Bankruptcies in August exceed 800 for the first time in 12 years, with labor shortage-related bankruptcies also on the rise

The number of corporate bankruptcies nationwide last month exceeded 800 for the first time in 12 years for the month of August.

Last month, there were 805 corporate bankruptcies, an increase of 82 from the previous year.

This marks the third consecutive month that the number has exceeded the previous year, and the first time in 12 years that the number has exceeded 800 for the month of August, with total liabilities reaching 114.373 billion yen, more than 10% higher than the previous year.

Additionally, the number of bankruptcies related to labor shortages, which remain at a high level due to rising labor costs, reached 23, exceeding 20 for the first time in August.

Tokyo Shoko Research analyzed the situation, saying, "Wage increases are unavoidable in order to hire new personnel, but in a situation where it is difficult to secure the funds for wage increases due to rising prices and other factors, this could directly lead to a decrease in cash flow."