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To protect workers’rights and avoid penalty, business entities should enroll in Employment Insurance as long as they have employees

According to existing regulations, business entities that employ more than five employees are required to provide Labor Insurance. However, even if a business entity only has one employee, it is still required to enroll in Employment Insurance. Therefore, business entities that are not required to provide Labor Insurance (such as apartment management committees, cram schools, clinics, civil associations, and companies that hire less than four employees) and are unwilling to participate in Labor Insurance are nonetheless required to act as an insured unit of and enroll the employees in the Employment Insurance from the day of employment.

The Bureau of Labor Insurance has further explained that any employed laborers of Taiwanese nationality, spouses with foreign nationalities, mainland Chinese spouses, and Hong Kong/Macao spouses who work legally in Taiwan (except for those covered by Civil Servant and Teacher Insurance or Military Personnel Insurance or those who have received Labor Insurance Old-Age Benefits or Civil Servant and Teacher Insurance Pension Benefits) who are between the ages of 15 and 65 are the subjects of compulsory Employment Insurance.

Employers who do not obtain Employment Insurance for their employees must pay a fine equivalent to 10 times the insurance premiums. If workers are unable to apply for Employment Insurance Benefits from the Bureau of Labor Insurance (e.g. Unemployment Benefits, Early Reemployment Allowance, Vocational Training Living Allowance, Parental Leave Allowance, National Health Insurance Premium Support etc.) due to lack of Employment Insurance coverage, employers must also compensate workers for their losses. Therefore, the Bureau of Labor Insurance hereby urges institutions to comply with relevant regulations in order to protect employee rights.
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Last Update:2019-05-17
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