Starting January 1, 2025, Taiwan officially increased its minimum monthly wage to NT$28,590 and its hourly rate to NT$190. This adjustment, approved by the Taiwan Ministry of Labor, is expected to benefit over 2.5 million workers, including thousands of Overseas Filipino Workers (OFWs) employed in key industries like manufacturing, caregiving, and construction.
For Filipino workers, this update matters. Taiwan remains one of Asia’s top destinations for OFWs because of its stable economy, fair labor laws, and proximity to the Philippines. Understanding how the minimum wage works—and how it compares internationally—helps OFWs make informed decisions about contracts, budgeting, and long-term financial goals.
Who Is Covered by the Minimum Wage
Taiwan’s minimum wage applies to almost all full-time and part-time workers under the Labor Standards Law (LSL). This includes both local and foreign workers with formal contracts.
Covered Sectors
- Manufacturing and factory work – electronics, assembly lines, food processing
- Caregiving and nursing – institutional or home-based caregivers under registered employers
- Service and retail work – cleaners, cashiers, and maintenance staff
- Construction and trades – skilled and semi-skilled laborers
OFWs under legal labor contracts in these sectors must receive at least the statutory minimum. Even live-in caregivers or domestic helpers who are under official labor protection programs may benefit if their agreed salary falls below this threshold.
However, those under informal or private arrangements (e.g., unregistered employers or subcontracting) may face challenges in enforcement. This is why verifying that your employment falls under the Labor Standards Law is crucial before signing a contract.
Taiwan’s Minimum Wage Trend Over the Years
Taiwan’s wage growth has been steady but slower compared to some neighboring economies.
- In the late 1990s, the monthly minimum wage was just NT$15,840.
- Over the years, it rose incrementally, surpassing NT$20,000 in 2011 and reaching NT$28,590 by 2025.
While this marks progress, analysts often point out that wage growth hasn’t kept pace with economic expansion. Since 1998, Taiwan’s minimum wage has roughly tripled, but in the same period, South Korea’s minimum wage increased more than 16 times.
This means that although Taiwan’s GDP per capita now compares to that of South Korea, Spain, and the Czech Republic, its lower-income earners still lag behind when measured in purchasing power.
Comparing Taiwan’s Wages with Other Asian Destinations
| Country | Monthly Minimum Wage (2025 est.) | Approx. PHP Equivalent | Notes |
| Taiwan | NT$28,590 (~₱52,000) | ₱52,000 | Stable economy, annual reviews |
| South Korea | KRW 2,060,000 (~₱89,000) | ₱89,000 | Rapid wage growth, higher living cost |
| Japan | JPY 201,600 (~₱73,000) | ₱73,000 | Regional variations apply |
| Hong Kong | HKD 40.5/hour (~₱295/hour) | ₱51,000+ | Strong protection for domestic workers |
| Singapore | No official national minimum | — | Sectoral wage guidelines apply |
(Exchange rates as of October 2025)
While Taiwan’s pay rate is lower than South Korea or Japan, it offers better accessibility for Filipino workers, lower recruitment costs, and relatively balanced living expenses. Many OFWs see Taiwan as a sweet spot between earnings potential and quality of life.
Factors OFWs Consider When Assessing Taiwan’s Minimum Wage
- Net Take-Home Pay After Deductions
The gross wage isn’t the whole story. Mandatory contributions like labor insurance, health insurance, and taxes are deducted from salary. Some employers include housing and meal allowances instead of raising base pay, so workers should verify that their basic wage meets the legal rate, not just the total compensation.
- Overtime and Work Hours
Since overtime is calculated based on the base wage, a higher minimum directly increases overtime pay. However, some OFWs report unpaid or miscalculated overtime—always keep your time logs and payslips to verify accuracy.
- Contract Enforcement
Even though wage hikes are legally required, compliance varies. Some employers delay or misreport adjustments, especially in small households or subcontracted work. Always ensure your employment contract is registered and recognized by Taiwan’s labor authorities.
- Cost of Living in Taiwan
A higher wage only matters if it offsets local expenses. While Taiwan’s living costs are generally lower than Japan or South Korea, prices in urban centers like Taipei can be steep. OFWs often find better savings opportunities when living in smaller cities or worker dormitories.
- Remittance Value
For many OFWs, the real benchmark is how much can be sent home. With an estimated ₱52,000 monthly minimum, even after deductions, remittance potential remains strong—especially when coupled with Taiwan’s favorable exchange rate and reliable banking system.
Taiwan’s Minimum Wage in the Bigger Picture
Taiwan’s wage growth reflects a gradual but steady effort to balance business competitiveness with worker welfare. While critics argue that minimum wages are still modest compared to Taiwan’s economic output, annual reviews by the Ministry of Labor ensure that salaries continue to improve.
The 2025 increase is also a signal to employers: the government remains committed to raising living standards across industries, including for foreign workers who play a vital role in Taiwan’s care, manufacturing, and service sectors.
Key Takeaways for OFWs
- New rates effective January 1, 2025: NT$28,590/month or NT$190/hour.
- Covers most formal employees: manufacturing, services, caregiving, construction.
- Compare real earnings: Focus on take-home pay after deductions, not just base rate.
- Track trends: Taiwan’s wage growth lags behind South Korea and Japan but offers balanced costs and stability.
- Verify compliance: Always check your payslips and report any discrepancies to Taiwan’s Ministry of Labor or MECO Taipei.
Closing Thoughts
For Filipino workers, Taiwan’s minimum wage isn’t just a number, but a foundation of stability. Each increase, however modest, means more financial security, more savings potential, and greater dignity at work.
As OFWs continue to contribute to both economies, staying informed about wage policies ensures every worker gets what they rightfully deserve. The key is vigilance, documentation, and knowing your rights under Taiwan’s labor laws.