Low wages and birthrate

Low wages and birthrate

A Yahoo Taiwan survey of 5,400 responses conducted on May 16-19, 2018, about the government’s plan to subsidize families with children 0-4 years old to encourage child birth.  An overwhelming 79.4% do not think the program will work while only 19.3% think the program will work with 1.3% who do not know, and an overwhelming 78.2% think the subsidies as incentives to encourage child birth are ineffective while 20.7% think they will be effective, with 1.1% who do not know.

When asked which would be the most effective solution to the dwindling childbirth rate problem, 74.0% say solving the low wage problem would be the most effective solution to the dwindling childbirth rate problem.  The survey consisted of 66.1% men and 33.9% women.

In 2009, 662,000 Taiwanese went abroad to work.  In 2016, 728,000 Taiwanese worked abroad.  Low wages are considered the culprit of Taiwan’s massive brain drain.

A low monthly salary of NT$27,711 cannot keep talented workers and this type of low level salary has been driving Taiwan’s brain drain.

In 2016, average regular monthly income was NT$4000, but the median income was NT$34000.

In 2011, 43% of all Taiwanese workers earned a regular monthly salary of less than NT$30,000.  In 2018, 34% of all workers earn a regular monthly salary of less than NT$30,000.

The government will raise the basic minimum hourly wage from NT$140 to NT$150 for hourly wage workers.  That constitutes an NT$10 wage hike for an extreme minority of Taiwanese workers.

However, the vulgarly low caliber of Taiwan’s corporate culture is now being accused of being the major culprit of Taiwan’s massive brain drain.

Taiwanese enterprises and Taiwanese businesses enslave their workers, work them like slaves.

A Taiwanese entrepreneur once said:  “Without creating value, the problem of low wages of young workers cannot be solved.”  “To solve the low wage problem, productivity and productive value of the low wage worker must be increased.

Taiwanese industries with median wage lower than the nationwide median wage include the construction industry, educational services industry, wholesale and retail industry, arts, entertainment, leisure industries, support services, agriculture, forestry, fishery and animal husbandry and animal farming, hospitality industry.

Taiwan’s wholesale and retail sector employs 1,700,000 workers, the construction industry employs 460,000 workers, the hospitality industry employs 430,000 workers, the support services employ 350,000 workers.

The worker’s value of the employees of these industries must be heightened in order to solve the low wage problem.

Yet, the basic labor reform law and wage increases implemented by the Tsai Ing-wen and Lai Ching-de government of the Democratic Progressive Party have decreased the basic worker’s value.

 

 

Advertisements

About masterchensays

Victor Chen, herbalist, alternative healthcare lecturer, Chinese affairs analyst, retired journalist
This entry was posted in Uncategorized. Bookmark the permalink.