Employer of Record (EOR) in Taiwan
Taiwan’s thriving economy and strategic location in East Asia make it an attractive destination for business expansion. Our Employer of Record Taiwan services ensure full compliance with local employment laws while handling employee onboarding, payroll, and taxes. With our EOR Taiwan solutions, you can expand your business into Taiwan without the need for a legal entity.
Employment Benefits
Mandatory benefits
Mandatory contributions in Taiwan are designed to support employees and provide essential benefits. Employers are responsible for contributing to various social insurance programs, which provide financial security for employees in times of need. These contributions play a crucial role in safeguarding employee welfare.
| Labor Insurance | Covers occupational injuries, disabilities, and death benefits.
Employers are to contribute 10% of the employee’s monthly salary. |
| National Health Insurance (NHI) | This provides medical care and health benefits to employees, and employers are expected to contribute 4.91% of the employee’s salary. |
| Pension Contributions | Employers are to contribute 6% of the monthly employee’s salary. |
| Employment Insurance | Offers support for unemployed workers. |
| National Health Insurance | Ensures access to healthcare services for all residents. |
In Taiwan’s competitive job market, offering a well-rounded benefits package is vital for attracting and retaining top talent. Employers often include additional benefits such as private health insurance, performance-based bonuses, flexible work arrangements, and opportunities for professional development, alongside mandatory contributions to Labor Insurance and National Health Insurance (NHI). These extra perks not only boost employee satisfaction and productivity but also promote long-term loyalty, helping you build a committed and engaged workforce.
By providing a comprehensive benefits package, you can enhance your employment offer and foster a supportive environment that encourages both personal and career growth.
Our Employer of Record (EOR) service in Taiwan can assist you in crafting a benefits package tailored to your industry and workforce needs. We ensure that your benefits align with local regulations and resonate with the expectations of highly skilled professionals. Partnering with us enables you to offer a compelling benefits package that enhances your employment offer and supports both employee well-being and career development.
Additional perks and benefits
In addition to mandatory contributions, employees in Taiwan often enjoy various perks and benefits that enhance their overall compensation package. These benefits can include bonuses, allowances, and additional health and wellness programs. Employers increasingly recognize the value of offering competitive perks to attract and retain talent.
| Remote work options | Provides the opportunity to work from home or other locations. |
| Paid time off | Employers often offer additional paid leave beyond statutory requirements, promoting work-life balance. |
| Employee training and development | Organisations invest in training programs to enhance employee skills and career advancement opportunities. |
| Work-life balance initiatives | Employers may implement programs like remote work options and family-friendly policies to support employees’ personal lives. |
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Working Hours and Leave Policies
Standard working hours
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Statutory working hours
Taiwan enforces statutory working hours to promote a healthy work-life balance.
- Standard working hours: The standard working hours are typically set at 40 hours per week, with a maximum of 8 hours per day.
- Rest days: Employees are entitled to at least one rest day per week.
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Overtime regulations
Overtime regulations are in place to protect employees who work beyond their standard hours.
- Employees who work overtime must be compensated at a higher rate, usually 1.33 times the regular wage for the first two hours and 1.66 times thereafter.
- Employers must keep accurate records of overtime hours worked and ensure proper remuneration.
Leave entitlements
Employees in Taiwan are entitled to various types of leave to support their work-life balance.
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Annual leave:
Annual leave entitlements are based on years of service, with employees entitled to a minimum of 7 days of paid leave after one year of employment.
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Sick leave:
Sick leave entitlements provide employees with paid leave for illness, typically up to 30 days annually.
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Maternity leave:
Maternity leave entitlements grant female employees up to 8 weeks of paid leave before and after childbirth.
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Paternity leave:
Paternity leave entitlements offer fathers 5 days of paid leave.
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Public holiday leave:
Public holidays in Taiwan are recognized, and employees are entitled to time off with pay on these days.
In Taiwan, detailed local laws govern employee leave entitlements, making strict compliance essential for your business. At AYP, we manage leave entitlements accurately and in full compliance with Taiwan’s regulations. Let us manage the complexities of local compliance, so you can concentrate on growing your core business.
Visa and Work Permits
Employment visas
Employment visas in Taiwan facilitate the hiring of foreign workers to meet labor demands. These visas are crucial for ensuring that employers can recruit talent from abroad while adhering to immigration laws.
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Alien Resident Certificate (ARC)
The Alien Resident Certificate (ARC) is a crucial visa for foreign workers in Taiwan. It allows foreigners to live and work in the country for an extended period, typically valid for one to three years, depending on the employment contract.
The ARC must be renewed before its expiration, and it also serves as a resident ID card, enabling holders to access various services, such as healthcare and banking. To obtain an ARC, applicants must have a valid employment contract with a Taiwanese employer and meet specific eligibility criteria set by the government.
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Employment Gold Card
The Employment Gold Card is a unique visa that combines a work permit, residence permit, and multiple-entry visa for skilled professionals. This card is designed to attract talent in fields such as technology, finance, and culture.
Holders of the Employment Gold Card can work for any employer in Taiwan or start their own business without the need for a separate work permit. The card is valid for one to three years, depending on the applicant’s qualifications and the duration of their employment.
Business visas
Business visas in Taiwan allow foreign nationals to enter the country for business-related activities. These visas are essential for conducting business meetings, negotiations, or attending conferences.
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Visitor Visa for Business
This visa is designed for individuals who need to travel to Taiwan for business meetings, conferences, trade shows, or other business-related activities. It is typically issued for short stays, allowing multiple entries for a specified duration, usually up to 90 days.
