Rising labor costs and construction delays due to labor shortages
First written in FY2016. 9 of 14 entries say "Restated". Latest entry: FY2026.
Tanabe Engineering moved to the "Worse" side of this theme in 2022, 1 year before the typical company in this theme (2023).
The whole theme swung hardest in 2024: 13 of 17 companies on the "Worse" side.
8 other companies' latest entry also says "Restated".
- FY2026RestatedAnnual report
「Due to population decline caused by the declining birthrate and aging population, as well as the decline and aging of workers in the same industry, it may become difficult to secure new personnel and establish construction capacity, which could affect the performance of our Group.」
It reconfirms the risk that difficulty in securing personnel could affect construction capacity and performance, and lists responses through the Human Resources Department, the hiring project, the training center and cooperation with partner companies. - FY2025RestatedAnnual report
「Due to population decline caused by the declining birthrate and aging population, as well as the decline and aging of workers in the same industry, it may become difficult to secure new personnel and establish construction capacity, which could affect the performance of our Group.」
It reconfirms the risk that difficulty in securing personnel could affect construction capacity and performance, and lists responses through hiring, the training center and cooperation with partner companies. - FY2024WorsenedAnnual report
「Due to population decline caused by the declining birthrate and aging population, as well as the decline and aging of workers in the same industry, it may become difficult to secure new personnel and establish construction capacity, which could affect the performance of our Group.」
The difficulty of securing personnel is explicitly identified as a performance risk if construction capacity cannot be established, and is linked to actual increases in labor costs and lower project profitability. - FY2024-Q3WorsenedAnnual report
「Several projects in the facilities construction business became less profitable because the increases in material, labor and other costs resulting from changes in market conditions could not be absorbed.」
The inability to absorb increases in labor and other costs has resulted in profitability risks related to labor shortages and rising labor costs, reflected in lower profitability across multiple projects. - FY2022WorsenedAnnual report
「We recognize that our Group also faces business risks, including the interruption, cancellation or postponement of construction projects and the securing of construction workers.」
It explicitly identifies securing construction workers as a business risk related to the risk of labor shortages affecting construction capacity. - FY2021RestatedAnnual report
「Against a backdrop of declining birth rates and an aging population that is making it increasingly difficult to secure younger workers, the Group will strengthen its own human resources while also deepening cooperation with partner companies and working to secure, rapidly develop and deploy personnel effectively.」
It reconfirms the recognition of personnel-related risks stemming from difficulties in securing younger workers, along with responses through hiring, training and cooperation with partner companies. - FY2020-Q3RestatedAnnual report
「In the electrical and mechanical construction industry, public investment remained firm, and although some weakness was seen in private-sector capital investment, it was generally firm. However, order and price competition remained severe, partly due to labor shortages and other factors.」
It is stated that labor shortages continue to affect the severity of order and price competition. - FY2020-Q2RestatedAnnual report
「Public investment remained firm, and although some weakness was seen in private-sector capital investment, it was generally firm. However, order and price competition remained severe, partly due to labor shortages and other factors.」
It is stated that labor shortages continue to affect the severity of order and price competition. - FY2019RestatedAnnual report
「Amid a generally flat trend in both public investment and private-sector capital investment, order and price competition remained severe, partly due to labor shortages and other factors.」
It is stated that labor shortages continue to affect the severity of order and price competition. - FY2019-Q3RestatedAnnual report
「Amid a generally flat trend in both public investment and private-sector capital investment, order and price competition remained severe, partly due to labor shortages and other factors.」
It is stated that labor shortages continue to affect the severity of order and price competition. - FY2019-Q2RestatedAnnual report
「Public investment remained firm, and private-sector capital investment also showed signs of increasing against a backdrop of strong corporate earnings. However, order and price competition remained severe, partly due to labor shortages and other factors.」
It is stated that labor shortages continue to affect the severity of order and price competition. - FY2019-Q1RestatedAnnual report
「Public investment remained firm and private-sector capital investment showed signs of growth against a backdrop of strong corporate earnings. However, competition for orders and on price remained severe, partly due to the impact of labor shortages.」
It is stated that labor shortages continue to affect order and price competition in the industry. - FY2017MaterialisedAnnual report
「Rising labor costs, construction delays and higher material costs due to labor shortages have become apparent, creating a challenging earnings environment.」
The annual report also confirms that rising labor costs and construction delays associated with labor shortages have become apparent. - FY2016First statedAnnual report
「Rising labor costs and construction delays due to labor shortages have become apparent, creating a challenging earnings environment.」
The company explicitly states that rising labor costs and construction delays associated with labor shortages have become apparent.