Back Top
Policies & Regulations Minimum wage to be adjusted to NT$22,000 per month and NT$140 per hour starting January 1, 2018

The Ministry of Labor announced on September 6, 2017 that the basic wage (minimum wage) will be adjusted to NT$22,000 per month and NT$140 per hour starting on January 1.

The Ministry of Labor explains that Article 21 of the Labor Standards Act stipulates that "a worker shall be paid such wages as determined through negotiations with the employer, provided, however, that such wages shall not fall below the basic wage."

The wage adjustment to NT$22,000 per month is estimated to benefit more than 1.66 million workers, and the wage adjustment to NT$140 per hour is estimated to benefit more than 390,000 workers.

Keywords: basic wage, minimum wage

Policies & Regulations Early reemployment incentives application no longer requires attachment of a copy of applicant's national identification card and passbook!

In order to streamline administrative processes and provide more convenience to the public, the Ministry of Labor has amended the Enforcement Rules of the Employment Insurance Act so that insured individuals no longer need to attach copies of their national identification or other proof of identity documents when applying for early reemployment incentives. In addition, if the applicant's remittance account is the same as the account given when previously applying for unemployment benefits, applicants are now exempt from providing a photocopy of a passbook of an account in their own name from a domestic financial institution.

The Ministry of Labor said that unemployed workers can apply for early reemployment incentives according to the Employment Insurance Act if they find work before the stipulated period of unemployment benefit claims expires, and have been enrolled in the employment insurance program for at least three months. This amendment mainly considered the fact that applicants have already attached a photocopy of their proof of identity document and of a passbook of an account in their own name from a domestic financial institution when they applied for unemployment benefits, and should be exempt from providing copies of the same documents again when applying for early reemployment incentives. The amendment is estimated to simplify the application process for approximately 30,000 workers annually.

Keywords: employment insurance, early reemployment incentives, photocopy of national identity card and passbook

News Outlook The outcomes of Taiwan’s 47th National Skills Competition

Three regional competitions in northern, central, and southern Taiwan have yielded a total of 694 competitors who went on to participate in the 47th National Skills Competition held from August 15 to 19, 2017. Five finalists screened and those who received gold, silver, or bronze award have the opportunities to participate in the 45th WorldSkills Competition to be held in Kazan, Russia in 2019.

Former Premier of the Republic of China Lin Chuan and Minister of Labor Lin Mei-chu were on the Awarding Ceremony to congratulate and award the top three winners. Premier Lin said that one of the key priorities in his administration was to strengthen the professional skills of Taiwanese workforce and enhance the development of professional talents, and the cultivation of more professional talents to inject energy into Taiwan's economic development was the goat. Minister Lin expressed that she hopes more young people can learn and master their vocational skills and recognize their important roles in Taiwan’s economic development by these skills competitions. Students should continue to expand their horizon and diversify their learning processes in order to master their vocational skills and create a better future for themselves with the useful lifelong skillsets.

In order to expand the international interaction, the 47th National Skills Competition invited national competitors from Japan, Brazil, Burkina Faso, and Morocco as well as Taiwanese competitors who were preparing for the 44th WorldSkills Competition scheduled in Abu Dhabi in October to take mock competition. This will not only enhance diplomatic relationship but also provide competitors a taste of international competitions preview, so they can make a name for themselves at the real competition and shine on the world stage.

Keywords: WorldSkills Competition, national skills competition, skills competition

News Outlook Enhance effectiveness of labor hazard prevention education and training through hands-on experience and interaction

The Ministry of Labor promotes the teaching of labor education in schools at all grades, instilling correct concepts about labor and strengthening awareness of labor rights. According to the Institute of Labor, Ministry of Labor's, Occupational Safety and Health report (ILOSH104-S313), between 2009 and 2013, 80% of victims of major occupational incidents in the manufacturing industry had been working less than five years when the accident occurred. The lack of familiarity with a new workplace and with the concept of hazard prevention are both possible causes for occupational incidents. If hazard prevention concepts are taught in advance, the intention of preventing incidents can be multiplied. Hands-on experiences and interaction will deepen students' understanding and reinforce correct concepts.

