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Working hours

Call-center labor — shift work, night premiums, and managing working hours with a mix of remote and office staff

Watercolor illustration of a wall clock and a blank shift grid
Joji Uramatsu

Joji Uramatsu

Shakai Hoken Roumushi (Certified Social Insurance and Labor Consultant), Gyoseishoshi (Certified Administrative Procedures Legal Specialist), Registered Real Estate Transaction Specialist — 四葉社会保険労務士事務所/四葉行政書士事務所

The difficulty of call-center labor is that near-24-hour shifts, night premiums, many short-time and student part-timers, and the tracking of working hours with remote and office staff mixed together all pile up in one workplace. Time spent waiting for calls is, so long as it is under the employer's direction and control, working time (Mitsubishi Heavy Industries Nagasaki Shipyard case, Supreme Court judgment of 9 March 2000). Night work (10 p.m. to 5 a.m.) carries a separate premium of 25% or more (Article 37, paragraph 4 of the Labor Standards Act), and breaks of 45 minutes for over 6 hours and 1 hour for over 8 hours must be given during working time (Article 34). Even in remote work the duty to track working time properly does not change.

Bottom line first: The difficulty of call-center labor is that near-24-hour shifts, night premiums, the many short-time and student part-timers, and the tracking of working hours when remote and office staff are mixed all overlap in one workplace. Time spent waiting for calls is, so long as it is under the employer's direction and control, working time (Mitsubishi Heavy Industries Nagasaki Shipyard case, Supreme Court judgment of 9 March 2000). Night work (10 p.m. to 5 a.m.) carries a separate premium of 25% or more (Article 37, paragraph 4 of the Labor Standards Act), and a break of 45 minutes for working time over 6 hours and 1 hour for over 8 hours is given during working time (Article 34). Even in remote work, the duty to track working time properly does not change; manage it with objective records in line with the "Guidelines on measures employers should take to appropriately grasp working hours" (formulated 20 January 2017) and the "Guidelines for appropriately introducing and implementing telework" (revised 2021). These designs are the field of a Shakai Hoken Roumushi. If unpaid wages or harassment develops into a dispute, consult a lawyer, each contracted separately as an independent business entity.

Why is working-hour management at a call center difficult?

At a call center, labor issues that appear separately in other industries gather in one workplace at the same time. You build detailed shifts to match the waves of incoming calls, place staff in the early morning, late night, and on holidays, hold many student and homemaker short-time part-timers, and in recent years remote operators and office staff are mixed. Much time also arises where the line between "working or resting" is hard to draw—waiting while no call comes in, stepping away, training.

Each of these is not unusual on its own, but when they overlap, the calculation of premium wages, the recording of working hours, and the judgment of social-insurance enrollment all become complex at once. On the point of one-person night operation, this shares ground with labor for one-person overnight operation at an internet/manga cafe, and on the point of standby and waiting time with labor for patrol and waiting time at unmanned, 24-hour stores; this article narrows to the call-center-specific "shift design, remote-office mix, and waiting time."

How do you design 24-hour shifts and night premiums?

First, the statutory working hours are 8 hours a day and 40 hours a week (Article 32 of the Labor Standards Act). Overtime beyond this requires a 36 Agreement and carries a premium. Where shifts cover early morning, late night, and holidays, the key is not to confuse the type of premium.

CategoryPremium rateBasis / note
Overtime (beyond statutory 8 hours / 40 hours)25% or moreArticle 37, paragraph 1 of the Labor Standards Act
Overtime exceeding 60 hours in a month50% or moreProviso to Article 37, paragraph 1. Applies to SMEs too from 1 April 2023
Night work (10 p.m. to 5 a.m.)25% or moreArticle 37, paragraph 4. Applies even to scheduled night hours
Statutory-holiday work35% or moreArticle 37, paragraph 1
Overtime + night50% or more25% + 25%
Statutory-holiday work + night60% or more35% + 25%

The night premium arises when scheduled working hours fall into the night, even if it is not overtime. For example, a shift from 9 p.m. to midnight carries the night premium on the two hours from 10 p.m. In 24-hour operation, you need a design that mechanically picks up how many night hours each shift contains.

