailed process such as cutting, bending, and joining. Says.

In an effort to break away from the situation in which the company relied on the skills of veterans, the company worked to promote younger employees.

We actively recruited new graduates and made them acquire a wide range of skills rather than specializing in a specific technology.

In addition, we have made it possible to flexibly change the allocation of personnel and work allocation in the event that the burden is concentrated on some employees or if there is an urgent order.

In addition, based on the opinions of young employees, we also worked to improve conventional practices, such as reviewing the suppliers of thousands of parts one by one.

As a result, they were able to eliminate delays in delivery and reduce costs, turning the deficit that had continued for many years into the black.

Perspectives unique to women

Appointment of young people is producing results that exceed expectations.

One of them is the transmission of information on SNS, which was started in 2021 by a 23-year-old female employee.

When we introduced the repaired sundries with images, the number of requests for repairing the products around us increased rapidly.

It has led to the acquisition of individual customers, which had not been seen before.

In addition, we are trying to develop new products, such as making accessories using leftover copper and brass from the processing process.

23-year-old female employee

: “I think there are some things that only women can realize.

The company wants to return profits to employees as much as possible and make it an attractive company for young people, and wants to raise wages by at least 2% to 3% this year.

Managing Director Shuya Sato

"Thanks to the many young people who think flexibly without being bound by stereotypes, we were able to take on new challenges. We will need young people in the future, and that is why we are raising wages." want to go"

The annual income “20% increase” strategy

"Increase annual income by up to 20%".

Nikon, a major precision equipment maker, raised the annual income of about 800 people with highly specialized skills and knowledge by up to 20% last October.

Including these employees, the wages of 5,000 people working at the headquarters and factories have increased by an average of 3%.

Behind these wage increases is the company's survival strategy.

Known for its "single-lens reflex camera," the company is focusing on entering the growing industry as the demand for cameras has dropped significantly due to the spread of smartphones.

Ichiro Tajima, who is in charge of personnel system reform at Nikon, says that this is supported by a "bold wage increase."

Mr. Ichiro Tajima, Nikon

"I believe that human resources are the source of business growth. In the midst of rapid change, the skills and abilities necessary for new businesses do not develop quickly within the company, so filling that gap is a short-term solution. Basically, we need to gather various people from outside the company.”

Specialized human resources support new businesses

Higher wages attract more talented people.

The highly specialized human resources recruited by the company with this expectation are going to lead to the strengthening of the company's "earning power".

Takashi Yuito (49), who was hired in January last year.

Worked for a major electronics manufacturer for about 20 years.

Recognized for his technical expertise, he is a business development leader in the material processing field, where the company expects growth.

What we are working on is developing businesses that lead to decarbonization.

We are exploring the possibility of improving the fuel efficiency of aircraft by using films that reduce frictional resistance through special processing.

My working hours have increased compared to before I changed jobs, but my wages have also increased accordingly.

He says that the significant wage increase from October will also increase motivation.

Nikon's Takashi Yubito

"My current mission is to launch a new business, so I believe that I can contribute to the company by completing it. After all, I naturally feel that I have to do my best."

More than half of new employees are mid-career hires

The company has been reviewing its personnel system based on the premise of lifetime employment and seniority in order to lead to significant wage increases and improved profitability.

In 2018, “Job type” was introduced.

The “job type” defines roles and necessary skills for each job within the company, and wages are determined according to the employee's skills and work results.

Recruitment has also changed.

More than half of the employees who join the company are mid-career hires such as changing jobs.

From 2020 to 2022, 76% of mid-career hires will be in their 30s and 40s when they join the company.

We actively hire people with highly specialized skills, knowledge, and extensive experience.

Create a virtuous cycle of management

The company's review of the Japanese-style personnel system is also tough for employees.

For example, the wage gap will widen regardless of age or years of service, which may lead to a decrease in motivation for some employees.

However, by accelerating investment in such human resources, he hopes to create a structural wage increase and a virtuous cycle of management.

Mr. Ichiro Tajima, Nikon

“When salaries are determined according to the size of the work and the size of the role, it does not necessarily reflect what has been accumulated up to that point. I think it's a necessary reform as we are exposed to a more competitive environment."

Shunto to start

While record prices continue to rise, this year's spring labor offensive will actually start from the end of this month.

It can be said that the momentum for raising wages is increasing more than ever, with a number of companies deciding to raise base salaries one after another.

Some say that if wage increases cannot be achieved, it will be difficult to secure human resources and companies will not be able to continue operating.

How far will wage increases go?

And will wages be raised at a level commensurate with price increases?

I would like to continue interviewing in the interview team in the future.

Economic Department Reporter

Tomokazu Katsuki Joined the Bureau in

2007

After working in the Economic Department and the Osaka Bureau, he is currently

in charge of reporting on the business world and trading companies.

News Reporter

Ryota Miyazaki

Joined in 2012

After working at Yamagata Broadcasting Station, currently works at

Ministry of Health, Labor and Welfare

Reporter

Takehiro Shino

Joined in 2012 Worked

at Kushiro Broadcasting Station, Okinawa Broadcasting Station, International Department before current position