6. What is a commissioned worker? Is a commissioned worker eligible to participate in the labor pension system? If the commissioning entity does not wish to make pension contributions for a commissioned worker, what supporting documents be submitted?
- A commissioned worker is a person who is appointed by another party under a commissioning contract to handle designated affairs.
- Commissioned workers are eligible to participate in the Labor Pension system. The commissioning entity may voluntarily make pension contributions for a commissioned worker or the commissioned worker may make voluntary pension contributions. In either case, the contribution rate may not exceed 6% of the worker’s monthly wage.
- When a commissioning entity applies for labor insurance coverage for a commissioned worker but does not want to make labor pension contributions for them, it should indicate on the application form that “No labor pension contributions will be made for this commissioned worker”. If necessary, the BLI may require the commissioning unit to submit supporting documents.
- If a commissioned worker chooses to make voluntary pension contributions, the worker shall notify the commissioning entity. The commissioning entity shall complete the voluntary pension contribution declaration and submit it to the Bureau of Labor Insurance, and may withhold the contribution amount from the worker’s remuneration. The commissioning entity shall not refuse to do so.
- If the commissioning entity refuses to complete and submit the contribution declaration form to the Bureau of Labor Insurance, the commissioned workers may apply directly to the Bureau of Labor Insurance to commence or terminate voluntary pension contributions. The commissioning entity shall collect the voluntary pension contributions and report the contributions to the Bureau of Labor Insurance.
- When a commissioning entity is in violation by failing to make labor pension contributions within the prescribed time limit or by failing to contribute the full amount due, the commissioning entity shall be subject to a late payment charge at the rate of 3% of the overdue contributions amount for each day of delay, commencing on the day immediately following the expiration of the prescribed payment period, and continuing until the day immediately preceding the settlement date; however, the total amount of the late payment charge shall not exceed the amount of the originally stipulated contributions.