Taiwan doles out NT$1.35 billion to cover workers’ wage hikes
- Claire Lee
- Topics: Compensation and Benefits, Home Page - News, News, Taiwan
Taiwan has announced a wage subsidy programme worth NT$1.35 billion (US$43.24 million), aimed at mitigating the financial burden faced by local enterprises following a 4.56% hike to the minimum wage, effective January 1, 2023.
Under the programme, which is slated to take effect simultaneously with the new minimum wage, local firms experiencing an annual decline in revenue of 10% or more due to the pandemic would be eligible for wage subsidies.
Local businesses can apply for a subsidy of NT$560 (US$18.10) per month for part-time workers, which would last for six months at most. For full-time workers whose monthly pay is less than the new minimum wage, firms can expect to receive subsidies worth NT$920 (US$29.74) per month per worker.
READ: Taiwan officially approves minimum wage raise
The programme, which aims to help firms navigate hardships and ensure the stability of the labour market, is slated to benefit some 180,000 full-time workers and 60,000 part-time workers, said the Ministry of Labour and the Ministry of Economic Affairs in a statement.
From next year onwards, Taiwan’s minimum wage will increase from NT$25,250 (US$812) to NT$26,400, while the minimum hourly wage will rise from NT$168 (US$5.43) to NT$176 (US$5.69).