To absorb the waves of shifts, a monthly or yearly variable working-hour system is an option (for choosing a variable system, see how to choose a variable working-hour system and flextime). But even under a variable system the night premium arises separately; introducing a variable system does not make the night allowance unnecessary. A minor under 18 cannot, in principle, be placed in night work (Article 61). Because shift work operates by specifying start/end times and working days for each period, follow the Ministry of Health, Labour and Welfare's "Points for appropriately managing the employment of so-called 'shift-work' workers" (January 2022), and make the labor-condition notice and the rules for deciding and changing shifts clear.

When remote and office are mixed, how do you track working time?

Whether remote or in the office, the employer's duty to track working time properly does not change. The principle is to confirm and record start and end times by an "objective method" (Guidelines on measures employers should take to appropriately grasp working hours, formulated 20 January 2017). In the remote case, records of the call system or of computer log-in/log-off, or clock-ins on an attendance system, qualify as objective methods. Relying on self-reporting alone is the exception, and if there is a marked gap between the report and the actual situation, there is a duty to investigate and correct for the actual situation.

Telework-specific issues are organized in the "Guidelines for appropriately introducing and implementing telework" (revised 2021). The main points are as follows.

IssueTreatment
"Step-away" time (leaving work for private reasons)Treat as a break and push back the end time, or treat as hourly paid leave, etc., as set out in the work rules
Deemed working-hour system for work outside the workplaceRequires, among other things, that information and communication devices are not kept in a constantly connectable state. In a remote call center constantly connected to handle calls, application is usually difficult
Burden of communication, utility, and other costsSet the burden between labor and management and state it in the work rules (if borne by the worker, Article 89, item 5)

Remote call-center work is usually constantly connected to the system in readiness for incoming calls. This state is hard to describe as "the employer's specific direction and supervision does not reach it and the working hours cannot be computed," so applying the deemed working-hour system for work outside the workplace carelessly risks being denied later. The principle is to record and manage the actual working hours. How to set working hours and costs for remote work is covered in detail in working hours and costs for telework/remote work, and the work rules.

Do waiting time, stepping away, and training time count as working time?

Whether something is working time is judged objectively by whether the worker is "placed under the employer's direction and control," not by the contract or the name used (Mitsubishi Heavy Industries Nagasaki Shipyard case, Supreme Court judgment of 9 March 2000). Applying this standard to time often at issue at a call center:

  • Waiting time for incoming calls: time seated and ready for calls is under direction and control—a state of being required to respond at any time—so it is working time. You cannot treat it as a break just because it is idle.
  • Training, morning meetings, and starting up the system: training that is made compulsory and carries a disadvantage for non-attendance, and the time to start up and log in to the system before work, are, in principle, counted as working time.
  • Brief stepping away: a toilet break or short interruption is usually working time because the worker is not completely released from work. By contrast, if a block of time that can be used freely is clearly given as a break, that time is a break.

A break of at least 45 minutes must be given if working time exceeds 6 hours, and at least 1 hour if it exceeds 8 hours, during working time (Article 34, paragraph 1 of the Labor Standards Act). The principle is simultaneous provision, but at a call center that rotates in shifts it is usual to set an exception to simultaneous provision by a labor-management agreement (paragraph 2). The break must be freely usable (paragraph 3); a break of "come out if a call comes in" is in substance waiting time—working time—and is not recognized as a break. For the way of thinking about standby and waiting time, see also labor for patrol and waiting time at unmanned, 24-hour stores.

How do you judge social insurance for student part-timers and short-time workers?

Call centers have many short-time and student part-timers, so judgments of social-insurance and employment-insurance enrollment arise frequently. Here are the axes of judgment.

