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Background of the Foreign Worker Introduction

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Book cover International Labor Mobility to and from Taiwan

Part of the book series: SpringerBriefs in Economics ((BRIEFSECONOMICS))

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Abstract

In 1989, the Taiwanese government legalized employing foreign labor because of a serious labor shortage. However, Taiwan continues to suffer from a labor shortage, which is greater in highly skilled than in unskilled labor. The unemployment rate for unskilled labor is relatively low, whereas that of university graduates has exceeded the average since 2005. One reason for the labor shortage is a low labor participation rate, which is caused by late participation in and early retirement from the labor market. The unskilled labor shortage, which is now considered to be filled by foreign labor to a certain extent, is caused in part by the popularization of higher education. In terms of the shortage in highly educated workers, three types of gaps have triggered this shortage. The demand for caregivers is also increasing because of the aging society, the rising labor participation rate among female workers, and maintenance of the traditional concept of caring for the aged as well as changes in family values.

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Notes

  1. 1.

    1 TWD (Taiwan dollar) = 0.033 USD (US dollar, as of July 12, 2017).

  2. 2.

    Executive Yuan is the executive branch of the central government of Taiwan.

  3. 3.

    Though the legal retirement age was raised from 60 to 65 in 2008, teachers and public servants tend to retire earlier than the usual retirement age (Global Views, October 2015, p. 190).

  4. 4.

    In December 2016, the Ministry of National Defense announced that the military conscription would cease, setting 2017 as the last year (Focus Taiwan News Channel, December 12 2016); hence, the conscription will be eliminated from the reason in the near future.

  5. 5.

    National Statistics, Republic of China (Taiwan), http://www.stat.gov.tw/ct.asp?xItem=37200&ctNode=517&mp=4; http://www.stat.gov.tw/ct.asp?xItem=37135&ctNode=517&mp=4 Accessed May 15, 2017.

  6. 6.

    National Statistics, Republic of China (Taiwan), http://www.stat.gov.tw/ct.asp?xItem=37200&ctNode=517&mp=4; http://www.stat.gov.tw/ct.asp?xItem=37135&ctNode=517&mp=4 Accessed May 15, 2017.

  7. 7.

    Interview with the Director of the Department of Manpower Planning of the Council for Economic Planning and Development on March 18, 2008.

  8. 8.

    Ministry of Education, http://depart.moe.edu.tw/ED4500/cp.aspx?n=002F646AFF7F5492&s=1EA96E4785E6838F# Accessed May 30, 2017.

  9. 9.

    Interview with the Director of the Department of Manpower Planning of the Council for Economic Planning and Development on March 18, 2008.

  10. 10.

    Interview with the Vice Minister of Ministry of Economic Affairs on March 17, 2008.

  11. 11.

    Industrial Technology Research Institute (ITRI) was established by the government for developing technologies useful to the industrial sector.

  12. 12.

    Interview with the Vice Minister of Ministry of Economic Affairs on March 17, 2008.

  13. 13.

    Interview with the Vice President of Company A, Taiwanese PC manufacturer, on August 28, 2007; interview with the Manager of the Department of Human Resources of Company B, Taiwanese PC manufacturer, on August 25, 2009.

  14. 14.

    Interview with the Vice President of Company A, a Taiwanese PC manufacturer, on August 28, 2007.

  15. 15.

    Department of Statistics, Ministry of the Interior, http://sowf.moi.gov.tw/stat/month/list.htm Accessed May 15, 2017.

  16. 16.

    National Statistics, Republic of China (Taiwan), http://www.stat.gov.tw/ct.asp?xItem=37135&ctNode=517&mp=4 Accessed May 15, 2017.

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Authors and Affiliations

  1. Faculty of Management, Kyushu Sangyo University,, Fukuoka, Japan

    Yumiko Nakahara

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  1. Yumiko Nakahara
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Nakahara, Y. (2017). Background of the Foreign Worker Introduction. In: International Labor Mobility to and from Taiwan. SpringerBriefs in Economics. Springer, Singapore. https://doi.org/10.1007/978-981-10-6047-2_3

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  • DOI: https://doi.org/10.1007/978-981-10-6047-2_3

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  • Publisher Name: Springer, Singapore

  • Print ISBN: 978-981-10-6046-5

  • Online ISBN: 978-981-10-6047-2

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