Osaka Minimum Wage to Rise to 1,231 Yen

In October, Osaka Prefecture's minimum wage will rise to 1,231 yen per hour, offering some relief to part-time workers grappling with higher living costs. However, this wage increase puts financial pressure on businesses, some of which are responding by reducing employee hours and introducing robots to perform certain tasks for a fraction of the minimum wage. Minimum wages across the Kansai region are set to increase by more than 50 yen, reflecting the government's push to raise earnings amid rising prices.

For some workers, the wage increase is welcome news. A 76-year-old part-time employee at a supermarket in Osaka, who has worked for 15 years, will see her hourly wage rise from 1,190 yen to 1,240 yen in October. This 50 yen increase will add around 4,000 yen to her monthly earnings, allowing her to enjoy small luxuries. However, the supermarket operator faces a significant financial burden, with the wage increase adding more than 10 million yen to annual personnel expenses.

Restaurants, particularly in Osaka's competitive food service market, also face challenges. At a popular restaurant, part-time employees' hourly wages will increase by approximately 50 yen in October. However, the management is unsure whether to pass the additional labor costs on to customers. Price competition is intense, and many businesses are hesitant to raise prices when others are not following suit.

The pressure to contain personnel expenses is also driving the adoption of automation. At a ramen restaurant in Hyogo Prefecture, a robot has been introduced to handle serving duties on the late-night shift, reducing the need for additional part-time workers. The robot's lease costs are equivalent to approximately 94 yen per hour, a fraction of the minimum wage. Despite this, the restaurant still manages to maintain the price of its signature ramen in the 800-yen range.