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.”
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.”
It has been learned that there have been repeated cases in which disabled people directly employed by companies through intermediaries operating disability employment businesses were given virtually no actual work while working remotely, and were effectively left abandoned, doing little more than exchanging simple chat messages with the intermediary company. The cases reveal a structure in which companies seeking to meet the legally mandated employment quota for disabled workers (currently 2.5% of employees) hired disabled people only in form while paying salaries, then completely outsourced employment management to outside contractors.
According to Health, Labour, and Welfare Ministry data released on the 4th, the number of vocational training centres 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.
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.”
The city of Osaka has filed a criminal complaint against the operating company of Kizuna Holdings (HD), which had been subject to administrative sanctions for fraudulently receiving approximately 15 billion Yen in disability employment support benefits. As of May 1st 2026, Osaka city has also revoked the designation of the company’s facilities.
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.
The city of Osaka has filed a criminal complaint against the operating company of Kizuna Holdings (HD), which had been subject to administrative sanctions for fraudulently receiving approximately ¥15 billion in disability employment support benefits. As of the 1st, the city has also revoked the designation of the company’s facilities. Kizuna Holdings has filed a lawsuit against the city and plans to contest the matter in court.
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.
On the 20th, the Labor Policy Council of the Ministry of Health, Labour and Welfare began discussions aimed at amending laws to promote the employment of people with disabilities. The focus of these talks includes the nature of “disability employment businesses”, which provide alternative workspaces for people with disabilities hired by companies, and expanding the scope of levies paid by companies that fail to meet their mandatory employment quotas. The goal is to submit the legal amendment to the Diet as early as 2027.
Barrier Free Japan