Flat-rate overtime pay is a hotbed of problems as it consists of putting in long hours with little pay. The trouble arising from flat-rate overtime pay is increasing yearly. Recently, there have been a few precedents of court cases surrounding the flat-rate overtime payments to people working in excess of the monthly time limit of 45 hours. To be effective flat-rate overtime payments require the agreement of both labor and management. In connection to this, this paper has been written based on Justice Sakurai of the Supreme Court’s supporting opinion in the Tec Japan case.
