Japan facing "2024 Crisis" - services struggling to fight with changes

Japan is known for its great services but that may change this year.

The 2024 Problem is serious. 

It comes from the country's driver shortage and the Japanese government's new amendment on labor standards on April 1, limiting yearly overtime work of truck drivers to 960 hours.

This is a crucial logistics problem for all Japanese industries.

Koyama Misao from Koyama farm Colorful Yasai, in Tokyo, said that he feels that delivery companies are taking longer time to come to collect its produce. 

So the farm started delivering vegetables to destinations that are close to the farm.

Koyama Misao / We delivered to six places today. It took about three hours. I would rather be working in the farm during that time, but we need to deliver our produce.

He said that the lack of drivers is serious.

Koyama Misao / I understand that the drivers are trying very hard, so we can't say much. I guess we'd have to be delivering produce by ourselves, too. We might even have to hire a person who is dedicated to delivery. Things are getting difficult.

Some are scrambling to fight the severe lack of drivers.

Convenience store franchise chains Family Mart and Lawson announced on April 8th that they will team up to start joint delivery on April 11.

The chains will use same trucks to deliver products in some areas in the northern Tohoku region.

The new delivery system is expected to reduce delivery miles per-delivery by 120 kilometers.

The konbini-chain's first-of-a-kind joint delivery highlights the heaped stress the logistic industry is expected to face.

Yamato Transport also announced on April 8th that it would extend its parcel drop off service amid the issue. 

The Japanese delivery giant handles roughly 2.3 billion packages a year.

60 percent of them are Ta-Q-bin and Ta-Q-Bin Compact, the firm's delivery service that can be used for parcels up to 200 centimeters in linear dimension and a maximum weight of 30 kilograms.

Ta-Q-bin and Ta-Q-Bin Compact users will be able to opt for a drop off service starting June 10.

But the 2024 problem is still severe and will be a big issue to be confronted.