Business groups angry at NHI insurance hikes

But health minister Yaung Chih-liang is not backing off, stressing that the rise will be implemented April 1 as scheduled — a move to save the near-bankrupt insurance program.

Leaders from six associations, which represent all major business sectors in Taiwan, have scheduled a joint press conference for tomorrow to present their case against the NHI premium hike.

They are attempting to block the hike from taking effect on April 1, and will seek to meet with Premier Wu Den-yih to convey their complaints.

Chen Wu-hsiung, who heads one of the disgruntled business associations, said yesterday they are not against sharing their employees' NHI premiums.

But there must also be measures to curb the enormous wastes plaguing the insurance program, said Chen, chairman of the Chinese National Federation of Industries (CNFI).

According to their argument, the premium increase will add more than NT$23.4 billion to employers' labor cost each year.

Currently employees and their dependents NHI premiums are shared by the employers, the workers and the government in a 6:3:1 ratio.

That means, for every NT$100 of the payment, the employers share NT$60, the employees NT$30 and the government NT$10.

If the government is bent on increasing the premiums to save the financially-ill program, the business groups say they demand the ratio be revised to 5:3:1, with their share decreasing to 50 percent and the government's increasing to 20 percent.

Tsai Lien-sheng, secretary general of the CNFI, said they will present a dossier at the Monday press conference to defend their case against the NHI premium hike, as well as asking the government to rethink its social welfare policies.

Tsai said the labor insurance premium will also rise next year, and the government is also trying to introduce a host of labor welfare programs, such as maternal leave.

The programs need to be clearly defined in terms of share of responsibility between the government and enterprises, Tsai said.

Chen said Taiwan's enterprises are having “very difficult times,” warning that the rise in NHI premiums may cause them to close down or move away from Taiwan.

The health minister admitted that the premium hike will increase enterprises' burden and that some of them are indeed facing difficulties.

“But there are still others who can hold grand year-end feasts,” Yaung was cited by the United Evening News as saying.

He said the premium was also eager to see the increase take effect on April 1.

Subscribe to The China Post and save 25%. Click here

SharePrintEmail

Write a Comment

Terms

Enter your comments - 3000 characters max

Type in image code

Submit

 Receive China Post promos
 Respond to this email