Firms are cautious about raising regular employees’ wages because they are difficult to cut even during periods of recession, and labor unions seem to be reluctant in general to demand sharp wage hikes, since they prioritize stability of their employment in the long run.
Moreover, an increase in the labor supply in recent years — resulting in part from the government’s initiatives to promote the empowerment of women and the elderly — has been another factor in easing any upward pressure on wages.