The Taiwan government has sanctioned a 4.05% rise in the monthly minimum wage for industrial workers, a move set to benefit a significant number of migrant workers including overseas Filipino workers (OFWs).
The wage adjustment will become effective from January 1, 2024.
According to Manila Economic and Cultural Office (MECO) Chairman Silvestre H. Bello III, the new regulation will be applicable to 124,265 Filipino factory workers currently based in Taiwan.
However, the increase will not encompass live-in migrant caregivers and household service workers, as they are not protected under the Taiwan Labor Standards Act.
With this amendment, the monthly minimum remuneration will elevate from NT$26,400 (US$ 838) or P46,000 to NT$27,470 (US$872) or P48,863 next year. Remarkably, this revision marks the eighth consecutive annual increment since 2016.
The labor ministry introduced this hike in wages as a countermeasure to the rising inflation and escalating costs of essential commodities.
It anticipates that the surge in working-class income will not only facilitate workers in affording basic living necessities but will also foster productivity, thereby encouraging domestic spending and economic augmentation.
In turn, this is expected to foster a mutually beneficial environment for both labor and management.
MECO further noted that Filipinos securing employment in Taiwan up until December 31, 2023, will also be eligible for the revised wage structure.
Chairman Bello, echoing the labor ministry’s sentiment, articulated hope that this uplift in the wage bracket would serve as a catalyst in enhancing the living standards of marginal workers while simultaneously propelling economic growth.