No to Exclusion from the Minimum Wage Hike of Household Service Workers
and No to Legalized Extortion of all Migrant Workers!
28 April 2007

We are deeply concerned at the decision of the Council of Labor Affairs (CLA) to exclude migrant workers working in homes from the increase in the minimum wage announced yesterday. Likewise, we are also concerned from reliable reports to increase the minimum board and lodging fees of migrant workers working in manufacturing and construction. As such, the minimum wage hike would be meaningless for the more than 300,000 foreign workers in Taiwan. The hike also is very small considering that this has not been raised for the last ten years.  

This would also demean more the status of those working in homes as caretakers and domestic workers. Besides not being covered by the Labor Standards Law majority of them have limited or no days off as their original employment contracts stipulate.

These household workers contribute a lot in rendering services to the Taiwan community and society. It relieves the government and even the families of those who need to be taken cared of their responsibility to do this task. Household workers also liberate other members of Taiwanese families from this heavy work to join the working force or in pursuit of other activities. These workers also contribute in consumer spending that is good to the Taiwan economy.   

At present, those working in homes only earn between 63 - 76% of the minimum wage. But denying them the right to an increase of 9.5% would reduce these to a further 5%. Considering that literally they are on 24 hours on call and receive no overtime pay in excess of eight hours. As such they are overworked and underpaid.

With regards to those who need to pay their board and lodging fees, the minimum used to be NT$2,500. If the reports are true that this would be raised to NT$4,000, it would mean a 37.5% increase which would negate any increase in the minimum wage of from 7.5% to 9.5%.

Adding the other legal extortions that are deducted from the migrant workers' pay like brokers' service fees; income tax; labor and medical insurance; airfare to and from Taiwan; Alien Residence Certificate; Medical check-ups; and additional placement fees even for rehires after the first three years of work, Filipino migrants receive only between NT$8086 - NT$12,086 a month or 51 - 76% of the existing minimum wage of NT$15,840 excluding overtime pay.

Indonesians are worse off as they are deducted up to a maximum of NT$6438 a month for 15 months or NT$96,570. This is payment for their placement fees in Indonesia, which is deducted in Taiwan through China Trust Bank.   And this is paid twice, for the first three years of stay and for the succeeding additional 3 years. As such, they only have a basic wage of NT$5953 - NT$9952 a month for a 6 year period or only 38% - 63% of the minimum.

We therefore call on the Council of Labor Affairs to reconsider their position not to exclude those working in homes in the minimum wage increase. At the same time, while we welcome the proposed increase for those working in other job categories, the wage hike will mean nothing if the excessive deductions will continue. We are even concerned that the increase in wages will resort to more excessive fees. The possibility for an increase in board and lodging fees already attest to this.

Furthermore, we call on the CLA to abolish all the "legal" deductions on the migrant workers. By denying these would only lead to a charade including fostering the myth that migrant workers in Taiwan are one of the most highly paid in North and South East Asia.


Asia Pacific Mission for Migrants
Gabriela Women's Party – Taiwan Chapter
Migrante International – Taiwan chapter

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