The Japan Fair Trade Commission (JFTC) issued a recommendation to publisher KADOKAWA on June 11 to prevent future violations of the Freelance Law [1].
This action highlights the Japanese government's increasing scrutiny of how major corporations treat independent contractors in the creative sector. As the publishing industry relies heavily on freelance talent, failure to adhere to transparency and payment laws can jeopardize the livelihood of hundreds of creators.
The JFTC found that KADOKAWA failed to provide written documentation regarding remuneration amounts, and transaction conditions for freelance workers [1]. Additionally, the company delayed payments beyond the agreed deadlines, violating the Freelance Transaction Act [1].
These violations occurred over a nine-month period beginning in December 2024 and lasting until August 2025 [2]. The affected group included 113 freelance workers involved in the production of monthly magazines [2].
In response to the findings, a KADOKAWA spokesperson said the company will promptly implement measures to prevent a recurrence [1].
Separately, a representative from Heritage, a company involved in the production process, said they take the recommendation seriously and will deal with the matter appropriately under the guidance of the JFTC [1].
The recommendation requires KADOKAWA to rectify its internal processes to ensure that all future contracts with freelancers are clearly documented, and that payments are made on time [1].
“The JFTC found that KADOKAWA failed to provide written documentation regarding remuneration amounts and transaction conditions.”
The JFTC's move against KADOKAWA signals a stricter enforcement phase of the Freelance Transaction Act. By targeting a high-profile publishing giant, the regulator is setting a precedent that administrative negligence regarding payment terms will not be tolerated, potentially forcing a systemic shift in how Japanese media companies manage their external creative pipelines.
