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Tsunagu Group Holdings Unveils a Strategic Plan for 2026-2030

Tsunagu Group Holdings, a leading company in recruitment process outsourcing (RPO) and consulting based in Tokyo, has officially announced its mid-term management plan covering the fiscal years from September 2026 to September 2030. This strategic initiative aims to significantly tackle Japan's pressing labor market challenges, which are exacerbated by an aging population and declining birth rates.

Business Model Focused on Client Needs

Since its inception in 2007, Tsunagu Group has uniquely positioned itself to address the recruitment challenges faced by major corporations across various industries. By merging consulting with RPO services, the company has successfully implemented tailored solutions for its clients. The upcoming five years are deemed critical for the company as it seeks to mitigate the labor supply-demand gap projected for 2030. This mid-term plan embodies Tsunagu's vision of becoming a vital infrastructure within the recruitment market, providing substantial solutions to Japan's labor scarcity.

Understanding Labor Shortages

Recent analysis indicates a strong correlation between the company's performance and the number of hours lost due to insufficient labor, with a correlation coefficient of 0.85. It is anticipated that by 2030, the labor deficit will reach approximately 13.86 million hours per day, equating to an annual shortfall of around 5 billion hours. The service and healthcare industries represent the bulk of this deficit, underscoring the necessity to resolve gaps in these sectors to create meaningful impacts.

Innovative Recruitment Strategy: Circular Recruiting

To address labor shortages, Tsunagu Group is implementing a strategy called “Circular Recruiting.” This initiative aims to tap into underutilized domestic labor potential, including individuals seeking additional work. By advocating for the