October 2024
Taiwan’s Ministry of Labor Amended Regulations to Ease the Employment of Overseas Chinese and Foreign Graduates to Address Labor Shortages in the Hospitality Industries
October 2024
Elizabeth Pai and Andrew Huang
To align with the National Development Council’s policy to actively expand the retention of overseas Chinese and foreign students and to address labor shortages in the hospitality industry, the Ministry of Labor amended the “Regulations on the Permission and Administration of the Employment of Foreign Workers” on August 26, 2024 (hereinafter the “Regulations”). This amendment allows tourist hotels, hotels, and homestay facility operators who meet certain qualifications to apply for hiring overseas Chinese and foreign graduate students holding an associate’s degree or above from Taiwan universities and colleges to engage in hospitality services, such as housekeeping, cleaning, room reservations, and restaurant service. Such employees can make up to 30% of the workforce enrolled in labor insurance. Below is a brief introduction to the new amendment to the Regulations:
I. Employer Eligibility
Employers who have obtained (i) a business license issued by Taiwan’s Tourism Administration of the Ministry of Transportation and Communications (hereinafter “Tourism Administration”) for a “tourist hotel” or (ii) a business registration certificate issued by the local government to operate a “hotel or homestay facility” are eligible to apply to hire overseas Chinese and foreign graduate students to provide hospitality services (Article 44, Paragraph 1, Subparagraph 2 of the Regulations).
II. Overseas Chinese and Foreign Graduates Eligibility
The graduate students eligible for hiring include foreign students, overseas Chinese students, or other ethnic Chinese students who have obtained an associate’s degree or higher from universities or colleges in Taiwan (Article 2, Subparagraph 3, Item 3 of the Regulations). The employed graduates must also have completed one of the following training courses and accumulated a total of 80 hours or more: (a) relevant professional knowledge or technical training courses conducted by the Tourism Administration or an industry association recognized by the Tourism Administration, or (b) industry-academia collaboration internship programs conducted by domestic universities or colleges accredited by the Ministry of Education.[1]
III. Job Description
Overseas Chinese and foreign graduates employed in the hospitality industry may perform hospitality services such as housekeeping, cleaning, room reservations, front desk reception, or working in the dining areas of restaurants affiliated with the lodging establishment (legislative reasoning of Article 2, Subparagraph 3, Item 3 of the Regulations).
IV. Wage Rules
For overseas Chinese and foreign graduates employed for the first time in hospitality service work, the average monthly regular earnings shall be at least NT$30,000. For those being re-employed, the average monthly regular earnings shall be at least NT$33,000.[2]
V. Validity Period of Employment Permit
An employment permit for overseas Chinese and foreign graduates to engage in hospitality service work is valid for a maximum duration of three years. If the employer wishes to continue the employment, they should apply for an extension within four months before the permit expires. If not, the employer may assist the employee in switching to a new employer or position upon the expiration of the permit within two to four months before the permit expires (Article 48, Paragraphs 1 & 2 of the Regulations and their legislative reasoning).
[1] Employing Overseas Graduates for Hospitality Services, Foreign National Labor Rights Portal, Workforce Development Agency, Ministry of Labor, https://fw.wda.gov.tw/wda-employer/home/extra-overseas-ch/searchByName?mainCategoryName=%E8%81%98%E5%83%B1%E7%95%A2%E6%A5%AD%E5%83%91%E5%A4%96%E7%94%9F%E5%BE%9E%E4%BA%8B%E6%97%85%E5%AE%BF%E6%9C%8D%E5%8B%99%E5%B7%A5%E4%BD%9C (last visited October 4, 2024).
[2] Id.
The contents of all materials (Content) available on the website belong to and remain with Lee, Tsai & Partners. All rights are reserved by Lee, Tsai & Partners, and the Content may not be reproduced, downloaded, disseminated, published, or transferred in any form or by any means, except with the prior permission of Lee, Tsai & Partners.
The Content is for informational purposes only and is not offered as legal or professional advice on any particular issue or case. The Content may not reflect the most current legal and regulatory developments. Lee, Tsai & Partners and the editors do not guarantee the accuracy of the Content and expressly disclaim any and all liability to any person in respect of the consequences of anything done or permitted to be done or omitted to be done wholly or partly in reliance upon the whole or any part of the Content. The contributing authors' opinions do not represent the position of Lee, Tsai & Partners. If the reader has any suggestions or questions, please do not hesitate to contact Lee, Tsai & Partners.
