A Japanese government report has indicated that more than 70% of accommodation facilities in the country are suffering from labor shortages amid a boom in the tourism sector, which is a key driver of the economy, underscoring the need for more investment in automation and better benefits to attract workers.

The annual white paper on tourism, reported by the Japan Today newspaper on Sunday, pointed to the risk of a "vicious cycle" in the sector, where increased workloads lead to more people leaving their jobs.

The government conducted a survey between December and January, covering 522 accommodation facilities, 72.2% of which reported a "labor shortage," noting that dealing with increased pressure on existing staff during peak tourist seasons poses a major challenge.

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