Taipei: The number of workers on formal unpaid leave programs in Taiwan has decreased by over 2,000 in the first half of this month, reaching a three-month low due to an increase in rush orders, according to the Ministry of Labor (MOL).
According to Focus Taiwan, data released by the MOL on Tuesday indicated that the total number of furloughed workers fell by 2,035 from the end of November, reaching 7,118 as of December 15. This marks the lowest level since September 15. Additionally, the number of employers implementing unpaid leave programs decreased by 78 during the 15-day period, bringing the total to 378.
Unpaid leave or furlough programs registered with the MOL usually last for less than three months, with employees taking five to eight days of unpaid leave per month. Huang Chi-ya, head of the MOL’s Department of Labor Standards and Equal Employment, mentioned that 11 companies, each with a workforce exceeding 50 employees, received rush orders, allowing 1,115 of their employees to return to production lines during the latest reporting period.
Huang noted that it is important to monitor whether the overall job market will continue to improve, considering the potential adverse impact of U.S. tariff policies. The vast majority of workers in unpaid leave programs as of December 15 were in the export-oriented manufacturing sector, totaling 6,667 people or about 93 percent of the total.
This data suggests that some manufacturers are still experiencing the effects of U.S. tariffs. Within this group, 5,014 furloughed workers were in the traditional metal and electric machinery industry, which has been affected by both tariffs and a decline in global demand.
Despite the reduction in workers on unpaid leave during the 15-day period, Huang stated that the latest figure remains significantly higher than the 1,993 workers on furloughs recorded at the end of March, before the White House announced its tariffs in early April. The local domestic demand-oriented service sector remained stable during this period.
As of Monday, the number of furloughed workers in the wholesale and retail industry slightly increased to 329 from 316 at the end of November. The transportation and warehousing industry reported only four furloughed workers, down from 13, according to the MOL. The MOL updates its furloughed worker data on the 1st and 16th of every month, reporting on the number of employees placed on furloughs registered by companies with the ministry. Most enterprises implementing furlough programs are small companies with fewer than 50 employees.