Economists predict the new work week rules will increase business costs and lead to higher inflation, dragging down GDP
Taiwan News
Date: 2017/01/02
By: Central News Agency
Taipei, Jan. 2 — Newly implemented work week rules are expected to increase business costs and
(By Central News Agency)
contribute to higher inflation, which could drag down Taiwan’s gross domestic product growth, economists said Monday.
The new rules took effect on Dec. 23 after the Legislature revised the Labor Standards Act despite strong protests from labor groups, which strongly opposed cutting the number of national holidays per year from 19 to 12 in exchange for instituting the five-day work week.
Under the new rules, total maximum working hours have been reduced to 40 hours a week from 84 hours every two weeks previously, and workers are now entitled to one mandatory day off and one “flexible” rest day a week, all measures that could increase operating costs.
Employers face stiff overtime costs if they have employees work on the “flexible” day off and must provide a matching day off and overtime pay to employees for working on the mandatory day off. [FULL STORY]
