Square Enix, a major Japanese game developer and publisher, has announced plans to raise employee salaries by an average of 7% starting April 2023. The increase targets approximately 1,800 regular employees working in Japan and excludes part-time and temporary staff. This decision responds to the rising inflation rates and the resulting increase in living costs that have affected Japanese workers recently. The salary adjustment aims to support employees' financial stability and enhance motivation amidst a highly competitive labor market. This development follows the company's report of a sales decline in its financial results for the third quarter of fiscal year 2022. Square Enix's salary increase illustrates the company's efforts to retain talent and manage workforce challenges in a difficult economic environment.