This paper proposes an open-loop correlation reduction precoding scheme for overloaded multiple-input multipleoutput (MIMO) orthogonal frequency division multiplexing (OFDM) systems. In overloaded MIMO-OFDM systems, frequency diversity through joint maximum likelihood (ML) decoding suppresses performance degradation owing to spatial signal multiplexing. However, on a line-of-sight (LOS) channel, a channel matrix may have a large correlation between coded symbols transmitted on separate subcarriers. The correlation reduces the frequency diversity gain and deteriorates the signal separation capability. Thus, in the proposed scheme, open-loop precoding in order to reduce the correlation between codewords transmitted on different signal streams is employed at the transmitter of an overloaded MIMO system. The proposed precoding scheme changes the amplitude as well as the phase of the coded symbols transmitted on different subcarriers. Numerical results obtained through computer simulation show that the proposed scheme improves the bit error rate performance on Rician channels.