McDonald’s to pay managers overtime

McDonald’s Holdings Co. (Japan) said Tuesday it will introduce a system Aug. 1 to provide overtime pay to some 2,000 outlet managers and area market developers across the country who have not been getting paid for extra work hours.

The move comes after the Tokyo District Court ruled in January that the fast-food chain should pay its outlet managers for overtime because they are given no administrative authority. Granting such authority is usually the criteria that allows companies not to pay overtime to managers.

The media have taken to calling outlet managers “managers in name only.”

The court ordered the company to pay ¥7.5 million in overtime to outlet manager Hiroshi Takano, 47, who had sued the firm.