TAIPEI (TVBS News) — In a significant move to secure the future of Taiwan's labor insurance fund, Minister of Labor Ho Pei-shan (何佩珊) announced on Thursday (May 23) a comprehensive plan to stabilize the fund's finances.
Addressing the Social Welfare and Environmental Hygiene Committee at the Legislative Yuan for the first time, Ho emphasized the government's commitment to ensuring the sustainability of the labor insurance system, which is on track to be depleted by 2028.
She revealed that the Ministry of Labor (MOL, 勞動部) is seeking to allocate at least NT$120 billion in the coming year to address the impending shortfall.
Since the implementation of the pension system for the elderly, disabled, and survivors on Jan. 1, 2009, over 1.83 million people have benefited, with payouts totaling more than NT$2.7 trillion by the end of March 2024.
The minister highlighted the government's increased contributions to the fund, from NT$20 billion in 2020 to NT$120 billion this year, with an additional NT$30 billion special budget, bringing the total to NT$267 billion.
The labor insurance fund has shown signs of improvement, with a surplus of NT$121 billion (1210億元) and a fund balance growth from NT$762.5 billion in 2020 to NT$994.1 billion as of March this year.
Ho stressed the ministry's ongoing efforts to stabilize the fund through additional allocations, legal adjustments to contribution rates, and enhanced insurance and benefit audits. These measures aim to safeguard workers' rights to benefits and ensure the long-term viability of the labor insurance system.
As Taiwan's labor insurance fund faces critical challenges, the government's proactive approach offers hope for a sustainable solution, ensuring the welfare of millions of workers across the nation.