Issues Surrounding the Governance of Long-Term Care Service Providers: Governance of Social Welfare Corporations and Long-Term Care Service Companies

Abstract

The quality of life (QOL) of long-term care service users is greatly affected by the quality of long-term care services provided by long-term care service providers. Therefore, non-profit corporations (social welfare corporations) and for-profit corporations (long-term care service companies), which are long-term care service providers, are required to strengthen their governance in order to provide efficient and high-quality long-term care services. This paper aims to explore the current state of governance of social welfare corporations and long-term care service companies, and to clarify the issues for strengthening governance. Regarding long-term care service companies, I will mention what kind of influence the Japanese Corporate Governance Code has and the current situation and problems. Concerning social welfare corporations, I consider the factors that cause the governance to malfunction from the characteristics of non-profit corporations. On that basis, I propose the formulation of a governance code to strengthen governance.