{"id":58134,"date":"2026-02-01T08:00:59","date_gmt":"2026-01-31T23:00:59","guid":{"rendered":"https:\/\/norimen.net\/?p=58134"},"modified":"2026-05-16T17:59:32","modified_gmt":"2026-05-16T08:59:32","slug":"norimen-daily-wage-decision","status":"publish","type":"post","link":"https:\/\/norimen.net\/en\/norimen-daily-wage-decision\/","title":{"rendered":"Standard Practices for Slope Stabilization Work (Determining Costs)"},"content":{"rendered":"

Hello, everyone.<\/p>\n

This is Enta.<\/p>\n

At your company,For everyday use<\/strong><\/span>If someone asked me that, how much would it be?<\/p>\n

\"Standard<\/p>\n

Let's break that down!<\/p>\n

Average Annual Income of Public Construction Contractors<\/h3>\n

For example, the average annual income of workers in the construction industry<\/p>\n

Construction Management Position: 6 million to 7 million yen<\/p>\n

Field Workers: 4 million to 5 million yen<\/p>\n

It is said that...<\/p>\n

 <\/p>\n

For a regular employee, let's assume an annual income of 5 million yen.<\/p>\n

Although there are social insurance premiums and other costs, since this is a regular calculation, we will include them in the calculation.<\/p>\n

Assuming work is performed on weekends and holidays throughout the year, the maximum number of construction days would be 250 (this is strictly a maximum).<\/p>\n

Statutory Welfare Benefits (Company Share)<\/b>: Approximately 750,000 yen<\/p>\n

\n

The employer's share of social insurance (health insurance and employees' pension insurance), unemployment insurance, and workers' compensation insurance is calculated as approximately 15% of annual income.<\/p>\n<\/blockquote>\n

Total Labor Costs<\/b>: 5,750,000 yen<\/b><\/p>\n

 <\/p>\n

Addition of SG&A Expenses and Profit<\/h3>\n

Referring to the breakdown of public works cost estimates (common temporary facility costs, site management costs, and general administrative costs),<\/p>\n

It is standard practice in the construction industry to add **30% to 40%** to labor costs. (This applies to both large and small\/medium-sized companies.)<\/p>\n\n\n\n\n\n\n\n
Item<\/strong><\/td>\nCoefficient<\/strong><\/td>\nAmount (Annual)<\/strong><\/td>\nNotes<\/strong><\/td>\n<\/tr>\n<\/thead>\n
Labor Costs<\/b><\/span><\/td>\n1.0<\/span><\/td>\n5,750,000 yen<\/span><\/td>\nSalary + Statutory Benefits<\/span><\/td>\n<\/tr>\n
Overhead Expenses and Profit<\/b><\/span><\/td>\n0.35<\/span><\/td>\n2,012,500 yen<\/span><\/td>\nAdministrative expenses, supplies, vehicles, profits, etc.<\/span><\/td>\n<\/tr>\n
Total Sales Target<\/b><\/span><\/td>\n1.35<\/b><\/span><\/td>\n7,762,500 yen<\/b><\/span><\/td>\nAnnual Amount the Company Should Bill<\/span><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

Standard Daily Rate<\/p>\n

250 working days per year<\/p>\n

7,762,500 yen \u00f7 250 days = 31,050 yen<\/b><\/p>\n

Conclusion: Reasonable Pricing<\/h2>\n
    \n
  • \n

    Minimum: 31,000 yen<\/b>(I'll do it if I'm really bored\u2014it doesn't benefit the company.)<\/p>\n<\/li>\n

  • \n

    Reasonable Price Range: 33,000 yen to 35,000 yen<\/b>(This is the absolute minimum if we're going to negotiate.)<\/p>\n<\/li>\n

  • \n

    Target Price Range: 35,000 yen and up<\/b>(Equipment. Taking into account equipment upgrades and contingency funds, I\u2019ll stick with this general contractor!)<\/p>\n<\/li>\n<\/ul>\n

     <\/p>\n

    Even when compared to the \u201cPublic Works Design Labor Unit Rates (Reiwa 7\/8 Fiscal Year Indicators)\u201d for public works projects, the standard rate for many job categories is around 30,000 yen.<\/p>\n

    In order to guarantee an annual income of 5 million yen while also ensuring the company remains profitable,At least 35,000 yen (excluding tax)<\/b>It is reasonable to accept the order at that price.<\/p>\n

    Or rather, since this is the bare minimum, if the budget is based on this, the unit price will definitely end up being unattractive. (For regular use)<\/p>\n

     <\/p>\n

    If the major companies don't set their unit prices at this level, some contractors will definitely be unable to continue operating in the future.<\/p>\n

    However, from a cost estimation perspective, if this unit price is applied to a single trade, there is a very real possibility that the general contractor will not turn a profit.<\/p>\n

    Therefore, I think it would be safer to set the minimum unit price for contract work at 30,000 yen or more when doing your calculations.<\/p>\n

    There are benefits to buying in bulk, after all.<\/p>\n

     <\/p>\n

    See you later.<\/p>\n

    Isn't It Time to Raise Construction Unit Prices? | Industry Challenges<\/a><\/p><\/blockquote>\n