New labour policies taking effect in Taiwan next year
Taiwan is set to implement a number of new policies on Sunday, including an increase in the minimum wage and adjustments to the salary grading tables for Labour Insurance and National Health Insurance.
Starting next year, the minimum wage will increase to NT$26,400 (US$860) per month and NT$176 (US$5.71) per hour, which is expected to benefit approximately 2.33 million employees.
Level 1 of the Labour Insurance Insured Salary Grading Table is to be adjusted to the minimum wage, which is expected to benefit about 3.09 million people. Level 1 of the Labour Occupational Accident Insurance Salary Grading Table is also to be adjusted to NT$26,400, likely affecting about 4.12 people.
The Labour Insurance premium rate is to be raised to 11%.
Level 1 of the National Health Insurance (NHI) Income Grading Table is also to be adjusted to NT$26,400, affecting about 7.93 million people, the Ministry of Health and Welfare said, adding that each employee would need to pay an additional NT$17 to NT$78 towards their monthly premium, adding up to about NT$5.6 billion per year for the entire nation.
READ: Employees in Taiwan less optimistic about pay raise in 2023
Labour Insurance benefits generally cover medical expenses for maternity, birth, illness, disability, old age, death, and work-related hazards. Regardless of the business size, all employees must be enrolled in the Labour Insurance programme. As for NHI, it is a government-run social health insurance programme that is compulsory for all citizens and legal residents to join and provides equitable medical and healthcare services to all in case of illness, injury, and childbirth.
