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What is a black company?

By Zippia Team - Dec. 9, 2022

A black company is an organization that exploits its employees. Black companies are known to pay their workers low wages and/or salaries and do not pay for overtime hours worked. Black companies are also known to give little to no days off to their employees.

The term black company was formed in Japan and refers to "sweatshop" like conditions at an organization. While sweatshops are usually associated with clothing manufacturing, when the term was formed in Japan, it mostly referred to office work.

Specific conditions vary from black company to black company; however, common features include:

  • Low salaries

  • Low wages

  • No overtime pay

  • Little to no time off for employees

Many black companies hire young employees and exploit them. Employees are also often subjected to verbal abuse at black companies. Owners and supervisors of black companies are known to threaten staff with ruining their professional reputation if they choose to quit.

What is a black company?

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