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Taiwan's worker bennies kick Canadia's ass?

Work Permits, Employment Qualifications, Employer Problems
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Re: Taiwan's worker bennies kick Canadia's ass?

Postby squall1 » 27 May 2016, 13:01

yyy wrote:
squall1 wrote:I had always heard that severance was 1 month for every year of service until some locals I know who are dealing with this issue said it was one half month for every year up to 6 months total. My discussions around the former were always with foreigners. Is the 1 month for every year rule always applied to foreigners and maybe its why that rule is cited in those circles? I could very well be those discussions were based in misinformation, but now I'm curious.

Yes.

Basically, foreigners (excluding those who have married Taiwanese) and hired-before-2005 Taiwanese are subject to the "old system" (Labor Standards Act), and everyone else is subject to the "new system" (Labor Pension Act). The new system was created because the old system was built around the concept of one job for life and therefore not good enough for most people, but for the average foreigner (not planning to retire in Taiwan) the old system is better.


Thanks, that's really interesting. I'm failing to see how the old system isn't better for everyone as the new system seems to really limit the potential payout regardless of how long you spend in any one particular job. I would imagine there was quite an uproar when the new system was implemented. I'm also confused why foreigners who were hired after 2005 are still grandfathered into the old system. Perhaps I'm missing something, it's been known to happen.
squall1
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Re: Taiwan's worker bennies kick Canadia's ass?

Postby yyy » 27 May 2016, 14:09

squall1 wrote:
yyy wrote:
squall1 wrote:I had always heard that severance was 1 month for every year of service until some locals I know who are dealing with this issue said it was one half month for every year up to 6 months total. My discussions around the former were always with foreigners. Is the 1 month for every year rule always applied to foreigners and maybe its why that rule is cited in those circles? I could very well be those discussions were based in misinformation, but now I'm curious.

Yes.

Basically, foreigners (excluding those who have married Taiwanese) and hired-before-2005 Taiwanese are subject to the "old system" (Labor Standards Act), and everyone else is subject to the "new system" (Labor Pension Act). The new system was created because the old system was built around the concept of one job for life and therefore not good enough for most people, but for the average foreigner (not planning to retire in Taiwan) the old system is better.


Thanks, that's really interesting. I'm failing to see how the old system isn't better for everyone as the new system seems to really limit the potential payout regardless of how long you spend in any one particular job. I would imagine there was quite an uproar when the new system was implemented. I'm also confused why foreigners who were hired after 2005 are still grandfathered into the old system. Perhaps I'm missing something, it's been known to happen.

The BLI's explanation: http://www.bli.gov.tw/en/sub.aspx?a=nhOjj7pu60c%3d
The main advantage of the new system is portability, i.e. you don't need to stick with one crappy job for your whole life (or most of your life) in order to get a pension worth having.
yyy
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Re: Taiwan's worker bennies kick Canadia's ass?

Postby squall1 » 27 May 2016, 16:03

Ok, I think the part I was missing is that the pension and the severance aspects are tied together under this scheme. That seems a little strange, but now I understand why someone would want the new plan.
squall1
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