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New Nissay venture to offer firms info on vacancies at company-led child day care centers

TOKYO -- Nippon Life Insurance Co. (Nissay) will start a business in April to provide information about company-led child day care centers that have vacancies to other firms that also have employees caring for children.

A deregulatory system for company-led facilities was founded in fiscal 2016 as a measure to eliminate waiting lists at day care centers. Through the program, companies can establish facilities with fewer regulations for their employees and others at or near their offices and receive the same subsidies as certified nursery schools based on national standards.

While the number of the new facilities is increasing nationwide, their rate of utilization was only about 60 percent as of March 2018 for many reasons such as a mismatch between local supply and demand.

Nissay will cooperate with major nursery operator Global Kids Co. in Tokyo's Chiyoda Ward, which runs a website to match employees who want to use day care centers with company-led facilities. Nissay employees who are in charge of corporate customers will ask them about their child care needs.

The two companies plan to establish a new firm to operate the matching website and start full-scale operations from October. The new firm will receive commissions from companies that use such day care centers for their employees.

Global Kids will check the quality of the day care centers that seek registration on the website as many problems including the sudden closure of the facilities have been reported. Nissay will conduct joint research with the University of Tokyo in order to improve the quality of child care.

(Japanese original by Tsuyoshi Goto, Business News Department)

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