Elizabeth Pai and Andrew Huang
To align with the National Development Council’s policy to actively expand the retention of overseas Chinese and foreign students and to address labor shortages in the hospitality industry, the Ministry of Labor amended the “Regulations on the Permission and Administration of the Employment of Foreign Workers” on August 26, 2024 (hereinafter the “Regulations”). This amendment allows tourist hotels, hotels, and homestay facility operators who meet certain qualifications to apply for hiring overseas Chinese and foreign graduate students holding an associate’s degree or above from Taiwan universities and colleges to engage in hospitality services, such as housekeeping, cleaning, room reservations, and restaurant service. Such employees can make up to 30% of the workforce enrolled in labor insurance. Below is a brief introduction to the new amendment to the Regulations:
I. Employer Eligibility
Employers who have obtained (i) a business license issued by Taiwan’s Tourism Administration of the Ministry of Transportation and Communications (hereinafter “Tourism Administration”) for a “tourist hotel” or (ii) a business registration certificate issued by the local government to operate a “hotel or homestay facility” are eligible to apply to hire overseas Chinese and foreign graduate students to provide hospitality services (Article 44, Paragraph 1, Subparagraph 2 of the Regulations).
II. Overseas Chinese and Foreign Graduates Eligibility
The graduate students eligible for hiring include foreign students, overseas Chinese students, or other ethnic Chinese students who have obtained an associate’s degree or higher from universities or colleges in Taiwan (Article 2, Subparagraph 3, Item 3 of the Regulations). The employed graduates must also have completed one of the following training courses and accumulated a total of 80 hours or more: (a) relevant professional knowledge or technical training courses conducted by the Tourism Administration or an industry association recognized by the Tourism Administration, or (b) industry-academia collaboration internship programs conducted by domestic universities or colleges accredited by the Ministry of Education.[1]
III. Job Description
Overseas Chinese and foreign graduates employed in the hospitality industry may perform hospitality services such as housekeeping, cleaning, room reservations, front desk reception, or working in the dining areas of restaurants affiliated with the lodging establishment (legislative reasoning of Article 2, Subparagraph 3, Item 3 of the Regulations).
IV. Wage Rules
For overseas Chinese and foreign graduates employed for the first time in hospitality service work, the average monthly regular earnings shall be at least NT$30,000. For those being re-employed, the average monthly regular earnings shall be at least NT$33,000.[2]
V. Validity Period of Employment Permit
An employment permit for overseas Chinese and foreign graduates to engage in hospitality service work is valid for a maximum duration of three years. If the employer wishes to continue the employment, they should apply for an extension within four months before the permit expires. If not, the employer may assist the employee in switching to a new employer or position upon the expiration of the permit within two to four months before the permit expires (Article 48, Paragraphs 1 & 2 of the Regulations and their legislative reasoning).
[1] Employing Overseas Graduates for Hospitality Services, Foreign National Labor Rights Portal, Workforce Development Agency, Ministry of Labor, https://fw.wda.gov.tw/wda-employer/home/extra-overseas-ch/searchByName?mainCategoryName=%E8%81%98%E5%83%B1%E7%95%A2%E6%A5%AD%E5%83%91%E5%A4%96%E7%94%9F%E5%BE%9E%E4%BA%8B%E6%97%85%E5%AE%BF%E6%9C%8D%E5%8B%99%E5%B7%A5%E4%BD%9C (last visited October 4, 2024).
[2] Id.
The contents of all materials (Content) available on the website belong to and remain with Lee, Tsai & Partners. All rights are reserved by Lee, Tsai & Partners, and the Content may not be reproduced, downloaded, disseminated, published, or transferred in any form or by any means, except with the prior permission of Lee, Tsai & Partners.
The Content is for informational purposes only and is not offered as legal or professional advice on any particular issue or case. The Content may not reflect the most current legal and regulatory developments. Lee, Tsai & Partners and the editors do not guarantee the accuracy of the Content and expressly disclaim any and all liability to any person in respect of the consequences of anything done or permitted to be done or omitted to be done wholly or partly in reliance upon the whole or any part of the Content. The contributing authors' opinions do not represent the position of Lee, Tsai & Partners. If the reader has any suggestions or questions, please do not hesitate to contact Lee, Tsai & Partners.
