I have heard about the labor shortage from several manufacturers that I deal with. It seems that a lot of the lower wage workers are moving from toy companies to heavy industrial, washing machines, air conditioners and such, for better wages. It is interesting the disparity at some of the toy companies that I have seen pictures of, on one hand I have seen pictures of a barefoot worker cleaning up metal castings on the floor, people painting without respirators and such, on the other hand there is a video online of the CMC factory, everyone dressed in a company uniform, clean and well lighted workplace making amazing models. Also remember that there are only a few companies in China that make toys for many companies at the same time.