Japan's Ageing, Labour-Starved Construction Industry Gives Economy a Capex Boost

"While the short-term boost could be small, construction investment tends to offer long-term support to the economy." The pain of a small labour pool is made worse by an ageing population. Japanese aged 60 or older now make up about a fourth of the construction industry's skilled workers, while those under 30 are just over a tenth of the total, down from about a fifth in the late 1990s. That means all companies are fighting for workers as the jobless rate hovers at more than two-decade low of 2.2% and the number of job openings for every applicant is near its highest point in 45 years. There were 5.1 million construction workers in Japan as of end-August, a 27% decline from 20 years ago.