Akemashite Omedetou, Happy New Year from Japan! Nagasaki Prefecture reported a record 3,961 people with disabilities employed at private companies as of June 1, 2025, up 125 from the previous year, according to figures released by the Nagasaki Labour Bureau on Dec. 19, so we begin 2026 with good news about disability in Japan.
Of the 3,142 facilities surveyed from August to October, 84.2 percent said they are facing staff shortages ranging from severe to slight, with many citing increased burdens on workers and declining service quality as a result, Kyosaren said.
Nagasaki Prefecture reported a record 3,961 people with disabilities employed at private companies as of June 1, 2025, up 125 from the previous year, according to figures released by the Nagasaki Labour Bureau on Dec. 19. The prefecture’s disabled employment rate stood at 2.84 percent, 0.43 percentage points above the national average and the fifth highest in the country. The share of companies meeting the government-mandated statutory employment rate of 2.5 percent rose to 58.2 percent, up 0.8 points from a year earlier. By industry, employment was highest in medical and welfare services at 3.56 percent, followed by compound services and lifestyle-related services and entertainment.
It has been learned that the Ministry of Health, Labour and Welfare (MHLW) is making arrangements to set an upper limit on the number of “retained workers” used to calculate support bonuses. This move comes in response to allegations that three “Type A Support Centers for Continuous Employment” in Osaka City received excessive payments. The Ministry revealed this plan on the 16th during a meeting to discuss revisions to the compensation system for disability welfare services.
The Ministry of Health, Labour and Welfare announced on the 19th the results of a survey showing that, as of June 1, the number of people with disabilities working at private companies stood at 704,610, a 4.0% increase from the previous year. This marks the 22nd consecutive year in which the figure has reached a record high. However, only 46.0% of companies achieved the legally mandated employment ratio of 2.5%, unchanged from the previous year.
According to the city, the three offices, linked to welfare services firm Kizuna Holdings, reported around 200 such workers annually for fiscal 2024 and 2025 by repeatedly placing service users in regular employment as in-house staff for six months before returning them to beneficiary status. The offices received several billion yen in add-on payments based on these figures, prompting the city to launch an audit. A separate Osaka Prefecture survey of Type-A offices found an average of just 1.3 people per office who remained in regular employment for six months or longer in fiscal 2024.
A Mainichi Shimbun survey found that one in four major Japanese companies failed at some point to provide legally required reasonable accommodations for employees with disabilities, despite strengthened obligations under disability discrimination and employment laws. Of the 92 firms responding, 23 reported such failures, citing issues such as inadequate workplace environments, high costs and time needed to make facilities barrier-free, poor coordination or communication with employees, and cases where insufficient support led to resignations. While most companies also reported successful accommodations—including job-coaching support and allowing tools like earmuffs or sunglasses—many called for clearer case studies and a dedicated consultation desk to help assess appropriate measures without creating undue burdens.
A welfare-related company based in Osaka City is suspected of having improperly received tens of billions of yen in disability employment support subsidies (payments) since fiscal 2024, city officials revealed on November 5. The company allegedly exploited a system that increases subsidy amounts based on the number of disabled workers who find employment in regular companies. Osaka City has launched an audit under the Comprehensive Support for Persons with Disabilities Act and is considering demanding repayment.
Since the 2024 Noto Peninsula earthquake, work opportunities for people with disabilities in Ishikawa Prefecture’s Noto region have sharply declined as local companies that once purchased goods or outsourced simple tasks to employment support facilities were damaged by the disaster. Facilities such as Minorien in Nanao, known for its handmade additive-free natto, have been struggling to sustain operations but are now seeking new forms of work, including grass-cutting and leaflet delivery, to help disabled workers stay engaged, regain income, and maintain their connection to the community.
Osaka Prefecture has launched an investigation into roughly 2,050 “Type B continuous employment support” facilities that help people with disabilities engage in work-like activities, following reports that some providers offering at-home programs may not be giving appropriate training. Funded by government subsidies, these facilities are required to provide meaningful vocational support, but several cases have emerged where users were assigned minimal tasks—such as watering plants a few times a day—raising concerns about misuse of public funds and inadequate care. The prefecture plans to review each case and issue guidance or corrective action where necessary.
Barrier Free Japan