Home News
← Back to today's news
Oct 18, 2026 Small and Medium Enterprise Agency Grants & subsidies Round 8 closed on October 16. Round 9 is scheduled to open for applications in early November

Labor-saving investment subsidy (General Type): Round 8 has closed, Round 9 is scheduled for December applicationsThe government helps companies short of workers bring in robots and similar equipment

This subsidy covers part of the cost for small and medium-sized businesses struggling with labor shortages to introduce equipment such as IoT and robots. Applications for Round 8 closed at 17:00 on October 16. Round 9 is announced as scheduled to open for proposals in early November, accept applications from early December, and close in late December. The upper limit ranges from JPY 7.5 million to JPY 80 million depending on the number of employees.

Subsidy upper limit by number of employees (standard / after applying the large wage increase exception)
StandardAfter exception
5 or fewerJPY 7.5 millionJPY 10 million
6 to 20JPY 15 millionJPY 20 million
21 to 50JPY 30 millionJPY 40 million
51 to 100JPY 50 millionJPY 65 million
101 or moreJPY 80 millionJPY 100 million

Key points

  • Subsidy upper limit: JPY 7.5 million for 5 or fewer employees, JPY 15 million for 6 to 20, JPY 30 million for 21 to 50, JPY 50 million for 51 to 100, and JPY 80 million for 101 or more (JPY 10 million to JPY 100 million when the large wage increase exception applies)
  • Subsidy rate: 1/2 for small and medium-sized enterprises, 2/3 for small enterprises, small business operators and businesses under restructuring (2/3 for SMEs when the minimum wage increase exception applies)
  • Basic requirements include labor productivity growth of +4.0% or more per year on average, growth in total salary paid per employee of +3.5% or more per year on average, and an in-house minimum wage at least JPY 30 above the minimum wage of the prefecture where the project is carried out
  • Project period: within 18 months of the grant decision date (within 20 months of the announcement of selection). Spending on machinery and equipment and system construction is mandatory
  • Round 9 schedule: call for proposals opens in early November, application acceptance begins in early December, application deadline in late December (details to be announced later)
Who is affected: SMEs and similar businesses considering custom-made equipment or systems to resolve labor shortages and save labor.

What to do in practice

  • If you do not yet have a GBizID Prime account, which is required to apply, obtain one early
  • Wait for the Round 9 call-for-proposals guidelines to be published, then prepare your equipment plan and wage increase plan
Note: If basic requirements such as wage increases are not met, you may have to return the subsidy (businesses under restructuring are exempt from the return requirement). The schedule is tentative, so please check the official website for details.

When a company that has too few workers tries to make its work easier with machines or computers, the government pays part of the cost. The condition is that the company raises pay by the amount the work became easier.

A company with 3 employees buying JPY 10 million of equipment (small business operator, subsidy rate 2/3)
Money spent on equipment
JPY 10 million
Subsidy rate
Two-thirds
Upper limit (5 or fewer)
JPY 7.5 million
Rough amount the government pays
About JPY 6.67 million

Points

  • Half of the money spent comes back (two-thirds for small companies)
  • There is a maximum amount you can get, depending on how many people the company has
  • The next application round is expected around December. It helps to prepare the needed procedures first
For example: Say a small shop with 3 employees buys JPY 10 million of equipment. Two-thirds is about JPY 6.67 million, and since the upper limit is JPY 7.5 million, it is within the limit. About JPY 6.67 million is the rough figure.

What the words mean

Labor saving
Using machines and the like to reduce the work people have to do by hand
Subsidy upper limit
The most the government will pay, no matter how much the cost is
Sources (official)
Checked against the source on: Oct 18, 2026

This article summarizes and explains materials published by government agencies and is not advice on any individual case. Rules can change, so for actual procedures and decisions always check the latest original materials and consult professionals such as tax accountants or labor and social security attorneys. English, Simplified Chinese and Traditional Chinese versions are translations prepared from the Japanese articles for convenience. If anything differs, the Japanese text and the original source take precedence.

Language: 日本語 English 简体中文 繁體中文 한국어