Thinking of working in Taiwan? Before you commit, stop and take a closer look at what you’re about to sign. That job contract is more than just paper—it’s your protection, your promise, and your peace of mind. For Overseas Filipino Workers (OFWs), understanding what to check before signing a job contract in Taiwan can make a big difference between a smooth journey and unexpected setbacks.
If you’re ready to learn more, let’s explore the key contract elements you need to understand—and double-check—before putting your name on the dotted line.
Why Your Job Contract Matters
Your employment contract outlines your:
- Rights as a worker
- Compensation and benefits
- Work expectations
- Legal protections
In Taiwan, contracts are legally binding. Once signed, it can be difficult to change terms unless both parties agree. So it’s important to understand every detail—no matter how small.
What to Check Before Signing a Job Contract in Taiwan
1. Verify the Contract Type
Taiwan typically uses two types of contracts:
- Indefinite-term contracts – Ongoing employment with no end date. This is ideal for long-term roles and provides better job security.
- Fixed-term contracts – Used for project-based or seasonal work. These have a set start and end date.
Make sure the contract clearly shows which one it is—and that it matches what was promised during your recruitment.
Tip: If your contract says “renewable every year,” that usually means it’s fixed-term. Clarify if renewals are automatic or need approval.
2. Double-Check the Salary and Allowances
Don’t just look at the monthly salary. Break it down:
- Base salary – Must meet Taiwan’s legal minimum wage (as of 2025: NT$27,470/month)
- Allowances – May include housing, food, or transport
- Overtime pay – Should follow legal rates (1.33x to 2x base pay)
- Bonuses – Not always guaranteed unless stated in writing
Warning: If your contract states a total package but doesn’t break down the components, ask for clarification.
3. Review Working Hours and Leave Policies
Know your daily and weekly schedule:
- Standard hours – 8 hours/day, 40 hours/week
- Overtime limits – Max 46 hours/month with prior consent
- Rest days – At least one day off per 7-day period
Check for leave benefits:
- Annual leave – Starts after one year of service
- Sick leave – May be paid or unpaid depending on duration
- Special leave – For marriage, bereavement, or maternity
Pro Tip: Your work hours should include proper breaks. If not mentioned, request it to be added.
4. Understand Termination and Resignation Clauses
Every contract should explain:
- Notice periods – Usually 10 to 30 days depending on your length of service
- Grounds for termination – Clear reasons like misconduct, poor performance, or redundancy
- Severance pay – You’re entitled to this if terminated without cause
If your employer can terminate you without notice or without reason, that’s a red flag. Ask for this clause to be revised.
5. Watch Out for Non-Compete Clauses
Some contracts prevent you from working for a similar company or starting a business after leaving. This is called a non-compete clause.
Before you sign:
- How long will it last after your contract ends?
- Is it limited to Taiwan or any location?
- Will you be compensated for the restriction?
Reminder: These clauses should be fair. If it feels overly strict, bring it up before signing.
6. Confirm Mandatory Contributions and Insurance
Your employer is legally required to enroll you in:
- Labor Insurance
- National Health Insurance (NHI)
- Labor Pension Fund
These ensure you have medical coverage, accident insurance, and retirement savings. Make sure your contract confirms these contributions.
Note: You can ask for proof of enrollment after starting your job.
7. Ensure It’s in Writing and in a Language You Understand
Verbal promises don’t count unless they’re written down. Your contract should be:
- Written in English or your native language (or at least explained to you clearly)
- Signed by both you and the employer
- Stamped with the company’s official seal
If something was promised during the interview (like free accommodation or travel reimbursement), make sure it’s in the contract too.
Need More Guidance? Helpful Resources You Can Read
Before signing your contract, it’s smart to look at examples and legal guidelines used in Taiwan. Here are two trusted resources that can help you better understand what to look for in your job offer:
Chambers Global Practice Guide: Employment in Taiwan
This legal guide is written by a top Taiwan law firm and gives a complete overview of employee rights and labor laws in Taiwan. It explains:
- The difference between fixed-term and indefinite contracts
- Legal working hours, overtime rules, and leave benefits
- What counts as a valid reason for termination
- Rules for foreign workers and what employers must provide
- How non-compete clauses work under Taiwan law
Why this is useful:
If you want to understand what’s legal and what’s not in a job contract, this is a strong reference. It explains employee rights in simple, structured sections.
Sample Taiwan Employment Agreement
This sample contract shows you how a typical job contract might be written under Taiwan’s labor law. It includes:
- Salary breakdown and working conditions
- Confidentiality and non-compete clauses
- Probation terms and termination policies
- Dispute resolution steps
Why this is useful:
By reading a real contract example, you’ll know what a complete and fair agreement should look like. Use it to compare with your own contract and check if anything important is missing or unclear.
Who Can Help Review My Contract?
- MECO (Manila Economic and Cultural Office) – Offers contract verification and legal advice.
- POEA-licensed recruitment agencies – Must review and process your contract before deployment.
- MWO (Migrant Workers Office) in Taiwan – Supports OFWs with labor issues and legal concerns.
Frequently Asked Questions
- Can I cancel the contract after signing it?
Yes, but there may be penalties. Read the cancellation clause. Once deployed, breaking a contract without valid reason may affect your future applications. - Is it okay if my contract is only in Chinese?
No. Ask for an English version or a full explanation from your agency before signing. - Can I negotiate contract terms?
Yes, especially before you sign. If the offer is unclear or unfair, raise your concerns with your agency. - Who verifies my job contract before I leave?
The POEA and MECO must verify and approve all job contracts for OFWs before deployment to Taiwan.
Conclusion
Before signing any job contract in Taiwan, take your time. Don’t rush. This is your life, your work, and your future. What you agree to now will shape the months—and possibly years—ahead.
Understanding what to check before signing a job contract in Taiwan isn’t just smart. It’s essential.