For half of Taiwan, overtime just a fact of life

For half of Taiwan, overtime just a fact of life

Wednesday, Nov 27, 2013

John Liu

The China Post/Asia News Network

TAIPEI – The Council of Labor Affairs (CLA) said yesterday that 51.2 per cent of the nation’s workforce had the experience of working overtime in 2013, and 28 per cent of those cases were unlawful. Both percentages have increased over the past two years, the CLA said. According to the regulations, working for 12 hours or more per day is considered unlawful.The CLA said that 1.867 million workers reported overtime hours in 2013, 11 per cent of whom, equivalent to 726,000 workers, never received any compensation.

The survey also showed that 5.7 per cent of workers are paid not by hours but by “jobs completed.” As a result, they are not compensated for overtime work. This “system of job responsibility” has allowed employers to demand unpaid overtime work from their employees.

Every year, the CLA surveys the work and life conditions of domestic workers. A total of 6.67 million workers, who are under labour insurance, participated in this year’s survey, which sampled 4,082 workers.

A total of 23.8 per cent of employers violated the Labor Standards Act by ordering their staff to work more than 12 hours per day. This percentage has increased over the past two years.

Working Overtime Across Industries

According to the CLA’s survey, the information and communication industry is considered the most tiresome industry, followed by the finance and insurance industry and the health services and social work industry.

A total of 57.6 per cent of people work overtime in order to “ensure prompt delivery or to meet business requirements,” which is the number one reason cited by people who work overtime. A total of 24.5 per cent of people work overtime because there is “too much work or too many meetings,” while 6.9 per cent of people work overtime in order “to earn overtime pay.”

The survey further indicates that “professionals” in different fields are most likely to work overtime, followed by “lawmakers and managers.” It shows that the higher the position in a corporate ladder, or the more professional one’s job, the more likely that they will have to work overtime.

Taking a Toll on Health

It is estimated that 710,000 domestic workers have worked overtime over the past year, 40 per cent of whom said they felt that working overtime has affected their health.

A total of 68.4 per cent of workers who frequently work overtime said they felt that working overtime has taken a toll on their health. The percentage is much higher than that (34.3 per cent) of those who seldom work overtime.

According to the survey, “low compensation” ranks highest as local workers’ concern, followed by “deteriorated energy.” Interestingly, “unable to receive year-end bonus” is the concern that saw the highest jump from the previous year.

Unknown's avatarAbout bambooinnovator
Kee Koon Boon (“KB”) is the co-founder and director of HERO Investment Management which provides specialized fund management and investment advisory services to the ARCHEA Asia HERO Innovators Fund (www.heroinnovator.com), the only Asian SMID-cap tech-focused fund in the industry. KB is an internationally featured investor rooted in the principles of value investing for over a decade as a fund manager and analyst in the Asian capital markets who started his career at a boutique hedge fund in Singapore where he was with the firm since 2002 and was also part of the core investment committee in significantly outperforming the index in the 10-year-plus-old flagship Asian fund. He was also the portfolio manager for Asia-Pacific equities at Korea’s largest mutual fund company. Prior to setting up the H.E.R.O. Innovators Fund, KB was the Chief Investment Officer & CEO of a Singapore Registered Fund Management Company (RFMC) where he is responsible for listed Asian equity investments. KB had taught accounting at the Singapore Management University (SMU) as a faculty member and also pioneered the 15-week course on Accounting Fraud in Asia as an official module at SMU. KB remains grateful and honored to be invited by Singapore’s financial regulator Monetary Authority of Singapore (MAS) to present to their top management team about implementing a world’s first fact-based forward-looking fraud detection framework to bring about benefits for the capital markets in Singapore and for the public and investment community. KB also served the community in sharing his insights in writing articles about value investing and corporate governance in the media that include Business Times, Straits Times, Jakarta Post, Manual of Ideas, Investopedia, TedXWallStreet. He had also presented in top investment, banking and finance conferences in America, Italy, Sydney, Cape Town, HK, China. He has trained CEOs, entrepreneurs, CFOs, management executives in business strategy & business model innovation in Singapore, HK and China.

Leave a comment