Impact of overtime regulations on wages and work hours

Sachiko Kuroda, Isamu Yamamoto

Research output: Contribution to journalArticle

3 Citations (Scopus)

Abstract

Exploiting an ambiguity in the criteria regarding which employees are exempt from overtime regulations in Japan, this paper used the longitudinal data of Japanese employees to examine whether overtime regulations have an impact on hourly wages and hours worked. We found that although the differences between the hourly wages of the exempt and non-exempt employees were negligible, the hours worked by exempt employees were longer, especially for non-university graduates during the recessionary period. We interpreted that the fixed-wage model, rather than the fixed-job model, was prevalent during the recession period, especially for workers with low bargaining power.

Original languageEnglish
Pages (from-to)249-262
Number of pages14
JournalJournal of The Japanese and International Economies
Volume26
Issue number2
DOIs
Publication statusPublished - 2012 Jun 1

Keywords

  • Fixed-job model
  • Fixed-wage model
  • Hours worked
  • Overtime regulations
  • Wage
  • White-collar exemption

ASJC Scopus subject areas

  • Finance
  • Economics and Econometrics
  • Political Science and International Relations

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