2011-10-31
Employment Rates and Unpaid Leave
Officials at the Directorate-General of Budget, Accounting and Statistics indicate that in the past several years, the employment rate rose during the months of June and August and fell in September, when new graduates started looking for jobs. However, due to the slow growth of the economy in the second half of the year, and news that companies are cutting staff and requesting more unpaid leave, doubts have risen as to whether the unemployment rate would fall in September.
Officials explained that when facing difficult economical situations, companies normally first reduce overtime hours for employees. The following measure taken is requesting employees to take unpaid leave. When companies are heavily burdened, they consider cutting staff.
Recently, news reports indicate that some companies have started to request employees to take unpaid leaves. Officials contacted the Council of Labor Affairs (“CLA”) and National Science Council (“NSC”) and the CLA has reinitiated an informing system for the adoption of unpaid leaves by companies. However, the NSC states that there are no companies in the Science Park that have resorted to unpaid leaves. Only 28 companies in Taiwan have thus far encouraged employees to take leaves.
It is possible that the adoption of the unpaid leaves has thus far been kept secret from the public in order not to affect the outcome of the presidential election, scheduled for 2012.