Some private sector employers plan to give 3.7% pay hike in 2018: poll

Taipei, Some 55 percent of employers in Taiwan are planning to raise wages in 2018 by an average 3.7 percent, according to a survey released by 1111 online job bank.

It was the second poll on wages released by a job bank in as many days, with the one on Monday by yes123 showing that almost 80 percent of employers plan to raise wages by an average of 4.7 percent next year.

Commenting on the different findings, 1111 job bank said many of its respondents were cautious about pay hikes in light of the forecast slowdown of Taiwan's economic growth in 2018.

The projected 3.7 percent wage increase for 2018 was the lowest in six years of its polling, 1111 job bank said, noting that last year's survey showed a 4.3 percent increase for 2017.

In November, the Directorate General of Budget, Accounting and Statistics forecast Taiwan's 2018 GDP growth at 2.29 percent, a slight slowdown from the expected 2.58 percent increase this year.

While the local economy continued to flash a "green light" in October, signaling steady growth, the composite index of monitoring indicators fell by 5 points from the previous month.

The 3.7 percent wage hike in 2018 forecast by 1111 job bank, based on its poll, is higher than the government's planned increase of 3 percent for civil servants, teachers and military personnel with effect from January.

The 1111 job bank survey showed that among the roughly 55 percent of employers who plan to raise wages, 16.9 percent will give an across-the-board increase, while 37.6 percent will only hike wages for some employees.

Only 6.5 percent of the employers who intend to give raises plans are following the government's lead, the poll found.

About 39 percent of them are raising pay because it is part of their long-term plan, while 10.4 percent intend to give performance bonuses rather than salary increases, according to the survey.

The businesses that intend to raise pay include retail enterprises and companies in the information technology sector, according to the poll.

The survey was conducted Dec. 8-18 and collected 866 valid questionnaires. It had a confidence level of 95 percent and a margin of error of 3.33 percentage points.

Source: Focus Taiwan News Channel