2019-05-13

Supervisors with Salaries Above 150K May be Covered by Article 84-1 of the Labor Standards Act

Taiwan's National Development Council (NDC) in 2018 proposed to the Ministry of Labor that supervisors or executive employees whose monthly salaries exceed a certain amount may be covered by Article 84-1 of the Labor Standards Act.
 
The Ministry of Labor announced in January that supervisors or executive employees with monthly salaries in excess of NTD 200,000 might be covered by Article 84-1 of the Labor Standards Act. It is estimated that this change would influence approximately 13,000 individuals.  However, reports indicate that the Ministry of Labor has reduced the monthly salary to NTD 150,000 in its recent discussions, and it is estimated that approximately 38,000 individuals will thus be covered by Article 84-1 of the Labor Standards Act.
 
The director of the Ministry of Labor has stated that the job responsibility system does not allow an unlimited number of work hours.  Employers and job responsibility system employees can negotiate the working hours separately, and must obtain the local government’s approval for any work schedule agreed upon.  The local government will make a determination as to the reasonableness of the agreed upon number working hours.
 
Notes:
1. Article 84-1 of the Labor Standards Act stipulates: “After the approval and public announcement of the Central Competent Authority, supervisory, administrative workers, and professional workers with designated responsibilities may arrange their own working hours, regular days off, national holidays, and female workers' night work schedules through other agreements with their employers.  These agreements shall be submitted to the local competent authorities for approval and recording and shall not be subject to the restrictions imposed by Articles 30, 32, 36, 37, and 49 of the Act.”
 
2. The“Job Responsibility System Employees” are employees who can arrange their own working hours and rest days with the approval of their employers.
 
Comparison of Normal Employee and Job Responsibility System Employee
 
Normal Employee
 
Items Job Responsibility System Employee
 8 hours  Normal working hours per day  As agreed upon by Employers and employees
 No more than 12 hours.  The upper limit of working hours per day  As agreed upon by Employers and employees
 The normal upper limit is 46 hours. With the permission of the union or labor-management conference, the upper limit can be 54 hours. Over 138 hours every 3 months is prohibited.   The upper limit of the number of hours of overtime  As agreed upon by Employers and employees
 One mandatory day off and one flexible rest day every 7 days. Continuous working for over 6 days is prohibited.   The rules of work 7 take 1 off.  One mandatory day off every two weeks. Continuous working for over 12 days is prohibited.
 
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