Minimum Wage in Japan

Numerous social, geographical, and economic factors affect the minimum wage in Japan. Because the system is decentralized, each prefecture sets its minimum wage, leading to regional variations. This poses challenges for employers and workers, especially when handling paperwork and providing for living expenses.

What Is The Minimum Wage In Japan?

  • Regional minimum wage increased in October 2025 in all 47 prefectures in Japan:
    • Highest: Tokyo at ¥1,226 per hour, and Kanagawa: ¥1,225
    • Lowest: Kochi, Miyazaki, and Okinawa at ¥1,023 per hour.
  • Largest Increase Since 2002.
  • Industry-specific minimum wage may also apply.

Five Principles of Wage Payment:

  1. Payment in Currency
  2. Direct Payment to Employee
  3. Full Payment
  4. Payment at Least Once a Month
  5. Payment on a Fixed Date

How Does The Minimum Wage System Work In Japan?

In Japan, the minimum wage varies by region and industry. Each prefecture can set its minimum wage, and certain industries have their own standards. Part-time workers receive proportional pay compared to full-time counterparts, while temporary workers are entitled to the minimum wage if they perform the same tasks as regular employees. Young workers, including students, must receive at least the local minimum wage.

Unlike many countries with a single national minimum wage, Japan employs a decentralized system. Prefectural minimum wage rates consider regional cost of living variations, economic conditions, and other factors affecting wage levels. Consequently, there is a significant range in Japan’s minimum wage between rural areas and metropolitan hubs like Tokyo.

Overtime Pay (Allowance)

Increased Wages for Overtime Work, Work on Days Off and Night Work (Article 37)

In case an employer requires a worker to work overtime, at night (10:00 p.m. to 5:00 a.m.) or on a statutory day off, the employer must pay the worker an increased wage in accordance with the following increase rate:

Different type of Overtime Pay:

Overtime Work+25% (at least)
Night Work+25% (at least)
On a statutory day off+35% (at least)
Overtime exceeding 60 hours per month+50% (at least)

Due to a revision of the Labour Standards Act, the rate of increased wages for work exceeding 60 hours of OT per month is 50% (1 April 2023).

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The decentralized method aims to balance uniformity and sufficiency across prefectures while allowing flexibility to respond to local demands. The minimum wage in Japan remains a significant topic in policy discussions as the country strives to maintain social cohesion and economic competitiveness, highlighting the importance of balancing the interests of businesses, workers, and society.

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Please note that all the information listed below are to be used as a general guideline. For more detailed accounts of Japan employment laws and regulations, please visit the official governmental websites.

Updated on: December 2025

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