The Labor Safety and Health Exhibition Hall set up by the Institute of Labor, Occupational Safety and Health (ILOSH, Taiwan) introduces safety and health knowledge through lively displays and digital audio and video content. Education is reinforced through interactions and hands-on experiences. For example, visitors see how the human body reacts to an electric shock with an electrostatic ball and understand the possible hazards involved in the use of electricity and how to take the safety measures. The 'noise room' is a simulated workplace where visitors learn about how noise can cause injuries and how to prevent such injuries.

The exhibition hall targets student audience who will enter the workplace in the future and invites vocational schools to visits. In the future, the hall plans to bring health and safety exhibits to schools with exhibition trucks so that the workers of the future can learn how to prevent occupational incidents through physical models as well as audio and video content.

Keywords: Labor Safety and Health Exhibition Hall, occupational incidents, hazard prevention

News Outlook Good news for SMEs regarding occupational health and safety! Ministry of Labor offers free guidance and assistance to improve facilities

In order to ensure the occupational health and safety of workers in small and medium enterprises, the Ministry of Labor has teamed up with local governments to promote the Small and Medium Enterprise Work Environment Guidance and Improvement Project. The project will provide free on-site guidance, promotions, and a total of up to NT$10 million towards facility improvements for enterprises employing less than 100 workers.

The Ministry of Labor said that Taiwan's small and medium enterprises account for 98% of the total number of businesses, yet many lack proper health and safety knowledge and prevention. Therefore, the Ministry will issue grants to local governments for the hiring of 31 dedicated health and safety workers to provide on-site guidance and conduct promotion for small and medium enterprises. The ministry also provides a maximum of NT$200,000 in grants per entity to improve facilities as incentives for employers to improve working environments.

By collaborating with local governments, the Ministry invites those enterprises with improved health and safety systems and who are willing to invest in worker health and safety to become core businesses in a 'worker health and safety family'. Large factories and businesses lead the way, helping to drive the promotion of health and safety in other small and medium enterprises.

The Occupational Safety and Health Administration further emphasized that workers are the most important assets for employers and that many diversified and free resources have become available. Small and medium enterprises are invited to contact their local government labor authority for more information. Let us work together for better working environments and to ensure worker health and safety.

Keywords: small and medium enterprises, free counseling, grants

News Outlook Labor Fund earned NT$168.3 billion as of July 31, 2017

Since the beginning of this year, major economies have grown steadily and financial markets are continuing to grow. The Labor Fund prudently adjusted its global investment portfolio according to market conditions, and as of July 31, the overall fund size has reached NT$3.4871 trillion, with proceeds of NT$168.3 billion and a yield of 5.08%.

As of July 31, 2017, the Labor Pension Fund (the new fund) amounts to NT$1.791 trillion; the Labor Retirement Fund (the old fund) NT$848.7 billion; the Labor Insurance Fund NT$712.5 billion; the Employment Insurance Fund NT$112.4 billion; the Occupation Incidents Protection Fund NT$10.4 billion; and the Arrear Wage Payment Fund NT$12.1 billion. As of July 31 this year, the rates of return for the Labor Pension Fund, Labor Retirement Fund, Labor Insurance Fund, Employment Insurance Fund, Occupation Incidents Protection Fund and Arrear Wage Payment Fund were 5.17%, 5.36%, 5.51%, 0.10%, 0.54% and 1.16%, respectively.

For the long term, the amount of return on stocks and other high-risk assets is dependent upon economic growth. Factors which determine long term economic growth include the labor force and labor productivity. Developed countries face the problems of low birth rates and an aging population. This, coupled with the high savings rates of emerging economies, result in low economic growth and low interest rates. Investors are faced with the challenges of long-term structural change. The Bureau of Labor Funds will closely monitor the research and views of international organizations on future economic developments in order to keep track of the global financial situation, guide labor funds towards stable long term income, and safeguard the economic security and retirement of workers.

Keywords: labor fund, utilization of proceeds, diversification