It’s not out of the ordinary for companies to reward employees with raises for doing good work, but Asia’s largest retailer is considering offering some unusually big raises to outstanding new managers as Japan faces a shortage of young workers.
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The company told Bloomberg Yanai is looking at putting the new system into place next spring. The annual salaries of 20 million yen to 30 million yen would be paid to those placed in the U.S. or Europe. They would offer 10 million yen for managers staying in Japan.
Citing company filings in Japan, Bloomberg reported that Fast Retailing’s average pay was about 8.77 million yen as of last August. That’s about $82,000 USD.
The lowest salary at the company was about 4 million yen per year, compared to a national average of 3.1 million yen in 2017 for workers with up to four years of experience, according to Japanese National Tax Agency figures cited in the report.
Fast Retailing wouldn’t be the only Japanese company offering million-dollar salaries to attract workers. Tech companies in Japan have also been raising starting pay for top candidates, according to the report.
Uniqlo opened its first U.S. store in 2006. It's the main brand of the third-largest apparel manufacturer and retailer in the world — boasting more than $19 billion in sales last year.