COST OF LIVING/Taiwan Cabinet approves public sector pay freeze for 2023

The Cabinet on Wednesday approved a pay freeze for government employees, public school teachers and military personnel for 2023.

The decision was based on a recommendation submitted earlier this month by the Cabinet’s public sector pay review committee, according to the Directorate-General of Personnel Administration (DGPA).

In making the recommendation, the committee took into consideration factors such as government finances, inflation, per capita income, GDP growth, and the 4 percent pay raise given to public sector employees this year, the DGPA said in a statement.

Specifically, the committee noted that many government agencies had run deficits stemming from the costs of disease prevention and epidemic stimulus measures related to the COVID-19 pandemic, the DGPA said.

Taiwan’s public sector workers received a 4 percent salary increase this year, which came after pay raises of 3 percent at intervals over the past 20 years, specifically in 2001, 2005, 2011 and 2018.

Meanwhile, a Ministry of Labor (MOL) committee, comprising labor, business, government and academia representatives, is set to meet Thursday to discuss whether Taiwan’s minimum wage should be raised in 2023.

Last year, the MOL committee recommended a 5.21 percent increase of the monthly minimum wage, from NT$24,000 to NT$25,250 (US$832), which was implemented by the government this year.

Source: Focus Taiwan News Channel