Risks from Labor Shortages and Rising Labor Costs
First written in FY2016. 15 of 23 entries say "Restated". Latest entry: 2026-10-14.
Delica Foods Holdings moved to the "Worse" side of this theme in 2018, 2 years before the typical company in this theme (2020).
The whole theme swung hardest in 2025: 36 of 59 companies on the "Worse" side.
16 other companies' latest entry also says "Materialised".
- FY2026-H1RestatedAnnual report
「Demand in the food-service industry, a major customer of our group, continues to trend upward against a backdrop of recovering foot traffic and expanding inbound consumption. However, the operating environment remains unpredictable as chronic labor shortages, rising logistics and labor costs, and consumers' continued preference for saving due to higher prices persist.」
Chronic labor shortages and rising logistics and labor costs continue to be identified as operating-environment risks. - FY2024-Q1RestatedAnnual report
「In addition to chronic labor shortages, the operating environment remains unpredictable as resource and raw-material prices surge and logistics and labor costs continue to trend upward.」
Chronic labor shortages and the continuing upward trend in logistics and labor costs are identified as a challenging operating environment. - FY2023-Q1WorsenedAnnual report
「However, the situation remains unpredictable due to constraints on store operations in some areas caused by labor shortages and concerns that consumer activity may be restrained by a renewed increase in the number of COVID-19 cases.」
Labor shortages are described as affecting not only labor costs but also store operations, making their operational impact more concrete. - FY2022RestatedAnnual report
「The operating environment surrounding our group has changed significantly, including a decline and aging of the farming population, difficulties in procuring food due to climate change, changes in the food business environment, and the rapid development and adoption of digital technologies.」
Changes in the labor and procurement environment, including the decline and aging of the farming population, continue to be identified as operating-environment challenges. - FY2022-Q3WorsenedAnnual report
「In the food-related industry in which our group operates, some business formats, including fast food, saw sales exceed pre-pandemic levels. However, many food-service operators continue to face a challenging operating environment, with customer traffic recovering slowly and labor shortages arising as businesses resumed operations simultaneously.」
The shortage of labor resulting from the resumption of operations is described as a newly emerging issue, showing that labor-shortage risk has become a specific industry condition in addition to its previous chronic nature and associated cost increases. - FY2021RestatedAnnual report
「The operating environment surrounding our group has changed significantly, including a decline and aging of the farming population, difficulties in procuring food due to climate change, changes in the food business environment, and the rapid development and adoption of digital technologies.」
Changes in the labor and procurement environment, including the decline and aging of the farming population, continue to be identified as operating-environment challenges. - FY2020RestatedAnnual report
「The challenging environment is expected to continue, including surging vegetable prices and deteriorating quality caused by abnormal weather, which has occurred almost every year in recent years; consumers' growing awareness of food safety and security; and the increasing risk of securing personnel due to labor shortages, together with the resulting rise in labor costs.」
The risk of securing personnel and rising labor costs are cited again as ongoing operating-environment challenges, alongside abnormal weather and other factors. - FY2020-Q2RestatedAnnual report
「The food-related industry also continues to face difficult operating conditions, as consumers remain strongly inclined to economize, while labor shortages are becoming more serious, logistics costs are rising, and adverse weather and natural disasters have affected the industry since July.」
The worsening labor shortage and rising logistics costs continue to be identified as a challenging operating environment. Higher labor costs resulting from increases in the minimum wage are also cited again as a factor affecting profit. - FY2020-Q1WorsenedAnnual report
「The food-related industry also continues to face a challenging operating environment due to consumers' persistently strong preference for saving, the worsening labor shortage, and rising raw-material prices and logistics costs.」
The worsening labor shortage and higher labor costs resulting from increases in the minimum wage are identified as factors affecting profit. - FY2019-Q3RestatedAnnual report
「In the food-related industry, consumers' strong preference for saving remains strong amid price increases for everyday necessities. In addition, the challenging environment continues due to higher labor costs resulting from labor shortages and rising raw-material prices and logistics costs.」
