Looking ahead, from somewhat of a longer-term perspective, an uptrend in total cash earnings is expected to gradually become evident, accompanied by a pick-up in scheduled cash earnings, including base pay, on the back of the improvement in corporate profits and the rise in inflation expectations, in addition to tighter labor supply and demand conditions brought about by economic recovery.
Cooperation among the government, workers, and employers in order to realize the virtuous cycle is also expected to contribute to a pick-up in wages. Against the background of continued improvement in the employment and income situation, private consumption will likely remain resilient as a trend despite downward pressure on disposable income stemming from the tax hike.