The number of corporate bankruptcies in Japan caused by labor shortages has risen 17% from the previous year.
The figure reached 240 for the first half of the fiscal year, April to September, the highest level since comparable data became available in fiscal 2013, Tokyo Shoko Research said on Thursday.
Of them, failures stemming from soaring labor costs climbed nearly twofold to 130.
About 60% of bankruptcies caused by labor shortages occurred at businesses with less than ¥10 million ($63,000) in capital.
“Pressure to raise wages weighed on the finances of small and midsize companies,” a Tokyo Shoko Research official said.
The total number of bankruptcies in the first half of the fiscal year rose 3.8% to 5,373, a 13-year high for the period. The data covered failures with liabilities of at least ¥10 million.
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Failures caused by rising prices rose 17.8% to 436, while those related to failures in finding a successor jumped 23.4% to a record high of 263.
By industry, services firms, including restaurants and hotels, made up the largest share of bankruptcies, at 1,828, up 3.7%.
Total liabilities left by bankruptcies grew 23.5% to ¥856 billion because of an increase in large-scale bankruptcies including the failure of Zentoshin, a credit card payment processing service firm.
In September alone, the total number of bankruptcies fell 4.8% to 831. Liabilities dropped 3.1% to ¥108.9 billion.
