Japan Ministry of Health proposes home care fee reforms

The Japanese Ministry of Health, Labour and Welfare has proposed several reforms to the home care compensation system during a recent Social Security Council meeting. The proposals aim to address labor shortages and operational inefficiencies in the home-visit care sector ahead of the 2027 fiscal year revisions.

To reduce the burden on service provision managers, the Ministry suggested revising the requirements for initial service additions. This includes recognizing assessments conducted by managers at a user's home and allowing for online interviews and status checks via ICT. This move seeks to allow managers to focus more on essential management and care planning rather than being overwhelmed by administrative tasks and direct service duties.

Additionally, the Ministry proposed replacing the current “same building reduction” system with a new compensation structure that reflects actual travel costs, business scale, and frequency of service. This addresses the disparity between services provided in apartment complexes, which require minimal travel, and those in detached houses or rural areas, which incur significantly higher time and expense costs. While many committee members supported reflecting these costs, some expressed concerns regarding the impact on users in specific housing types and the need to prioritize service quality over location.