As part of Taiwan’s new long-term retention program for migrant workers, “blue collar” foreign workers who have been working for the same employer for more than 10 years will soon have their own pension fund.
On October 14, 2025, the Ministry of Labor (MOL) released a notice stating that employers should start setting aside pension funds for their blue collar foreign workers who have served them for more than a decade. This latest directive or regulation is set to take effect on April 1, 2026.
Taiwan Employers to Fund Long-Term Migrant Workers’ Pensions
According to Department of Employment Welfare and Retirement Director Huang Wei-chen, although blue collar foreign workers are covered under the Taiwan’s old labor pension system, their employers were exempted from making contributions, the Taipei Times reported.
The reason for this is because “migrant workers,” a term that usually refers to blue collar workers from Indonesia, Thailand, Vietnam, and the Philippines, were often regarded as “supplementary labor.” And since blue collar workers were previously allowed to stay in the country for just six years, employers did not make pension contributions on their behalf.
New Program Allows Migrant Workers to Stay Longer
Due to the recent introduction of the long-term retention program, Director Huang explained that it is now possible for migrant workers to stay longer in Taiwan, thus enabling them to qualify for pension.
Based on the old labor pension system, employers are required to contribute two (2) to 15 percent of a worker’s total monthly salary to a retirement or pension fund. Likewise, for migrant workers who have been serving the same company for at least 10 years, their salaries should be included in the overall pension reserve calculation of the company.
Migrant Workers’ Pension Funds to Start Next Year
Director Huang said that there are currently over 7,000 companies in the country that employ blue collar foreign workers. However, not all of them have set up pension accounts under the old labor pension system. Hence, he urged local government to assist companies in setting up pension accounts, to prepare for the regulation’s implementation in April 2026.
Thanks to this latest government regulation, blue collar foreign workers, especially those who have been working in the country for many years, can look forward to having their own pension fund. Surely, they will be more motivated to work hard and save for their retirement!
Meanwhile, in the Philippines, a new law has been proposed; it suggests a separate pension fund that is exclusive for overseas Filipino workers (OFWs). Check out this article to learn more about the proposed OFW Pension Act.