At a Cabinet meeting Thursday, Premier Su Tseng-chang said that the Ministry of Labor's Basic Wage Deliberation Committee on Wednesday approved increases in the nation's minimum wages, with the monthly rate to rise from NT$23,100 (US$736) to NT$23,800 (US$758), and the hourly rate from NT$150 (US$4.78) to NT$158 (US$5.03). The hikes, set to take effect January 1, 2020, are expected to benefit over 2.31 million workers across the nation.
The administration has raised the nation's minimum wages four times since 2016, with the monthly and hourly rates climbing respectively by 18.95 and 31.67 percent over the 2015 figures of NT$20,008 (US$627) and NT$120 (US$3.76). These moves have also contributed to a noticeable rise in starting monthly salaries for college graduates, from NT$25,461 (US$798) in 2015 to NT$29,329 (US$934) today.
Wage hikes are part of the government's efforts to alleviate the problem of low salaries for young people and enable workers to cover basic living costs. By raising income levels for the labor force, the administration hopes to stimulate domestic consumption and drive growth in the nation's economy, the premier said.