The welfare ministry may revise the social relief program and stop providing livelihood subsidies to people who are able to work but refuse to undergo job training, sources said.
A record increase in the number of people receiving livelihood subsidies has prompted the Health, Labor and Welfare Ministry to consider toughening its stance on the provision of such payments, the sources said Friday.
A government-backed support system for job seekers was introduced in October, and those who are not covered by unemployment insurance receive ¥100,000 per month while receiving job training. The system was intended as a safety net, and for people in need of livelihood subsidies to use before they apply for the social relief program.
The number of people receiving subsidies under the social relief program in July rose to an all-time high of more than 2.05 million, including a large number of working-age people.
The ministry hopes that by tightening its grip on the social relief program it will be able to cut the amount it spends on livelihood subsidies by ¥3 trillion a year, according to the sources.
Ministry officials and local government representatives, including officials of the Ishikawa Prefectural Government and the city of Osaka's municipal office, began studies to revise the social relief program in May. With local governments generally in favor of reforming related day-to-day services, welfare minister Yoko Komiyama and local government chiefs are expected to agree on a reform plan in December.