The Cabinet Office estimates that up to 3.4 million people work as freelancers, or about 5 percent of the nation's 66 million-strong workforce. Some private-sector estimates put the number at more than 10 million, depending on the definition of freelancing. The number is expected to rise with advances in information technology, which makes it easier for people to work without being tied to an organization, and as more companies allow their employees to take on side jobs. But the move needs to be accompanied by measures to ensure that such workers would not be put at an unfair disadvantage.

As part of its drive to promote diverse and flexible ways of work, the government seeks to build an environment that enables more people to freelance. On the other hand, not a lot has been made known about the specific terms and conditions in which freelancers work. They are not covered by labor-related laws since they are treated as individual business proprietors, and concern lingers over the unstable conditions of their jobs.

According to an earlier survey by the Fair Trade Commission, roughly 60 percent of freelancers experienced some form of disadvantage in dealing with companies that give them business orders. The government plans to legislate steps to enhance the transparency of their terms of contract with businesses so the freelancers will not be treated unfairly by their clients. Last year, the FTC determined that companies that impose irrational terms on freelancer services would constitute a violation of the Antimonopoly Law. It remains to be seen, however, whether or how the FTC decision will effectively protect the interests of freelancers, who are often in a weak position vis-a-vis their clients.