Recruitment difficulties and rising personnel costs due to labor shortages
First written in FY2017. 6 of 13 entries say "Worsened", first in FY2024. Latest entry: 2026-11-09.
Sanrin moved to the "Worse" side of this theme in 2024, 4 years after the typical company in this theme (2020).
The whole theme swung hardest in 2022: 25 of 57 companies on the "Worse" side.
31 other companies' latest entry also says "Worsened".
- FY2026WorsenedAnnual report
「The arrival of a labor-shortage economy caused by population decline and an aging population may prevent new hiring and other initiatives from progressing as planned. In addition, the resulting impact on personnel costs, including wage increases, may hinder the securing of earnings.」
In addition to recruitment difficulties due to labor shortages, the company continues to identify the impact of wage increases and other factors on personnel costs as an impediment to securing earnings. - FY2026-H1WorsenedAnnual report
「In terms of profit, selling, general and administrative expenses increased substantially due to factors including higher personnel costs resulting from wage increases, higher delivery costs, and the recognition of costs for replacing all PCs in response to Windows 11. As a result, the company posted an operating loss of ¥270 million, compared with an operating loss of ¥132 million in the same period of the previous year.」
Higher personnel costs resulting from wage increases and higher delivery costs continued, while the cost of replacing all PCs for Windows 11 was added, causing selling, general and administrative expenses to rise substantially. The operating loss widened from ¥132 million in the same period of the previous year to ¥270 million. - FY2025MaterialisedAnnual report
「In terms of profit, selling, general and administrative expenses increased due to factors including higher personnel costs and delivery costs. However, the company secured profits in its produce and real estate businesses, among others, resulting in operating profit of ¥652 million, up 6.4% year on year.」
Higher personnel and delivery costs materialized in the actual annual results as increased selling, general and administrative expenses. - FY2025-H1MaterialisedAnnual report
「In terms of profit, selling, general and administrative expenses increased due to factors including higher personnel costs resulting from wage increases and higher delivery costs. As a result, the company posted an operating loss of ¥132 million, compared with an operating loss of ¥117 million in the same interim period of the previous year.」
The previous risks of difficulty securing personnel and wage increases have materialized as higher personnel costs due to wage increases, resulting in higher selling, general and administrative expenses and an operating loss of ¥132 million. - FY2024WorsenedAnnual report
「Although social and economic activity has been normalizing with the recovery from the COVID-19 pandemic, the current business environment presents challenges including higher logistics costs due to the so-called 2024 problem, higher raw material costs caused by rising crude oil prices and the weaker yen, difficulty securing personnel due to population decline, and wage increases.」
In addition to the previous risks of recruitment difficulties and the impact of labor shortages on personnel costs, difficulty securing personnel due to population decline and wage increases have been explicitly identified as challenges facing the company. - FY2021RestatedAnnual report
「The Group recognizes that its people support the company’s sustainable development. In addition to strengthening new graduate recruitment, it is actively hiring mid-career employees and working across the Group to secure a stable workforce.」
As measures to address recruitment difficulties and rising personnel costs due to labor shortages, the company continues to strengthen new graduate recruitment and conduct mid-career hiring. - FY2020MitigatedAnnual report
「The Group recognizes that its people support the company’s sustainable development. In addition to strengthening new graduate recruitment, it is actively hiring mid-career employees and working across the Group to secure a stable workforce.」
In response to the risks of recruitment difficulties and rising personnel costs due to labor shortages, the company is strengthening new graduate recruitment and conducting mid-career hiring. - FY2019-Q1MaterialisedAnnual report
「Although the economy has remained on a gradual recovery trend, the pace of economic expansion has begun to stall due to rising costs resulting from higher crude oil prices and labor shortages, as well as the impact of trade friction involving the United States.」
The risk previously described as recruitment difficulties and potential impacts on personnel costs due to labor shortages is now described as having emerged in the actual economic environment as rising costs caused by labor shortages. - FY2017First statedAnnual report
「The arrival of a labor-shortage economy caused by slower population growth and an aging population may prevent new hiring and other initiatives from progressing as planned. In addition, the resulting impact on personnel costs may hinder the securing of earnings.」
Delays in new hiring due to labor shortages and their impact on personnel costs may hinder the securing of earnings.