It continues to identify higher labor costs resulting from labor shortages, together with rising raw-material prices and logistics costs, as a challenging operating environment. - FY2019-Q2WorsenedAnnual report
「In the food-related industry, consumers' strong preference for saving remains unchanged amid stagnant income growth and price increases for everyday necessities. In addition, the operating environment remains challenging due to the worsening labor shortage and rising raw-material prices and logistics costs.」
The longstanding labor shortage is described as worsening, while rising raw-material prices and logistics costs are also cited, indicating that risks in the operating environment have deepened. - FY2019-Q1WorsenedAnnual report
「In the food-related industry, consumers' strong preference for saving remains unchanged amid stagnant income growth. In addition, the operating environment remains challenging due to the worsening labor shortage and rising raw-material prices and logistics costs.」
In addition to the previously cited labor shortages and rising labor costs, the labor shortage is now described as worsening, and higher labor costs have also emerged as a factor affecting profit in the current quarter. - FY2018RestatedAnnual report
「Extremely difficult operating conditions continued, including rising personnel and recruitment costs due to tight labor supply and demand and rising logistics costs.」
It continues to identify rising labor and recruiting costs against a backdrop of labor shortages as a challenging operating environment. - FY2018-Q3MaterialisedAnnual report
「Segment profit (ordinary profit) was ¥3 million, down ¥1 million, or 31.3%, from the same quarter of the previous year, due to higher labor costs associated with driver shortages and the incurrence of costs to establish a logistics network.」
Higher labor costs associated with driver shortages actually occurred and were quantified as a factor behind lower profit in the logistics business. - FY2018-Q2RestatedAnnual report
「The food-related industry continues to face difficult conditions. Consumers' concern about food safety and security and their inclination to economize have become entrenched, while personnel and recruitment costs are rising because of tight labor supply and demand, and logistics costs are also increasing.」
The company continues to identify tight labor supply and demand and rising personnel and recruitment costs as issues in the business environment. - FY2018-Q1RestatedAnnual report
「Although some consumption has begun to recover, the food-related industry continues to face difficult conditions. Consumers' concern about food safety and security and their inclination to economize have become entrenched, while difficulties in securing personnel because of labor shortages persist, along with rising personnel and recruitment costs.」
The company continues to describe difficulties in securing personnel because of labor shortages and rising personnel and recruitment costs as factors contributing to the difficult business environment. - FY2017RestatedAnnual report
「There are concerns that difficult conditions will continue, with consumers becoming increasingly concerned about food safety and security, while labor shortages are increasing the risk of securing personnel and driving up labor costs.」
The company continues to identify labor shortages, risks in securing personnel and rising labor costs as issues in the operating environment. - FY2017-Q3RestatedAnnual report
「Difficult conditions have continued, including intensifying competition among companies and increases in personnel and recruitment costs resulting from chronic labor shortages.」
The company continues to describe competition among companies, chronic labor shortages and rising personnel and recruitment costs as factors contributing to the difficult operating environment. - FY2017-Q2RestatedAnnual report
「Difficult conditions have continued, including intensifying competition among companies and increases in personnel and recruitment costs resulting from chronic labor shortages.」
The company continues to describe chronic labor shortages and rising personnel and recruitment costs as issues facing the food-related industry. - FY2017-Q1RestatedAnnual report
「Difficult conditions have continued, including intensifying competition among companies and increases in personnel and recruitment costs resulting from chronic labor shortages.」
The company continues to describe chronic labor shortages and rising personnel and recruitment costs as factors contributing to the difficult operating environment in the food-related industry. - FY2016First statedAnnual report
「The difficult operating environment has continued, with soaring raw material and supply prices due to the weaker yen, increased risks in securing personnel because of labor shortages, and associated increases in labor costs, among other factors.」
The increase in personnel expenses and recruitment costs became apparent during the year. The company's growth initiatives include the use of automated and labor-saving production lines.