Nintendo Is Raising Its Employee Pay By 10% In Japan

Despite a downturn in sales and profits for Nintendo in its third quarter, it’s reportedly raising the base salaries of its employees by 10% in its homeland.

A report by Reuters reveals the Japanese video game giant is taking action to secure the “long-term growth” of its workforce. It follows calls from the country’s Prime Minister Fumio Kishida – asking local companies to increase pay for workers to combat inflation.

“It’s important for our long-term growth to secure our workforce,” Nintendo President Shuntaro Furukawa told an earnings briefing. (via Reuters)

Nintendo has also revised its annual software sales forecast from 210 million units to 205 million units and reduced its Switch sales target from 19 million to 18 million for the next period. The revised forecast and decline in earnings are tied to inflation within the local economy as well as fluctuations in foreign exchange markets.

The company has previously said it does not plan to raise software or console prices in the near future but is open to a price hike if circumstances were to change. It’s also remained tight-lipped about a possible successor to the Switch.

On a more positive note, the company has experienced strong growth in digital game sales and Switch system sales are quickly closing in on the one billion mark. You can find out more in the following stories: