2014-06-02

Recent Amendments to Employment Laws

The Legislative Yuan on 20 May 2014 passed amendments to the Worker Protection in Mass Redundancies Act, Employment Insurance Act, and Collective Bargaining Agreement Act.

According to the amendment of the Worker Protection in Mass Redundancies Act, where a site of a business entity having more than 500 workers intends to lay off over 80 workers within 60 days, or one business entity intends to lay off over 200 workers within 60 days or to lay off over 100 workers within 1 day, such layoffs will constitute “mass redundancies” under the Worker Protection in Mass Redundancies Act.

Per the amendment to the Employment Insurance Act, a worker is eligible to open a separate account, which is established specifically for payments of labor insurance, and such account is not attachable by creditors.

Further, to avoid deadlocks during negotiations between organizations representing management and labor (“Organizations”), the amendment to the Collective Bargaining Agreement Act provides that if negotiations between Organizations lasts for more than 6 months, and if the Board of Decisions determines that either the organization representing management or labor is “reluctant to negotiate”, the local authority may ex officio hand the dispute over to arbitration.  
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