Rising labor costs drive Japanese bankruptcies to 13-year high in January
Japanese bankruptcies hit a 13-year high in January as firms struggle with rising labor costs. Officials are now under pressure to help smaller companies.
Insights:
Corporate bankruptcy filings in Japan 
JP rose 5.6 percent in January to 887 cases, marking the highest total for the month in 13 years. According to data from Tokyo Shoko Research, the surge reflects growing pressure on small firms as they grapple with a tight labour market and the rising cost of personnel. This development is particularly significant as it precedes the March fiscal year-end, a period when demand for funds typically increases among businesses across Japan JP.
JP rose 5.6 percent in January to 887 cases, marking the highest total for the month in 13 years. According to data from Tokyo Shoko Research, the surge reflects growing pressure on small firms as they grapple with a tight labour market and the rising cost of personnel. This development is particularly significant as it precedes the March fiscal year-end, a period when demand for funds typically increases among businesses across Japan JP.
