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Tsai hoping private sector will follow government's pay hike plan
Publish Date: 2017/09/14
Update Date: 2017/09/14
Taipei, Sept. 13 (CNA) President Tsai Ing-wen said Wednesday that a planned 3 percent pay raise for public sector employees next year is aimed at showing appreciation for their services and encouraging private enterprises to follow suit.

The government pay hike, which was announced Tuesday, is expected to raise salaries by 3 percent for about 580,000 civil servants and public school teachers, as well as an undisclosed number of military personnel, with effect from January next year.

The decision was announced after a meeting between Tsai and new Premier Lai Ching-te that same day on major government policies.

At the opening of two industrial exhibitions Wednesday, Tsai said she hoped the government's move would spur private companies to share their profits with their employees by also giving a pay raise.

According to Cabinet spokesman Hsu Kuo-yung, some state-owned, state-run and state-controlled banks and companies have already committed to a salary increase with effect from January 2018.

He said Bank of Taiwan, Land Bank of Taiwan, Export-Import Bank of the ROC, CPC Corp., China Steel Corp., Taiwan Power Co., and Taiwan Tobacco and Liquor Corp. will raise salaries by 3 percent, in line with the government's plan.

Meanwhile, Chang Hwa Commercial Bank, First Commercial Bank, Hua Nan Commercial Bank, Mega International Commercial Bank, Taiwan Business Bank and Taiwan Cooperative Bank plan to hike salaries by 3-6 percent, according to the Ministry of Finance, which holds a majority stake in all of those enterprises.

The Cabinet estimates the government's 3 percent pay hike will increase its annual payroll by NT$18 billion (US$509.35 million), according to Hsu. 
President Tsai Ing-wen; photo courtesy of CNA
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