Introduction
In Taiwan, the regulatory framework governing labour relations is structured around specific statutes rather than a singular “Employment Law.” The Labour Standards Act (LSA) serves as the cornerstone of individual labour law, establishing minimum standards for working conditions, wages, working hours, and other employment-related matters. This statute aims to protect the rights of employees and ensure equitable treatment in the workplace. In addition to the LSA, collective labour statutes play a crucial role in shaping the dynamics between labour organisations and employers, emphasising the importance of worker organization and collective action in negotiating improved working conditions and resolving disputes. The three major statutes in this category are the Labour Union Act, the Collective Agreement Act, and the Act for Settlement of Labour-Management Disputes. Together, these statutes create a comprehensive framework for labour relations in Taiwan, balancing the rights and responsibilities of both employees and employers.
Legal Framework
The labour laws in Taiwan can be broadly categorised into the following areas:
- Individual Labour Relations: Pertaining to individual labour-management relations, relevant statutes include the Labour Standards Act (LSA), the Labour Pension Act, the Employment Service Act and the Gender Equality in Employment Act, among others.
- Collective Labour Relations: Relevant statutes encompass the three principal labour laws namely, the Labour Union Act, the Collective Agreement Act, and the Act for Settlement of Labour-Management Disputes.
- Ensuring a Safe Work Environment for Workers: Relevant statutes include the Occupational Safety and Health Act, the Labour Inspection Act, and the Act for Protecting Workers from Occupational Accidents, among others.
- Social Welfare: Relevant statutes include the Labour Insurance Act, the Labour Occupational Accident Insurance and Protection Act, and the Employee Welfare Fund Act, among others.
New Developments
- The Enactment of the Labour Incident Act
To ensure that the management of labour incidents aligns more closely with professional standards and substantive fairness and to facilitate the swift and appropriate resolution of labour disputes, the Judicial Yuan has enacted the Labour Incident Act in recent years. This Act moderately adjusts the procedural regulations governing labour disputes within the existing framework of civil litigation.
- The Amendment to Article 54 of the LSA
Article 54 of the Labour Standards Act (LSA) stipulates that, unless a worker has reached the age of 65, an employer may not compel them to retire. This amendment explicitly permits both parties to negotiate the postponement of the mandatory retirement age, thereby integrating labour-management negotiations into the legal framework. It enables employers to encourage workers to remain in the workforce while granting those workers who wish to continue working the right to negotiate with their employers.
- The Amendment of the Gender Equality in Employment Act
In response to the significant influx of women into the labour market and to eliminate gender discrimination in the workplace, the establishment of gender equality laws has become a global trend. In Taiwan, the Gender Equality in Employment Act (GEEA) encompasses regulations such as the prohibition of general gender discrimination, provisions for equal pay for equal work, the dismantling of gender segregation, prevention of workplace sexual harassment, prohibition of pregnancy discrimination, strengthening of maternity protections, and measures for affirmative action programs, among others. In 2023, the GEEA was amended heavily to prevent workplace sexual harassment by increasing legal liabilities to the labour authority, employers, and perpetrators.
