Perceived overqualification is a prevalent phenomenon in any type of organization due to overeducation and worldwide economic downturn. Despite numerous empirical examinations of such phenomenon, the impact of perceived overqualification on individual behaviors is inconsistent and inconclusive. We draw on equity theory to examine the negative effect of perceived overqualification on knowledge sharing through distributive justice. In addition, we investigate a leader's political skill as a boundary condition that influences the impact of perceived overqualification on distributive justice and subsequent knowledge sharing. Using a sample of 339 team members in South Korea, we found that perceived overqualification negatively impacts distributive justice, subsequently deteriorating employees' knowledge-sharing behaviors. Furthermore, when team leader is politically skilled, the negative impact of perceived overqualification on knowledge sharing is weakened. Theoretical implications and directions for future research are discussed.