Japan’s largest labor union federation will push for wage increases of around 6% in next year’s pay negotiations, seeking to build on recent gains as the government targets sustained pay rises to help drive consumer spending and boost economic growth.

Rengo plans to urge affiliated unions to demand total pay increases of at least 5% and ideally 6%, in annual wage negotiations culminating next spring, according to targets outlined in its draft policy framework Thursday. That includes base-pay increases of at least 3% and ideally 4%.

After setting a target of at least 5% last year, the federation added the 6% figure to encourage unions to push for even bigger pay increases, according to Akira Nidaira, assistant secretary-general at Rengo.

Member unions typically submit their wage demands by around February, with companies responding from March onward.

Workers affiliated with Rengo secured an average wage increase of 5.01% in negotiations earlier this year, with the gains feeding into the government’s…