Persistently High Labor Costs Driven by Soaring Building Material Prices and Labor Shortages
First written in FY2018. 11 of 20 entries say "Restated". Latest entry: 2026-11-10.
Totech moved to the "Worse" side of this theme in 2026, 5 years after the typical company in this theme (2021).
The whole theme swung hardest in 2022: 21 of 32 companies on the "Worse" side.
9 other companies' latest entry also says "Worsened".
- FY2025RestatedAnnual report
「Amid a highly uncertain economic environment, the construction industry surrounding the Group continues to face structural supply-side challenges, including soaring construction material prices, a declining workforce resulting from the declining birthrate and aging population, and chronic shortages of engineers.」
Soaring construction material prices, a declining workforce resulting from the declining birthrate and aging population, and chronic shortages of engineers continue to be identified as structural supply-side challenges. - FY2025-H1RestatedAnnual report
「Many supply-side challenges remain, including persistently high construction material prices and chronic shortages of engineers, and it will remain necessary to monitor their impact on the business environment.」
Persistently high construction material prices and chronic shortages of engineers continue to be identified as supply-side challenges. - FY2024-Q3RestatedAnnual report
「In the construction industry surrounding the Group, both public and private investment remain solid and the order environment is favorable, but many supply-side challenges remain, including persistently high construction material prices and chronic shortages of engineers, and difficult operating conditions continue.」
Persistently high construction material prices and chronic shortages of engineers continue to be identified as supply-side challenges and factors contributing to difficult operating conditions. - FY2024-Q1RestatedAnnual report
「There are many supply-side challenges, including persistently high construction material prices and chronic shortages of engineers, and difficult operating conditions continue.」
Persistently high construction material prices and chronic shortages of engineers continue to be identified as supply-side challenges and factors contributing to difficult operating conditions. - FY2023-Q3RestatedAnnual report
「In the construction industry surrounding the group, with an eye to the post-COVID-19 period, public and private-sector investment remained firm and the order environment was favorable. However, the operating environment remained challenging on the supply side as the effects of soaring construction material prices, delivery delays, and other factors persisted.」
The Company reaffirms its recognition that soaring construction material prices and delivery delays have persisted and that difficult supply-side operating conditions continue. - FY2023-Q1RestatedAnnual report
「In the construction industry surrounding the group, public and private-sector investment remained firm and the order environment was favorable, but the operating environment remained challenging on the supply side as the effects of soaring construction material prices, delivery delays, and other factors persisted.」
The Company reports that difficult supply-side conditions caused by soaring construction material prices and delivery delays have persisted from the previous fiscal year. - FY2022MaterialisedAnnual report
「In the construction industry surrounding the group, public investment remained firm and private-sector construction investment also showed signs of recovery. However, the operating environment remains challenging on the supply side due to the impact of soaring construction material prices, delivery delays, and other factors.」
The Company reports that soaring construction material prices and delivery delays have actually occurred and that difficult operating conditions on the supply side continue. - FY2022-Q2RestatedAnnual report
「In the construction industry surrounding the group, private-sector capital investment began to resume as corporate earnings showed signs of recovery. However, the earnings environment remains challenging due to a chronic shortage of engineers and persistently high labor costs.」
Chronic shortages of engineers and persistently high labor costs are identified as factors making the earnings environment more challenging, following FY2022-Q1. - FY2022-Q1Risk re-emergenceAnnual report
「Meanwhile, the earnings environment remains challenging due to the chronic shortage of engineers and persistently high labor costs.」
Labor shortages and persistently high labor costs, which were not expressly identified as independent risk factors in FY2021, are again expressly identified this quarter as factors making the earnings environment more challenging. - FY2021DroppedAnnual reportThe previous disclosure identifying persistently high labor costs due to soaring construction material prices and labor shortages as an independent risk factor cannot be confirmed in the current year’s “Business and Other Risks.”
- FY2020-Q3RestatedAnnual report
「In the construction industry, construction demand remained robust, driven mainly by continued redevelopment in urban areas, while difficulties in securing labor and the resulting significant increase in labor costs also continued.」
Despite robust construction demand, difficulties in securing labor and rising labor costs continue to be significant issues. - FY2020-Q2RestatedAnnual report
「In the construction industry, robust construction demand continued, driven mainly by redevelopment in urban areas, while difficulties in securing labor and the resulting significant increase in labor costs also continued.」
The difficulty of securing labor and the resulting increase in labor costs continue to be significant issues. - FY2019WorsenedAnnual report
「The operating environment surrounding the Group is expected to remain uncertain, amid such factors as growing uncertainty in the global economy, soaring construction costs, an acceleration in labor shortages following the implementation of laws related to work-style reforms, and fluctuations in the financial and capital markets.」
In addition to soaring construction costs, the Company expressly identifies an acceleration in labor shortages following the implementation of laws related to work-style reforms, expanding the cost- and labor-related risk factors facing the construction industry. - FY2018First statedAnnual report
「Intensifying competition for orders, soaring construction material prices, and persistently high labor costs due to chronic labor shortages continued to be significant issues.」
Soaring construction material prices and persistently high labor costs due to chronic labor shortages are described as significant conditions, indicating new risk factors relating to the construction industry’s cost environment.