The Executive Yuan reached a final decision last week on minimum wage adjustment, raising the threshold by 600 NT dollars. However, labor groups and enterprises have both found the result unacceptable, and controversies surrounding the issue are expected to rage on before the year end elections.

Amidst the sound of protests, the minimum wage adjustment law was finally concluded, with the minimum monthly wage rising 600 NT$.

Still, this increase did not quell the storm outside. Premier Wu Den-Yih felt pressure from all sides and not wanting to stretch out the subject, approved last Friday the latest adjustment to the minimum wage which will come into effect on January 1st. The minimum wage increase will rise from the current 17,280 to 17,880 NT$ or a 600 NT$ or 3.47%.

An estimated 1.7 million workers will benefit, however, it has led to lots of dissatisfaction amongst workers and employers.

SMEs are criticizing the government for providing extra benefits during an election year, which they have to pay; while labor organizations are promising to take their complaints to the Control Yuan.

The SMEs also emphasized that the basic wage hike will affect 1.6 million foreign workers, as employers have to pay an additional 1 billion NT$ a year in salary.

After being frozen for three years, the minimum salary is finally rising though neither workers nor employers seem happy as it could be a campaign issue in the upcoming election.

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