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Visitor Visa for Employment
This visa is intended for foreign nationals who wish to conduct business activities or work in Taiwan on a short-term basis. It allows the holder to engage in specific business tasks without requiring a full work permit. The duration of stay is usually up to 30 days, with the possibility of extension under certain conditions.
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Entrepreneur Visa
The Entrepreneur Visa is aimed at foreign nationals who plan to start or invest in a business in Taiwan. This visa encourages foreign investment and entrepreneurship, providing a pathway for individuals looking to establish a company. Applicants must present a solid business plan and proof of sufficient funds to support their venture.
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Temporary Visitor Visa for Business Activities
This visa allows foreigners to enter Taiwan for temporary business-related activities, such as attending seminars or meetings. The duration of stay is generally up to 30 days, and it may be extended depending on the purpose of the visit.
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Business Resident Visa
The Business Resident Visa is granted to foreign nationals who intend to stay in Taiwan for an extended period for business purposes. This visa is suitable for those who have established long-term business operations in Taiwan. Applicants must provide documentation of their business activities, including a valid employment contract or business registration.
Other relevant visa types
In addition to employment and business visas, Taiwan offers various other visa types for different purposes.
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Dependent Visa
The Dependent Visa allows family members of foreign nationals residing in Taiwan to join them. This visa is available for spouses, children, and sometimes parents of foreign workers, students, or residents. Dependent visa holders can stay in Taiwan for the duration of the primary visa holder’s residency.
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Permanent Resident Visa
The Permanent Resident Visa is granted to foreign nationals who meet specific criteria for long-term residency in Taiwan, such as holding an Employment Gold Card, having lived in Taiwan for a certain number of years, or making significant investments in the country. This visa allows holders to live and work in Taiwan indefinitely.
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Foreign Professional Visa
The Foreign Professional Visa is designed for skilled professionals in fields such as technology, finance, or education who wish to work in Taiwan. Applicants must possess qualifications or expertise in their respective fields and have a job offer from a Taiwanese employer. This visa streamlines the application process for professionals seeking employment in Taiwan.
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Investor Visa
The Investor Visa is available for individuals looking to invest a significant amount of capital in a Taiwanese business or project. This visa encourages foreign investment and entrepreneurship, allowing holders to reside in Taiwan while managing their investments.
Navigating Taiwan’s employment visa and work permit regulations can be challenging due to strict rules and detailed requirements. Our Employer of Record (EOR) service simplifies the visa application process, ensuring full compliance with Taiwan’s immigration laws. We handle everything from documentation to approvals, allowing you to onboard international talent quickly and seamlessly without the usual complications. Avoid the stress and potential delays—partner with us to ensure a smooth, compliant visa process.
Termination and Offboarding Procedure
In Taiwan, employers cannot terminate employees at will. The Labor Standards Act outlines specific guidelines that employers must follow when ending an employment relationship. Employers are required to provide notice and severance pay if they wish to terminate an employee, and they can only do so under the following conditions:
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Business Operations Cease or Change Ownership
If the business shuts down or changes ownership.
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Business Loss
If the company is facing significant financial losses.
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Operational Halt Due to Unforeseeable Events
If business operations are halted for more than a month due to unforeseen circumstances.
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Reorganization or Downsizing
If the business undergoes restructuring or reduces its workforce.
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Employee Incompetence:
If the business undergoes restructuring or reduces its workforce.
Employers are allowed to terminate employees without notice or severance pay in the following situations:
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Misrepresentation
If the employee misrepresented facts when signing the contract, causing potential harm to the employer.
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Violence
If the employee has committed an act of violence against the employer, their family, representatives, or other employees.
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Breach of Contract or Rules
If the employee has violated their employment contract or the organization’s rules.
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Damage to Property
If the employee has caused damage to the employer’s property.
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Disclosure of Confidential Information
If the employee has disclosed confidential information about the employer.
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Absenteeism
If the employee has been absent from work for three consecutive days or more than six days in a month without prior notification.
Employers in Taiwan must strictly adhere to these regulations to avoid legal complications and ensure fair treatment of employees.
Offboarding and termination in Taiwan require careful attention to local labor laws. AYP’s Employer of Record (EOR) services simplify these processes, ensuring smooth transitions and full compliance with Taiwan’s regulations. Let us take care of the legal intricacies so you can focus on your business.
Advantages of Using Employer of Record through AYP
Partnering with AYP’s Employer of Record Taiwan offers distinct advantages in navigating the complexities of the country’s employment laws. Our comprehensive service manages payroll, benefits, and tax compliance, shielding your business from the risks associated with direct hiring.
With our extensive understanding of Taiwanese labor laws, your company can confidently meet all legal obligations related to wages, leave entitlements, and workplace safety. This proactive approach not only streamlines your administrative processes but also safeguards you against costly penalties and legal disputes.
By entrusting AYP with these critical responsibilities, you can concentrate on expanding your business and achieving strategic goals. Let AYP be your trusted EOR Taiwan partner in creating a seamless, compliant employment experience in Taiwan.
Contact us today, and allow our Employer of Record Taiwan experts to handle the complexities of employment on your behalf.
FAQs
What is Employer of Record Taiwan?
What is the cost of hiring through Employer of Record (EOR) Taiwan services?
Why choose Employer of Record (EOR) Taiwan over direct hiring?
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What is the process of hiring EOR employees in Taiwan?
AYP’s onboarding process for employees in Taiwan includes:
- Conducting a thorough analysis of the client’s needs
- Performing a cost simulation for employee hiring
- Applying for necessary work permits
- Preparing employment contracts in accordance with local laws
- Enrolling employees in benefits programs
- Sending a welcome email to new hires
Hire compliantly in the Taiwan with no hidden cost
Local labor compliance, payroll management, onboarding, and expert advisory — all in one service