InsuranceEnrollment guideTreatment of students
Health insurance / employees' pensionScheduled hours and days are three-quarters or more of a regular worker's. Or, at a specified covered workplace, requirements such as 20 or more hours a week (coverage expansion)Day students are excluded from the scope of coverage expansion
Employment insuranceScheduled hours of 20 or more a week and a prospect of 31 days or more of employmentDay students are, in principle, excluded

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The company-size requirement (number of employees) for social-insurance coverage expansion is being lowered in stages, and the enrollment judgment for short-time workers ties directly to how shifts are built. The detail of the standards is organized in when you employ someone for short hours, what happens to social insurance. In a workplace with many people who want to work as students or within the scope of a dependent, the way the person wants to work and the enrollment standards tend to collide, so designing an upper limit on shifts in advance can curb the month-to-month fluctuation of the judgment.

How should you arrange the work rules, 36 Agreement, and premiums?

Finally, here is the foundation that supports call-center labor.

  • Work rules: a workplace that always employs 10 or more workers has a duty to prepare and file them (Article 89 of the Labor Standards Act). Set out how shifts are decided and the procedure for changing them, how breaks are given, duties and cost burdens during remote work, and the content of the variable working-hour system (see what the work rules need).
  • 36 Agreement: to have overtime beyond statutory working hours or statutory-holiday work, a 36 Agreement must be concluded and filed. If you anticipate busy-season overtime, arrange it including the limit hours and the design of the special clause (see how far can you have overtime worked under a 36 Agreement).
  • Base for calculating premium wages: in a workplace where night, overtime, and holiday overlap, watch the base for calculating the premium (the scope of allowances that can be excluded) and, if you adopt a fixed overtime allowance, the treatment of the night premium. The point that even a managerial or supervisory person must be paid the night premium is organized in so-called manager in name only and the night premium.

Designing, preparing, and filing these are the field of a Shakai Hoken Roumushi. On the other hand, a claim over unpaid premium wages, or handling when customer harassment or workplace harassment develops into an individual dispute, is—as legal judgment and negotiation—the domain of a lawyer. Where the matter crosses entities, each is contracted separately as an independent business entity, and there is no referral fee.

Frequently asked questions

Q. Waiting time with no incoming calls—may we treat it as a break and not pay wages?
A. No. Waiting time (standby time) seated and ready for incoming calls is under the employer's direction and control, in a state of being required to respond at any time, so it is working time (Mitsubishi Heavy Industries Nagasaki Shipyard case, Supreme Court judgment of 9 March 2000). You cannot exclude it from wages just because there is much idle time. A break must be clearly given during working time as time that completely releases the worker from work and can be used freely (Article 34 of the Labor Standards Act). "Come out if a call comes in" is in substance waiting time and is not a break.

Q. It's a night shift, but since it isn't overtime, the night premium is unnecessary, right?
A. It is necessary. The night premium (25% or more for work from 10 p.m. to 5 a.m.) arises separately from whether it is overtime (Article 37, paragraph 4 of the Labor Standards Act). If scheduled working hours include the night band, pay the night premium for that time. If overtime extends into the night, it becomes 50% or more with overtime 25% + night 25%. Even a person who is a managerial or supervisory employee must be paid the night premium.

Q. May we apply the deemed working-hour system for work outside the workplace to remote operators?
A. In remote call-center work, application is usually difficult. The deemed working-hour system for work outside the workplace requires, among other things, that information and communication devices are not kept in a constantly connectable state, and a remote operator constantly connected to the system in readiness for calls can hardly be said to be one whose "working hours cannot be computed" (Guidelines for appropriately introducing and implementing telework). The principle is to grasp the actual working hours objectively by call-system or computer logs and to record and manage them.

