Current Region & Language
Current Region & Language
Current Region & Language
Currency
New Taiwan Dollar (TWD)
Employer Taxes
Employers typically contribute around 10.5% of salaries for labor insurance and pension plans.
Payroll Frequency
Monthly
Language
Mandarin Chinese
Date Format
YYYY/MM/DD
Taiwan By The Numbers
23 million
Population
TWD 20 trillion
GDP
N/A
National Holidays
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Weekly Working Hours
National Holidays
Leave
Vacation/ Annual Leave: Employees are entitled to paid vacation leave of 3 to 30 days depending upon length of service.
Maternity Leave: 8 weeks of paid maternity leave with full pay or half pay for employees who have worked for more than 6 months and those who have worked for less than 6 months, respectively. Paid paternity leave of 5 days. Employee who has worked for more than 6 months is entitled to take a maximum of 2 years of unpaid parental leave for each child under 3 years old. Up to 1 year of unpaid pregnancy-related leave is allowed if the employee can present a medical certificate.
Others: Paid wedding leave of 8 days, bereavement leave of 3 to 8 days depending on the relationship with the deceased family member. Sick Leave: up to 30 days in a year paid 50 %.
Employment Contracts
There is no legal mandate to have a written employment contract except in certain specific cases such as in case of employment of a foreign national in Taiwan.
Types of Employment
There are two types of employment: Employees and Independent Contractors.
Employment Costs
IC Class Factors
Independent contractor classification is determined by factors such as financial control, behavior control, and the relationship between the parties involved.
Labor Leasing
Minimum Wage Requirements
The minimum wage is $27,470 TW a month and $183 TW an hour.
Medical Benefits
Taiwan’s National Health Insurance (NHI) is a government-run social insurance scheme that provides comprehensive health coverage to residents. Premiums are calculated based on a payroll bracket table.
Probationary Periods
Probation periods are permissible but not mandatory.
Termination Notice
Employers must provide advance notice before terminating an employment contract, with the notice period depending on the employee’s length of service: 10 days for employees with 3 months to 1 year of service, 20 days for 1 to 3 years of service, and 30 days for more than 3 years of service. During the notice period, employees can take up to two days off per week, with pay, to seek new employment. Employers can alternatively provide pay in lieu of notice.
Immediate dismissal without notice or payment in lieu is permitted under Article 12 of the Labor Standards Act in cases of severe misconduct, such as providing false information, violence, criminal conviction, serious breaches of contract, deliberate damage or disclosure of confidential information, or unauthorized absences. The employer must act within 30 days of becoming aware of the misconduct to terminate the contract without notice.
Severance
The calculation of severance pay depends on whether the old or new pension system applies:
Old Pension System (Labor Standards Act): Employees receive one month’s average salary for each year of continuous service, with pro-rata calculations for partial years, and any period less than a month counted as a full month.
New Pension System (Labor Pension Act): Employees are entitled to 0.5 months’ average salary for each year of service, with a maximum of six months’ salary. Severance for partial years is calculated on a pro-rata basis, also capped at six months’ salary.
Pre-hire Checks
Immigration checks are required to prove the right to work in Taiwan.
Non-criminal record and background checks (reference and education) with some restrictions are permissible. Applicant consent is required. Failure to seek consent is punishable with fines against employers.
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Legal Disclaimer
The information provided on this website is for general informational purposes only and is subject to change without notice. The content on this website is not intended to be a substitute for professional legal advice, diagnosis, or treatment. While we strive to keep the information up to date and accurate, People 2.0 makes no representations or warranties of any kind, express or implied, about the completeness, accuracy, reliability, suitability, or availability with respect to the website or the information, products, services, or related graphics contained on the website for any purpose. Any reliance you place on such information is therefore strictly at your own risk.
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