Taiwan expects a significant fund revenue increase for its Employment Stabilization Fund. A Ministry of Labor official announced the new projections today. Revenue will reach NT$26.3 billion next year, up from NT$25.2 billion. Expenditure will rise to NT$23.4 billion, compared to NT$22.7 billion this year.
This fund revenue increase stems mainly from relaxed migrant worker policies. The government recently expanded quotas for hiring domestic caregivers and factory workers. Workforce Development Agency division head Hou Sung-yen explained the reasoning. Employers who hire foreign workers must pay a monthly employment stabilization fee. Therefore, more hires will boost revenue by NT$10 billion.
This fund revenue increase reflects policy changes addressing severe labor shortages. Taiwan faces an aging population and a shrinking domestic workforce. Migrant workers play an increasingly crucial role in caregiving and manufacturing sectors. As a result, the government decided to significantly relax hiring rules.
Expenditure will rise by NT$785 million under the proposed budget plan. Specifically, NT$475 million will go to subsidize local governments for short-term care services. Another NT$176 million will go to the Ministry of Health and Welfare. That funding will expand respite care programs for households employing foreign caregivers.
This fund revenue increase allows greater support for families needing care. About 61.64 percent of spending will support employment promotion programs. These include vocational training and employment information services for job seekers. Public employment service centers will also receive operational funding.
People with disabilities will benefit from employment support and vocational rehabilitation. Women returning to the workforce will gain access to financial incentives. Skills certification tests and competitions will also receive funding.
Another 1.71 percent of the budget will go toward improving worker welfare. Gender equality initiatives in workplaces will receive subsidies. Labor education programs and protections related to mass layoffs will also benefit. Financial assistance for children of unemployed workers remains included.
Spending on foreign worker employment management accounts for 20.04 percent. This fund revenue increase enables better management of migrant worker affairs across Taiwan. Local governments will receive subsidies for short-term substitute care services. The Ministry of Health and Welfare will expand respite care programs accordingly.
The Employment Stabilization Fund committee approved these proposals during a recent meeting. They reviewed projected income sources and expenditure plans for the coming year. This fund revenue increase highlights the link between labor policy and fiscal planning.
Employers will see no change to the monthly fee structure. However, more employers will pay due to relaxed hiring quotas. Domestic caregivers and factory workers will enter Taiwan in larger numbers. This trend may continue if labor shortages persist.
Officials expect the fund to maintain a healthy surplus. The NT$2.9 billion gap between revenue and spending provides a strong buffer. Meanwhile, the government will monitor impacts on wages and working conditions.
Some labor groups have raised concerns about reliance on migrant workers. However, the fund revenue increase also supports local employment. Vocational training programs will help Taiwanese workers upgrade their skills. The ministry plans to review policy outcomes after one year.
