Japan - Real Wages & Salaries

To estimate the quarterly wage and salary levels, the quarterly estimates use as the basis the total wage/salaries in the Jan-Mar quarter (as mentioned in the latest annual estimation) derived from "Annual Report on the Labor Force Survey," "Annual Report on the Monthly Labour Survey" and various financial statements, and grasps the increase/decrease in employees (from "Monthly Report on the Labour Force Survey") and the wage/salaries per employee from "Monthly Labour Survey"; and then, conducts a quarter-to-quarter ratio comparison of wages/salaries as obtained by adjusting the coverage difference between "Annual Report" and "Monthly Report." 

Employer's actual social contribution 

Employer's actual social contribution is made up of "compulsory actual social contribution" (welfare pension, welfare insurance special account, health insurance by private mutual association, employers' contribution to each mutual benefit society) obligated by law or regulation, and voluntarily-borne "voluntary actual social contribution" (employers' contributions to pension fund (welfare pension fund, etc)).

To estimate voluntary actual social contribution, the quarterly estimates use the Jan-Mar quarter value (as mentioned in the most recent annual estimation) as the basis, and collects information from basic materials of various pension funds, including "Monthly Report on the Labor Force Survey" and "Monthly Labour Survey." This is how it is calculated.

Employer's imputed social contribution  

Regarding lump-sum retirement allowances that occupy a significant portion of employer's imputed social contribution, the quarterly estimates use as the basis the Jan-Mar value (as mentioned in the latest annual estimation derived from "Annual Statistical Report of the National Tax Administration," financial statements of central and local governments and the number of displaced workers data in "Monthly Labour Survey"), estimates the number of displaced workers from the job separation rate data in "Monthly Labour Survey," and conducts a quarter-to-quarter comparison of the number of dispatched workers to calculate the QE quarterly value.

Other categories of employer's imputed social contribution would include public service-related accidents, liability insurance for workers' accidents, etc. The quarterly estimates use as the basis the Jan-Mar value as mentioned in the latest annual estimation, and estimates quarterly preliminary values by collecting data from source materials: "Monthly Report on the Labour Force Survey" and "Monthly Labour Survey.

To estimate the compulsory actual social contribution, the quarterly estimates use as the basis the Jan-Mar quarter value (as mentioned in the latest annual estimates) and collects information on applicable insurance premium rates and basic materials relating to various insurance systems and mutual aids(amount and rate of employers' contribution), such as "Monthly Report on the Labor Force Survey" and "Monthly Labour Survey." Based on these materials and data, the value for the corresponding quarter is estimated.

Data is revised when new data becomes available.

Nominal value for original series is estimated on a quarter-to-quarter comparison of source statistics. It is a quarterly release.

Real value for original series is calculated by dividing the employees compensation (original series, nominal) by the household final consumption expenditure deflator (except for imputed rent).

Regarding the seasonally adjusted value, the nominal value (for wage/salaries, employer's actual social contribution, and employer's imputed social contribution) is obtained by conducting seasonal adjustment with X-12-ARIMA; however, the real value is calculated by dividing the seasonally adjusted nominal value (except for imputed rent) by the household final consumption expenditure's seasonally adjusted deflator (calculated as "seasonally adjusted nominal value / seasonally adjusted real value").