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June 24, 2017

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CLA drafts bill to cap the ratio of temporary workers at 3 percent

TAIPEI, Taiwan -- The Council of Labor Affairs (CLA) announced yesterday that it has approved the draft of a dispatched labor protection bill requiring that corporations and governmental bodies cap the ratio of temporary workers to 3 percent of their total workforce.

Under the draft, employers should provide dispatched workers with the same salaries and benefits as those enjoyed by contract employees with the same job responsibilities. Employers are also required to guarantee health and labor insurance for temporary workers.

The proposed bill puts more responsibility for labor-dispatching firms, which are basically subcontractors of human resources.

If an employing corporation fails to pay salaries to the temporary workers or goes out of business without proper labor compensation, labor dispatching firms handling the affected workers should provide the relevant payments first and file for compensation from the employing corporation later.

Violations of the total temporary worker limit is punishable by a fine of NT$90,000 to NT$450,000. Firms that violate payment and benefit equality requirements will be punished by fines from NT$300,000 to NT$1.5 million, according to the CLA bill. Businesses that fail to correct their violations before the legal deadline can be fined on a case-by-case basis.

In related news, the Executive Yuan denied media reports that it will be forced to cut its temporary workforce by half under the bill.

A local media outlet reported that if passed into law, the bill will require the Executive Yuan to reduce the number of its temporary workers — currently at 10,365 — by over 50 percent.

In response, the Executive Yuan pointed out that the media outlet in concern miscalculated its total headcount. The governmental body currently employs 373,940 people, not the 162,792 cited in the media report, it said.

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