September 25, 2024
Japan Fair Trade Commission
Today, I would like to explain the following matters: (1) Second Campaign to Strengthen Publicity of the Freelance Act and (2) The Study Group on Promoting Competition in Mobile Software.
Second Campaign to Strengthen Publicity of the Freelance Act
The Freelance Act (the Act) will go into effect on November 1 of this year, and its implementation will be just one month away.
This Act, which applies to all transactions involving freelancers, is not limited to any specific sector or industry, making its scope of application very broad. Additionally, it imposes an obligation on enterprises to clearly specify trade terms when outsourcing work to freelancers, etc., leading us to think that the Act will have a significant social impact.
Our top priority is publicity to promote awareness of the Act, and the JFTC has been actively engaged in various outreach efforts, including online advertisements, information sessions on the Act, and the use of social media platforms to disseminate information. On the 19th of last week, we significantly updated the Q&A on the Act, increasing the number of questions from the previous 10 to a total of 116. Furthermore, with the implementation of the Act approaching in about a month, we will launch the second campaign to strengthen publicity of the Act, running from October 1 to November 8.
The purpose of this campaign is to prevent violations by raising awareness of the Act. Following the first campaign to strengthen publicity of the Act, conducted from June 17 to July 31 of this year, we will once again run online advertisements in collaboration with BUSON, an illustrator and manga blogger, featuring his original character “Shikibu-chan.”
We will also hold eight information sessions on the Act in the Kanto-Koshinetsu region and three online sessions. In these sessions, we will address questions and requests raised during the joint information sessions held with the Small and Medium Enterprise Agency and the Ministry of Health, Labour and Welfare from July to August of this year. The sessions will cover topics related to the proper transactions of business dealings, such as the obligation on enterprises to clearly specify trade terms, while also explaining the differences from the Subcontracting Act.
In addition, we will offer individual consultation meetings with JFTC staff after the session for those who wish to discuss matters related to the proper conduct of business transactions, at the venues where in-person informational sessions will be held. We encourage you to attend and look forward to your participation.
As the JFTC, we will continue to provide clear and accessible information to both freelancers and ordering parties. We are committed to actively promoting and publicizing this Act.
The Study Group on Promoting Competition in Mobile Software
The Mobile Software Competition Act (the Act) was promulgated on June 19 this year. On December 19, the provisions relating to the designation of providers subject to the Act will go into effect first, and by December next year, the Act will be fully enforced, including the obligations of the designated providers.
In implementing this Act, the supplementary resolution requires efforts to take necessary measures to ensure security and to achieve a balance between competition and safety. Furthermore, the guidelines of the Act must be formulated based including on the knowledge of a wide range of stakeholders to ensure predictability for relevant enterprises and to achieve both competition and safety. We believe that taking into accounts the opinions of relevant experts and stakeholders when considering subordinate regulations and guidelines is essential for the effective implementation of this Act.
Therefore, in order to ensure security, protect minors and effectively implement this Act while promoting competition related to mobile software, we have decided to hold the “Study Group on Promoting Competition in Mobile Software” composed of relevant experts. The purpose of this study group is to discuss the matters specified by government ordinances or regulations, as well as the contents of the guidelines, from the perspective of promoting competition in mobile software.
The first meeting of the study group will be held next Monday, the 30th, and thereafter, meetings will be held approximately once a month. During these sessions, we aim to discuss the content of subordinate regulations and guidelines under the Act, with the goal of finalizing draft proposals for these by next spring. In parallel with the discussions of this study group, we will continue to gather opinions from relevant enterprises and other stakeholders, while the JFTC proceeds with preparations for the implementation of the Act. Our goal is to ensure the effective enforcement and operation of the Act.
In addition, regarding the “Seeking Information from Application Developers and Others Concerning the Act on Promotion of Competition for Specified Smartphone Software,” which was announced during the press conference on July 31, we have received approximately 40 submissions of information and opinions so far. However, as it remains crucial to continue hearing from many relevant enterprises and stakeholders while preparing for the implementation of the Act, we are continuing to accept submissions.
We would appreciate it if you could provide a wide range of information through the Information Submission Form available on the JFTC’s website. This includes details on the actual business practices between regulated enterprises under the Smartphone Software Competition Promotion Act and app developers, plans for new services triggered by the enactment of the Act, and your opinions on how the JFTC should enforce the Act.
(Tentative translation)
