Barrier Free Japan

The fraudulent claims amounted to approximately 7 million yen in total, disbursed across 17 municipalities in four prefectures: Ibaraki, Chiba, Saitama, and Tokyo. The respective local governments will demand the return of approximately 9.8 million yen, which includes surcharge penalties. This marks the fifth time since July 2025 that Ibaraki prefecture has revoked a facility’s designation due to fraudulent benefit claims and document forgery.

Employees with disabilities were referred to as “talents,” and “connections between talents via chat tools, social media, etc., are prohibited,” forbidding contact with other employees with disabilities, such as colleagues. The reason given for this was that it would “lead to trouble.”

Japan’s Ministry of Health, Labour and Welfare’s “Review Team on Revisions to Remuneration for Disability Welfare Services” met on April 28, marking the start of discussions toward the fiscal 2027 revision. In opening remarks, Masayuki Kamiya, Parliamentary Vice-Minister of Health, Labour and Welfare and head of the team, stated: “While the budget for disability welfare services has increased more than fourfold since the enforcement of the Services and Supports for Persons with Disabilities Act, there are cases of service providers calculating add-on payments that do not align with the intent of the system, raising concerns about a decline in service quality. We aim to advance disability welfare policies steadily through discussions that incorporate the expertise of the team’s advisors and opinions from the field.”

According to Health, Labour, and Welfare Ministry data released on the 4th, the number of vocational training centers for the disabled where “more than half of users work from home” has surged 3.2 times over the four-year period ending in 2025. Because remote support reduces overhead costs, such as personnel expenses for on-site staff, the Ministry suspects that some profit-driven operators are abusing the system. Consequently, the Ministry issued a notice to local governments nationwide this April, calling for stricter oversight.

In the ongoing issue involving the fraudulent receipt of disability employment support bonuses by four “Type A” continuous employment support offices under the umbrella of the Osaka-based welfare company Kizuna Holdings (HD), it has been learned through interviews with both the company and the city that Kizuna HD has filed a lawsuit in the Osaka District Court. The suit seeks to rescind the city’s order to return approximately 11 billion yen.

“Kizuna Holdings hasn’t suffered any damage, but we are the ones struggling. They are the embodiment of insincerity…When I look for new work, I’m often asked, ‘Where did you work before?’ When I tell them it was a Kizuna Holdings facility, they say, ‘Oh, there. That means you were complicit in the crime. You’re an accomplice,’ and then tell me not to come back. But the one truly in the wrong is Kizuna Holdings, the users are the victims.”