Japan Minimum Wage 2025-2026: How Much Workers Earn Per Hour Across All Prefectures

Japan's minimum wage system is a critical topic for anyone planning to work in Japan, hire employees there, or study the country's labor market. As Asia's third-largest economy, Japan has been steadily increasing its minimum wage to address labor shortages and improve workers' living standards.

This article covers the current minimum wage rates, regional differences, how Japan compares to other Asian countries, and what the future holds for wage policy in Japan.

Current Minimum Wage in Japan (2025-2026)

As of October 2025, Japan's national weighted average minimum wage is 1,055 yen per hour (approximately $7.00 USD at current exchange rates). This represents a record increase of 51 yen from the previous year's 1,004 yen/hour — the largest single-year jump in history.

The minimum wage is set by each prefecture's Minimum Wage Council and reviewed annually. The national average serves as a benchmark, but actual rates vary by region.

Regional Differences

Japan's minimum wage varies significantly by prefecture, reflecting differences in cost of living and economic conditions:

Highest Minimum Wage Prefectures

• Tokyo: 1,163 yen/hour ($7.70 USD) — the highest in Japan
• Kanagawa: 1,142 yen/hour ($7.55 USD)
• Osaka: 1,114 yen/hour ($7.35 USD)
• Aichi: 1,077 yen/hour ($7.10 USD)
• Saitama: 1,078 yen/hour ($7.10 USD)
• Chiba: 1,077 yen/hour ($7.10 USD)
• Hyogo: 1,055 yen/hour ($7.00 USD)
• Kyoto: 1,055 yen/hour ($7.00 USD)

Lowest Minimum Wage Prefectures

• Kagoshima: 951 yen/hour ($6.30 USD)
• Okinawa: 951 yen/hour ($6.30 USD)
• Akita: 953 yen/hour ($6.30 USD)
• Miyazaki: 952 yen/hour ($6.30 USD)
• Iwate: 953 yen/hour ($6.30 USD)

The gap between the highest (Tokyo) and lowest (Kagoshima) is 212 yen/hour — a difference of about 22%.

Monthly Income at Minimum Wage

For a full-time worker (8 hours/day, 22 working days/month):

• Tokyo: 1,163 x 8 x 22 = 204,688 yen/month ($1,355 USD)
• National average: 1,055 x 8 x 22 = 185,680 yen/month ($1,230 USD)
• Lowest prefecture: 951 x 8 x 22 = 167,376 yen/month ($1,110 USD)

Note: Many minimum wage workers in Japan work part-time (part-time workers make up about 30% of the workforce). Part-time workers are still entitled to the minimum wage on an hourly basis.

How Japan Compares to Other Countries

• South Korea: 10,030 won/hour (2025) ≈ 1,100 yen — slightly higher than Japan's national average
• Australia: A$24.10/hour ≈ 2,400 yen — significantly higher
• United States: $7.25/hour federal (many states higher) ≈ 1,095 yen — similar to Japan
• Singapore: No statutory minimum wage (progressive wage model for some sectors)
• China: Varies by province, Shanghai highest at 2,690 yuan/month ≈ 215 yen/hour
• Thailand: 354-370 baht/day ≈ 200-230 yen/hour — lower than Japan
• Vietnam: 4.96 million VND/month (highest region) ≈ 60 yen/hour — much lower

Japan's minimum wage is among the highest in Asia, though still below Australia and many European countries.

Minimum Wage by Industry

Japan also has industry-specific minimum wages (特定最低賃金) that apply to certain sectors. These are typically higher than the regional minimum wage:

• Retail: Generally at or slightly above regional minimum
• Manufacturing: Often 5-10 yen/hour above regional minimum
• Construction: Typically 50-100 yen/hour above regional minimum
• Information and telecommunications: Among the highest industry-specific rates

Who Is Covered?

Japan's minimum wage law applies to all workers regardless of nationality, employment type, or hours worked:

• Full-time employees (正社員): Covered
• Part-time workers (パート・アルバイト): Covered
• Temporary/contract workers (派遣社員): Covered
• Foreign workers: Covered equally — no distinction by nationality
• Interns/trainees: Covered after the initial training period under TITP

Employers who pay below the minimum wage face fines of up to 500,000 yen or imprisonment of up to one year.

History of Minimum Wage Increases

Japan has raised its minimum wage every year for over two decades:

• 2007: National average first exceeded 700 yen/hour
• 2014: Government began pushing for more aggressive increases under Abenomics
• 2018: National average first exceeded 800 yen/hour
• 2022: National average first exceeded 900 yen/hour
• 2023: National average first exceeded 1,000 yen/hour (historic milestone)
• 2025: National average reached 1,055 yen/hour (record 51 yen increase)

The average annual increase has accelerated from about 15-20 yen in the early 2010s to 40-50 yen in recent years.

Future Outlook

The Japanese government under Prime Minister Ishiba has set a target of achieving an average minimum wage of 1,500 yen per hour by the mid-2030s. This would require annual increases of approximately 50 yen over the next decade.

Key drivers for continued increases:

• Labor shortage: Japan's aging population creates acute worker shortages in many sectors
• Inflation: Rising prices (particularly food and energy) put pressure on low-wage workers
• Political pressure: The ruling LDP uses minimum wage increases as a key policy platform
• Business concerns: Small and medium enterprises (SMEs) struggle with rising labor costs — about 30% of Japanese SMEs say minimum wage increases are their biggest challenge

Tips for Workers in Japan

• Know your rights: Your employer must pay at least the minimum wage for your prefecture. Check the current rate at your local Labor Bureau
• Regional matters: If you're flexible on location, consider prefectures where the minimum wage is close to the national average but cost of living is much lower than Tokyo
• Negotiate above minimum: Many industries, especially hospitality and retail, pay above minimum wage due to labor shortages. Don't settle for the minimum
• Overtime and benefits: Minimum wage workers are entitled to overtime pay (25% premium), holiday pay, and social insurance if working more than 20 hours/week
• Report violations: If your employer pays below minimum wage, contact the Labor Standards Inspection Office (労働基準監督署)

FAQ

Is the minimum wage different for foreign workers in Japan?

No. The minimum wage applies equally to all workers regardless of nationality. Foreign workers on work visas, technical intern visas, or student part-time work visas are all entitled to the same minimum wage as Japanese workers.

Do tipped workers get the minimum wage in Japan?

Japan does not have a tipping culture. All workers receive the full minimum wage — there is no "tipped minimum wage" system like in the United States.

Can my employer deduct housing or meals from my minimum wage?

Limited deductions are allowed for employer-provided housing (up to a capped amount) and meals. However, the remaining wage must still meet or exceed the minimum wage. These deductions must be agreed upon in advance.

How often does the minimum wage change?

The minimum wage is reviewed once a year by each prefecture's council. New rates typically take effect on October 1 each year.

What should I do if I'm being paid below minimum wage?

Contact your local Labor Standards Inspection Office (労働基準監督署). You can file a complaint anonymously. Employers who violate minimum wage laws face fines up to 500,000 yen or imprisonment.

Sources: Japan Ministry of Health, Labour and Welfare (MHLW), Japan Institute for Labour Policy and Training (JILPT), Organisation for Economic Co-operation and Development (OECD), Regional Minimum Wage Councils. Data per October 2025.