《TAIPEI TIMES》Firms to face cumulative fines for wage breaches

Employers who pay wages below the minimum wage will face cumulative fines for repeated violations starting from January 1 next year. The starting point for fines for listed companies, medical centers and other specific entities is NT$50,000 (approximately US$1,521), the Ministry of Labor announced yesterday.

The move responds to criticism from labor groups over inconsistent fines across local governments, which labor groups say could weaken minimum wage protections.

The Ministry of Labor said it has revised fine guidelines under the Labor Standards Act and Minimum Wage Act to ensure more consistent enforcement across the country.

The revised guidance introduces fines that increase with the number of breaches and requires local authorities to publish their fines online.

Under the revised guidelines, uniform penalty rules will apply for violations of the Minimum Wage Act.

For certain major entities—including listed and over-the-counter companies, companies with paid-in capital exceeding NT$100 million, and medical centers—for violating key labor rules, including minimum wage and working hour requirements, fines will start at NT$50,000.

The labor ministry said local governments agreed to use a three-year period to determine the number of times an employer has violated the same provision for purposes of calculating cumulative fines.

During this period, violations of the basic wage clause of the Labor Standards Act and the minimum wage clause of the Minimum Wage Act will be considered violations of the same clause.

The Ministry of Labor added that local governments will be required to publish fine schedules on their official websites showing how fines will increase with repeated violations.

The Ministry of Labor stated that workers who believe that their employer has violated the Labor Standards Act or paid less than the minimum wage can file a complaint with the local labor authority or call the 1955 labor hotline.

The Taiwan Labor Front told reporters at a press conference on September 16 that the penalties faced by employers who pay less than the minimum wage vary by jurisdiction, and some local governments lack clear guidance.

The group urged the Ministry of Labor to coordinate with the Ministry of Local Government and Economic Affairs to establish uniform enforcement standards.