Taiwan to Raise Minimum Monthly Wage to NT$29,500


Taipei: The Ministry of Labor (MOL) has announced that the minimum monthly wage in Taiwan will rise for a 10th consecutive year in 2026, although the increase will fall short of labor groups’ expectations.



According to Focus Taiwan, starting on January 1, 2026, the monthly minimum wage will increase by 3.2 percent to NT$29,500 (US$967), while the minimum hourly wage will rise from NT$190 to NT$196, reflecting the same percentage increase. These wage increases still require approval from the Executive Yuan, which is anticipated to be granted.



The announcement follows a review conducted by the Minimum Wage Deliberation Committee, which considered factors such as the increase in the Consumer Price Index (CPI) and gross domestic product (GDP) growth. The Directorate General of Budget, Accounting and Statistics (DGBAS) has recently adjusted its 2025 GDP growth forecast to 4.45 percent, up from an earlier estimate of 3.10 percent, due to better-than-expected export performance. The DGBAS also projects a 1.76 percent growth in the Consumer Price Index for 2025.



Labor groups had hoped for a wage increase closer to 4 percent, advocating for the minimum monthly wage to be set at NT$29,734 and the minimum hourly wage at NT$198. They argue that this adjustment would better support workers in coping with rising living costs and allow them to benefit from economic growth.



Prior to the committee meeting, labor groups expressed concerns that Taiwan’s government might use America’s tariff policy, which currently imposes 20 percent duties on numerous goods imported into the United States from Taiwan, as a reason to limit the wage increase.



This marks the second minimum wage increase since President Lai Ching-te assumed office on May 20, 2024. The previous eight increases occurred during former President Tsai Ing-wen’s tenure.