Q. May we leave student part-timers out of social insurance and employment insurance?
A. Day students are excluded from the scope of social-insurance coverage expansion, and, in principle, excluded from employment insurance too. But health insurance and employees' pension can cover even a student if scheduled hours and days are three-quarters or more of a regular worker's, and if the person does not fall under "day student"—such as evening or correspondence programs—the treatment differs. Do not decide uniformly that they are unnecessary because the person is a student; judge by applying the actual way of working to each insurance's requirements.

Basis for this article

  • Labor Standards Act (Act No. 49 of 1947), Article 32 — statutory working hours are 40 hours a week and 8 hours a day
  • Same Act, Article 34 — a break of at least 45 minutes is given where working time exceeds 6 hours, and at least 1 hour where it exceeds 8 hours, during working time. Simultaneous provision in principle (exception possible by labor-management agreement); free use
  • Same Act, Article 37 — the overtime premium is 25% or more, the part exceeding 60 hours in a month 50% or more (applies to SMEs too from 1 April 2023), statutory-holiday work 35% or more, and night work (10 p.m. to 5 a.m.) 25% or more (paragraph 4)
  • Same Act, Article 61 — a person under 18 cannot, in principle, be placed in night work
  • Same Act, Article 89 — an employer that always employs 10 or more workers prepares and files work rules. Same Act, Article 36 — overtime and holiday work require the conclusion and filing of a labor-management agreement (36 Agreement)
  • Mitsubishi Heavy Industries Nagasaki Shipyard case, Supreme Court judgment of 9 March 2000 — working time means the time during which a worker is placed under the employer's direction and control, determined objectively. Preparation for work and standby time also count as working time if under direction and control
  • Ministry of Health, Labour and Welfare, "Guidelines on measures employers should take to appropriately grasp working hours" (formulated 20 January 2017) — the employer confirms and records start and end times by an objective method. Where self-reporting is used, there is a duty to investigate the actual situation and correct. Accessed 4 November 2026
  • Ministry of Health, Labour and Welfare, "Guidelines for appropriately introducing and implementing telework" (revised 2021) — labor-standards-related laws apply to telework too. The treatment of step-away time, the requirements for the deemed working-hour system for work outside the workplace (such as not keeping information and communication devices constantly connectable), and the provision on cost burden. Accessed 4 November 2026
  • Ministry of Health, Labour and Welfare, "Points for appropriately managing the employment of so-called 'shift-work' workers" (January 2022) — how shifts are decided, the procedure for changing them, and the indication of labor conditions. Accessed 4 November 2026
  • Health Insurance Act / Employees' Pension Insurance Act / Employment Insurance Act — a short-time worker's insured status is judged by scheduled hours and days, etc. Coverage expansion of social insurance excludes day students, and employment insurance in principle excludes day students. The company-size requirement is being lowered in stages (confirm the definitive headcount requirement and timing with the competent Pension Office or Hello Work)
  • Statutory provisions checked on e-Gov Law Search, and each Ministry of Health, Labour and Welfare guideline on the official site, both on 4 November 2026. The validity of a fixed overtime allowance and the working-time nature of an individual shift or standby time vary with the facts (definitive treatment is not shown uniformly, treated as unverified)

This article does not determine whether any particular case qualifies. 四葉社会保険労務士事務所 can advise on call-center shift design (including the variable working-hour system), calculating night, overtime, and holiday premiums, tracking working hours with remote and office staff mixed, organizing waiting and training time, judging social insurance and employment insurance for short-time and student part-timers, and arranging the work rules and the 36 Agreement. We refer a claim over unpaid premium wages, or a case where customer harassment or workplace harassment develops into an individual dispute, to a lawyer; in that case, each is contracted separately as an independent business entity, and there is no referral fee. Fees are set out in the fee schedule, and frequently asked questions in the FAQ.

This article is general information. Individual determinations are made by a qualified professional after a consultation, in light of individual circumstances. Written by Joji Uramatsu (Shakai Hoken Roumushi, Gyoseishoshi, Registered Real Estate Transaction Specialist).

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