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HOME 》 HR Practices in Taiwan 》 Taiwan HR Update 》 Taiwan HR Update Detail
Vol.26 2011.10
COMPENSATION & BENEFIT PRACTICE
Good News for Part Time Workers- Changing the Standards for Calculating Hourly Wage based on Monthly Wage
The democratic progressive party presidential candidate Tsai Ing-Wen brought up the issue of dismantling the current single-track process of calculating hourly wage and monthly wage. The council of labor affairs has announced that they have recently begun to deliberate a new standard for calculating hourly wage. Once finalized, it is expected that hundreds of thousands of part time workers will have an increase in their hourly salary.

Currently, the minimum wage is 17880 NT dollars, 98 dollars hourly. After the adjustment passes this September, both monthly and hourly salary will increase by 5.03% starting next year. Minimum wage will be 18780 NT dollars monthly, 103 dollars hourly.

However, labor group advocates strongly exclaim that the current hourly wage system does not take into account national holidays and special leaves, and part time workers do not get paid the double amount when working on the holidays. They hope for the hourly and monthly salary to be calculated on separate systems, which would raise the hourly wage to 112 NT dollars.

The Council of Labor Affairs said that the separation of the hourly and monthly salary calculation systems will not be established this year, but it could be discussed next year. Scholars believe that it would solve the current misuse of the hourly pay by companies. However, a portion of middle, and small-sized companies do not have the ability to pay an increased salary, which could lead to difficulties in continuing operations, and it is expected to have the greatest impact on the services industry.

(Source: Commercial Times)
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