However, until recently, this did not manifest itself in the form of labor shortages, since labor demand has been sluggish, so that the problem was not sufficiently addressed. Fortunately, during the current economic recovery, labor force participation rates, in particular those of women and the elderly, have been rising (Chart 8).
It is critical to ensure that this phenomenon is not a cyclical one, but becomes permanent by creating a work environment favorable to women and the elderly in order to mitigate labor force shortages over time. Utilization of foreign workers also deserves consideration. Another way to mitigate future labor shortages is to prompt investment in labor-saving technology and research and development for such investment.