In addition to salary, costs of employment in Taiwan include several labor benefits:
1. National Health Insurance (NHI)
Taiwan’s NHI is a compulsory program since 1995 covering virtually all the population in Taiwan. For employed people, the insurance premium is based on the the monthly regular wage level. And 60% of the premium is paid by the employer, 30% is paid by the employee, and 10% is paid by the government.
2. Labor insurance
Labor insurance is also compulsory in the social security system since 1960. It offers suitable living security to the insured person or beneficiary in the event an accident occurs. Insurance benefits include maternity benefits, injury or sickness benefits, permanent disability benefits, old-age benefits, and survivor benefits. The insurance premium is decided by the pay level. And the premium is paid by employers, employees, and the government.
3. Labor pension
The current labor pension systems were took effect since 2009. The contribution of the employer is mandatory and may not be less than 6% of a worker’s monthly wage. While the contribution from the employee is not required.