At the Cabinet meeting today, Premier Jiang Yi-huah called on all relevant ministries to help create a friendly environment for social enterprises.
The premier gave these instructions after a briefing by the Ministry of Economic Affairs (MOEA) on its Project for Social Enterprises Action Plan.
Responding to the return of young people to their hometowns to build their careers, increasing employment for and protection of disadvantaged groups, and conserving ecology and the environment are among the aims of the program.
Under MOEA, Ministry of Labor (MOL) and Ministry of Health and Welfare (MOHW) leadership, the action plan will invest a total of NT$161.2 million (US$5.38 million) from 2014-2016, and 200 social enterprise guidance cases will be completed, the MOEA stated. An estimated 100 newly created social enterprises will receive counseling, while 50 or more social enterprises will participate in international forums. Additionally, at least eight social enterprise laws and regulations will be amended in order to create an "ecosystem" for this industry.
According to the MOEA, the plan will adopt four major strategies—adjusting laws and regulations, building platforms, providing financing and advocating incubation—to achieve the objectives of providing a friendly environment for social enterprise development, establishing social enterprise networks and platforms, and strengthening their operating structures.
In accordance with the developmental needs of social enterprises, the following steps will be taken:
- Laws and regulations will be adjusted.
- Publicity and communication will be stepped up.
- Business communities will be formed to foster cross-industry alliances.
- Assistance in obtaining funding will be increased.
- Incubation mechanisms will be established.
- An expert counseling team will be created.
A social enterprise is a new type of organization that incorporates civil society's reciprocities and market efficiency. This model has been in existence in Europe and North America for years, Jiang pointed out: for example, the United Kingdom has about 70,000 social enterprises, employing nearly one million workers and boasting a production value equivalent to 1.5 percent of the nation's gross domestic product.
In recent years, Taiwan's social enterprises have passed through initiation, dissemination, sprouting and growth phases, with both the public and private sectors fostering a supportive environment for these companies.
Whether the operating models adopted by social enterprises are those of non-profit foundations, associations, manufacturing and marketing cooperatives and sheltered workshops or of corporations, they have injected Taiwan's social enterprises with greater positive energy and brought these companies in line with international trends through media reports and forum discussions, Jiang stated. Promotion of the development of social enterprises by both the public and private sectors was one of the consensuses of the national affairs conference in late July.
Because social enterprises involve the jurisdictions of various competent agencies, several agencies besides the MOEA, MOL and MOHW should also fully collaborate in promoting the action plan, the premier said.
Jiang asked Minister without Portfolio Feng Yen to continue to oversee and assist relevant agencies via the platform of the Executive Yuan's social enterprise task force.
In addition, the premier instructed the various competent agencies to continue to re-examine and adjust relevant laws and regulations, have more corporate bodies serve as founding members, study measures such as conducting priority procurement of social enterprises' products or labor, and publicize and promote such measures to both public and private organizations. Thus, both the government and private sector can work hand in hand to foster a friendly environment for the development of social enterprises.