All overseas Filipino workers (OFW) should know their rights when they go abroad. The job contract mentions their rights and benefits, along with the job description. But when contract terms are broken or not followed, the OFW becomes a victim of contract violations.
In Taiwan, contract violations include excessive working hours, non-payment or delayed payment of salaries, illegal deductions, and unlawful dismissal. In this article, we shall take a closer look at these contract violations, based on the country’s labor laws.
List of Common Contract Violations Against Foreign Workers
Here are 10 of the most common contract violations experienced by foreign workers in Taiwan:
Contract Substitution
As the term implies, contract substitution happens when the employer or recruitment agency provides a different job or contract other than the one that was initially agreed upon. Usually, it involves the “reprocessing” of documents, with workers being compelled to agree to a lower salary when they arrive abroad.
Contract substitution goes against Article 14, Paragraph 1 of Taiwan’s Labor Standards Act (LSA), which states that an employee may terminate the job contract and seek severance under certain conditions, including “the employer making a misrepresentation at the time of entering in to the job contract,” as this may cause harm to the employee.
Breach of Contract
A breach of contract happens when the employer violates the terms specified in the job contract, or imposes conditions that are not aligned with the LSA, thus infringing upon the worker’s rights. In this case, the worker can terminate the job contract and seek severance.
Non-Payment or Delayed Payment
In Taiwan, a worker’s salary is typically paid in two installments every month, unless otherwise agreed between the worker and his/her employer. Moreover, the salary should not be less than the minimum basic wage announced by the Ministry of Labor (MOL).
Additionally, a worker’s wage should include the basic salary, overtime pay, regular allowances, incentives, and other benefits paid on a regular basis. When the salary is not paid or delayed, there is a serious violation on the part of the employer.
In accordance with Article 14, Paragraph 1 of the LSA, an employee may terminate the job contract and seek severance if the employer fails to pay wages or provide adequate work.
Illegal Deductions
Other than legally mandated deductions such as labor insurance and taxes, there shouldn’t be any other deductions from a worker’s salary. However, there are cases where an employer or “broker” makes illegal deductions such as excessive broker fees, or unauthorized deductions during times of calamity.
Employers and brokers who make illegal deductions face hefty fines, with the MOL imposing fines up to TWD 300,000 on guilty parties. What’s more, employers could have their hiring permits revoked, not to mention face possible criminal charges and pay compensation.
Debt Bondage
Often times, a “broker” also happens to be a lending company, which creates a crippling cycle of debt upon the employee. Facing significant debt, yet afraid of losing their job and being sent home, most workers would rather stay silent and endure the abuse, rather than report their situation.
Overwork or No Rest Period
The LSA states that a worker’s regular work hours should not exceed 8 hours a day and 40 hours a week. Furthermore, there should be a 30-break after four hours of continuous work, and at least 2 regular days off every seven days, along with other forms of paid leave throughout the year.
As for overtime, this refers to work hours that exceed regular hours. For workers in Taiwan, the maximum number of work hours should not exceed 12 hours a day (including regular hours and overtime). Moreover, the total number of extended work hours should not exceed 46 hours a month.
If employers impose excessive overtime, fail to provide breaks, and do not pay proper overtime wages, they are breaking the law.
Inhumane Conditions
Under Taiwan’s Occupational Safety and Health Act (OSHA), employers are required to protect their workers by ensuring their safety, health, and well-being in the workplace. This involves providing a safe working environment by regularly inspecting and maintaining equipment and facilities, and making sure that their operational activities comply with safety standards.
When the workplace is crowded, with unsafe equipment, and inadequate medical care, the condition is deemed “inhumane” for workers. In this case, Article 14, Paragraph 1 of the LSA states that a worker may terminate the job contract and seek severance if “the work is detrimental to the worker’s health and the employer fails to make the necessary improvements.”
Abuse and Discrimination
There are many laws against abuse and discrimination, which includes physical sexual, and psychological abuse. Article 14, Paragraph 1 of the LSA mentions that a worker may terminate the job contract if “the employer or their agent engages in acts of violence or significant insult against the employee.”
Likewise, Paragraph 1, Article 5 of the Employment Service Act (ESA) states that employers are prohibited from discriminating against job applicants or employees “on the basis of age, gender, sexual orientation, appearance, physical disability, marital status, race, language, religion, political affiliation,” and other factors.
Retention/Confiscation of Passport/ID
The MOL states that retaining or confiscating a worker’s passport and IDs is illegal. Every worker has the right to keep his/her passport and personal documents. The retention or confiscation of a worker’s documents is usually a strong indicator of forced labor and human trafficking. Hence, employers who are found guilty of this act could face fines between TWD 60,000 and TWD 300,000.
Unjust Dismissal
Based on the LSA as well as the Labor Incident Act (LIA), employers cannot terminate a worker without “just cause” or a valid legal reason; otherwise, this is called “unjust dismissal.” If this happens, the worker can file a complaint with authorities, pursue a court case, and be entitled to reinstatement or receive wages/severance
How to Report Contract Violations
If you or anyone you know have experienced any of the above contract violations, do not hesitate to report to the authorities. First of all, you can call the 1955 hotline of the MOL; this is their number that receives all forms of complaints and inquiries.
Similarly, you can also go to the Manila Economic and Cultural Office (MECO) to seek assistance regarding your case.
Have you ever experienced any of the above contract violations in Taiwan? If so, be sure to contact the authorities for help and assistance. Meanwhile, if you are job seeker who is just starting on your employment journey, be sure to ask yourself these important questions before signing your overseas job contract.