There are many reasons for increased cost on everything lately, a lot of it can be attributed to very socialist governments in our countries right now. I don't however wish to muddy this thread with politics.
I don't think that the social policies of any government will have nearly the size of an impact as mass retirement, and not enough skilled labor to replace lost workers.
When Billybob and Cleetus and Billybob jr. and his cousin Daryl are competing for the same job, the employer sets the price of wages here at ACME Anvils and Bird Seed. ACME can sell cheaply.
When the only guy looking for a job is Cletus, and ACME Anvils and Birdseed is competing with ACME Rockets and Rollerskates, and ACME Catapults and Paint, they all get into a bidding war, necessitating a rise in prices all the way around because the losers have to pay overtime, while the winner has to pay for another employee.