Taiwan decides on minimum wage hike of 5.21%
Taiwan has decided to raise its monthly and hourly minimum wage by 5.21%, effective January 1 next year.
The increase will raise the minimum monthly wage from NT$24,000 (US$857), to NT$25,250 (US$900) and the minimum hourly wage from NT$160 (US$5.7) to NT$168 (US$5.99), according to the Minimum Wage Review Committee, reports Focus Taiwan.
Labour groups had previously called for a wage hike of 6 to 8%, while business groups urged for the minimum wage not to be increased by over 3%.
Established under the Ministry of Labour, the committee comprises government officials, labour representatives, the private sector and academia.
The committee holds a minimum wage review meeting in the third quarter of every year, and if it decides to make an adjustment to the minimum wage, the committee must submit its decision to the Cabinet for approval.
READ: Taiwan likely to increase minimum wage next year
Although the Cabinet has yet to approve the decision, it typically follows after the recommendation of the committee. Last year, the minimum wage was raised by only 0.84% due to the pandemic, marking the lowest increase in five years.