On the 17th, Japan's Ministry of Land, Infrastructure, Transport and Tourism announced a significant 4.5% increase in the wage standards used to calculate the expected prices for public works starting in March. This marks the 14th consecutive year of wage increases, pushing the average daily wage across all 51 construction professions to 25,834 yen, surpassing the 25,000 yen mark for the first time. The increase is primarily seen among 12 major professions, such as carpenters and plasterers, with even higher rates for positions like traffic guidance security personnel and formwork workers, exceeding 5%.

The new wage statistics highlight a continuing trend in Japan's construction sector, which faces challenges from an aging worker population and a severe labor shortage. The report indicates that while overall average wages across the labor force are rising, the construction industry is particularly affected. The highest average wages reported include formwork workers earning 31,671 yen per day, with other trades such as rebar and scaffolding workers also crossing the 30,000 yen threshold. This wage hike is seen as a positive step toward improving labor conditions, with hopes that it may lead to broader wage increases in the private construction sector as well.

It's important to note that the newly set design labor unit prices do not include costs borne by employers, such as extra pay for overtime, holidays, or night work, and project management expenses. Therefore, while this increase is aimed at attracting more workers to the construction industry, concerns remain about the overall working conditions and sustainability of labor supply amid growing demand for construction projects in Japan.