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Taiwan

Working Hours and Overtime Regulations

Understand the laws governing work hours and overtime in Taiwan

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Standard working hours

In Taiwan, the Labor Standards Act (LSA) sets the regulations for standard working hours for employees.

The LSA stipulates a maximum of 8 hours per day for regular work. The standard workweek is capped at 40 hours.

The LSA also acknowledges the need for flexible work schedules in certain industries. It allows for a system called "8-week flexible working hours" under specific conditions:

  • This system applies to industries designated by the Ministry of Labor (MOL) or those that have agreed upon its implementation through a labor union or labor-management conference.
  • Even with this flexibility, the daily working hours cannot exceed 8 hours, and the total weekly working hours cannot surpass 48 hours.

It's crucial to consult the official LSA or refer to the Ministry of Labor's website for the latest information and comprehensive details regarding working hour regulations in Taiwan.

Overtime

In Taiwan, the Labor Standards Act (LSA) protects employee rights regarding overtime work and ensures appropriate compensation.

Work is considered overtime when it exceeds the standard working hours.

The LSA sets limits on overtime work to prevent employee exhaustion. Employees cannot be compelled to work more than 12 hours per day, including regular and overtime hours combined. The total overtime work permitted in a month is capped at 36 hours. There is a provision for exceeding this limit, but it requires consent from the union or through a labor-management conference.

The LSA mandates overtime compensation at a premium rate based on the number of overtime hours worked:

  • For the first 2 hours, employees receive an additional 1/3 of their regular hourly wage (133% of regular pay).
  • For the next 2 hours (from hour 3 to 4), the overtime pay increases to 2/3 on top of the regular hourly rate (167% of regular pay).
  • Beyond 4 hours, overtime pay is the highest at double the regular hourly rate (200% of regular pay).

Working on rest days or national holidays requires the employee's consent and mandates a minimum overtime pay of 200% of the regular hourly wage.

It's important to note that overtime pay calculations must be based on every minute worked, not rounded up to the nearest hour. Employers are legally obligated to provide proper records of employee working hours, including overtime.

Rest periods and breaks

Taiwan's Labor Standards Act (LSA) guarantees rest periods and breaks for employees to ensure well-being and prevent fatigue. Here's a breakdown of these entitlements:

Daily Rest Periods

The LSA mandates a rest period of at least 30 minutes for employees who have continuously worked for four hours.

Exceptions:

  • The employer can reschedule the break within the working hours if:
    • A rotational work system is implemented.
    • The work is continuous or urgent in nature.

Weekly Rest Days

Taiwan upholds the right to two rest days per week for every employee:

  • One day is designated as a regular leave day, with pay.
  • The other day is a rest day, also paid.

There are exceptions for specific industries, but employers must still provide a minimum number of rest days within a designated timeframe:

  • 8-week flexible working hours system: Employees must receive at least one regular leave day every seven days and a minimum of 16 combined rest days and regular leave days within eight weeks.
  • 4-week flexible working hours system: A minimum of two regular leave days every two weeks and at least eight combined rest days and regular leave days within four weeks are mandated.

Important Note:

Employees cannot be forced to waive their rest days or breaks.

Night shift and weekend regulations

In Taiwan, the Labor Standards Act (LSA) recognizes the demanding nature of night shifts and weekend work, establishing specific regulations to protect employee well-being.

Night shift work is defined by the LSA as any work schedule that falls within the hours of 10 pm and 6 am. Night shift workers are entitled to a reduced working hour by 1 hour compared to the standard working hours. This translates to a maximum of 7 working hours per night shift. Night shift work attracts a higher overtime pay rate. The first 2 hours of overtime are compensated at 1/3 more than the regular hourly rate (133% of regular pay), and any subsequent overtime hours are paid at double the regular hourly rate (200% of regular pay).

The LSA guarantees every employee at least two rest days per week, one of which must be a Sunday unless otherwise agreed through a labor union agreement or arbitration. Weekend work, including working on a designated rest day (Sunday), mandates a minimum overtime pay of double the regular hourly rate (200% of regular pay) with the employee's consent.

Employers must provide proper records of employee working hours, including night shifts and weekend work. They are also encouraged to prioritize night worker safety and health by implementing measures like improved lighting and ventilation.

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