No. In Japan, simply having a title such as “manager,” section chief, or store manager does not automatically make someone exempt from overtime pay.
What matters is not whether the company calls the employee a manager, but whether the person actually qualifies as a person in a position of supervision or management under the Labor Standards Act.
This legal category applies to employees who stand in a position closely integrated with management in matters such as working conditions and labor management. The decision is based on the reality of the job rather than the title. Factors include the importance of the employee’s duties, responsibilities and authority, how much discretion they have over their own working hours, and whether their pay and other treatment are appropriate for such a position.
For example, someone may be called a store manager by the company but still have very limited authority, fixed working hours, and duties that are not very different from those of ordinary employees. In that case, the person may not legally qualify as being in a position of supervision or management. If so, overtime and statutory holiday premiums may still have to be paid even though the company classifies the employee as management.
On the other hand, if the employee truly meets the legal requirements, the Labor Standards Act’s rules on working hours, rest periods, and days off do not apply. As a result, the usual overtime and statutory holiday premiums generally do not apply.
There is, however, an important exception. Even employees who legally qualify as being in positions of supervision or management are still entitled to the premium for late-night work between 10 p.m. and 5 a.m.
How people feel about receiving no overtime pay after becoming a manager can vary greatly from company to company. Some management positions come with substantial authority and higher compensation, while others do not. There is no single Japanese attitude that says such treatment is automatically fair or automatically unfair.
For foreign workers, the key point is simple: do not assume that an English title such as “manager” means the same thing as the legal category used under Japanese labor law. What matters is the employee’s actual authority, working conditions, and treatment.
References
- Ministry of Health, Labour and Welfare, “Check Your Working Conditions — Managers and Supervisors”
- Ministry of Health, Labour and Welfare, “Labor Standards Act”
- Ministry of Health, Labour and Welfare / Prefectural Labour Bureaus, “Handbook on Working Conditions — Premium Wages”
