Taiwan, Turkey and the Bank of Canada will receive a special salary increase retroactive to July. The cumulative salary increase at the grassroots level of Turkey and the Bank is expected to exceed 8%.

The salary competitiveness and brain drain issues of state-owned banks have attracted attention from all walks of life. Finance Minister Zhuang Cuiyun said at the Finance Committee of the Legislative Yuan today that he has recently sent letters to Taiwan, Turkey and the Bank of China to implement a special salary increase of "2000+2000" for civil servants, and it will be effective retroactively in July this year. As for next year's salary increase, whether the salary increase formula will be adjusted is still under evaluation.

Tuyin said that in this project, non-supervisors will receive a monthly salary increase of 2,000 yuan and supervisors will receive a 4,000 yuan salary increase, both of which will take effect retroactively in July this year. An additional 3% salary increase is planned starting from New Year's Day next year, which is still subject to the approval of the Ministry of Finance. Taking the current monthly salary of five-level new employees of about NT$38,000 as an example, the monthly salary will be about NT$40,000 after the project salary increase. If the salary is increased by 3% next year, it will increase to about NT$41,200. Junior employees will probably receive a salary increase of about 8%.

Democratic Progressive Party legislator Guo Guowen pointed out that the brain drain in state-owned banks is becoming increasingly serious. The Ministry of Finance should face up to three major institutional problems, including decoupling benefits from civil servants, opening up the salary ceiling that has not been adjusted in the past 20 years, and reviewing the limit of salary adjustments once every two years. It cannot be solved by special salary increases alone.

Kuo Guowen said that there is a gap in remuneration between state-owned banks and other public-owned banks. Compared with Bank of Taiwan and Mega Bank, the difference in median annual salary is 420,000 yuan. In addition to lower salaries, salary increases and bonuses are also smaller. Bonuses for public-owned banks are about 7 to 8 months, and even more than 14 months in some cases, while state-owned banks only have 4.4 months. If the gap continues to widen, the brain drain problem may become more serious.

Zhuang Cuiyun responded that a letter has recently been issued to raise salaries for projects handled by the Bank of Taiwan, the Bank of Taiwan, and the Export-Import Bank of China, which will take effect retroactively in July this year. At present, the salary adjustment of state-owned banks has been decoupled from that of civil servants and is based on performance. As for whether the salary adjustment formula needs to be adjusted, banks have also been asked to review it.

Zhuang Cuiyun pointed out that after this year's special salary increase, the salary benchmark has been raised, so even if the salary increase percentage is the same next year, the actual increase will be higher.

Guo Guowen estimates that this year's project salary increase will be about 3.5%. If the salary increase is another 3% next year, the total will be about 6.5%. Zhuang Cuiyun responded that the actual range still needs to be calculated.

However, Guo Guowen emphasized that project-based salary increases are still not enough. Whether it is decoupling of benefits, opening up the salary ceiling, or reviewing the salary increase year limit, it should be dealt with from the institutional perspective and cannot just rely on individual projects. Zhuang Cuiyun said that an overall review will be conducted.