Monthly Labour Survey – Preliminary Results for March 2026 (Reiwa 8)

News Highlights

According to the preliminary results of the Monthly Labour Survey for March 2026, while the total cash earnings in the medical and welfare sector show an increasing trend compared to the same month of the previous year, it is inferred that real wages continue to decline due to the impact of price increases. This situation suggests an increasing burden of personnel costs for medical institutions and a worsening of challenges in recruitment and retention.

M&A Medical Editorial Department’s Perspective

The decline in real wages in the medical and welfare sector, as indicated by the Monthly Labour Survey, serves as a strong incentive for medical institution managers facing the double burden of rising personnel costs and difficulty in recruitment to consider business succession and M&A at an early stage. Particularly for directors and presidents around the age of 60, it is advisable to explore avenues to maximize business value through third-party succession, rather than resorting to closure or廃業 (going out of business), with a view to business continuity in 5 to 10 years. From the perspective of maintaining regional healthcare and securing employee employment, early planning of M&A strategy with specialized advisors is essential.

Key Issues Indicated by This News

• The decline in real wages may accelerate the increase in personnel costs and recruitment difficulties for medical institutions.
• Directors and presidents around the age of 60 are urgently required to consider third-party succession for business continuity in 5 to 10 years.
• The importance of M&A aimed at maximizing business value is increasing as an alternative to closure or business cessation.
• Early consultation with experts is recommended to maintain regional healthcare and secure employee employment.

Practical Questions Arising from This News

• To what extent, specifically, does the decline in real wages increase personnel cost pressure?
• What are the most critical points to consider when contemplating third-party succession?
• What are the concrete schemes for proceeding with M&A while maintaining employee employment?

If You Feel “Should I Consult Too?”

The decline in real wages indicated by the Monthly Labour Survey reflects the harsh management environment for medical institutions. This situation increases the risk to business continuity, especially for directors and presidents who are aging and struggling with lack of successors. Before facing the option of closure or business cessation, why not consider the possibility of M&A to maintain and improve your institution's business value with the help of experts?

M&A Medical (CentralMedience Inc.) supports business succession for medical corporations, hospitals, and clinics on a full success fee basis as a certified M&A support institution by the Small and Medium Enterprise Agency. Consultations are accepted with strict confidentiality. Free consultation here