Q1: Will there be any adjustment on labor insurance pension payment for this year (2023)?
A1: Yes, for this year, the adjustment will be applicable to the claimants of the pension payment during the year 2011, 2012, 2016, 2017 and 2018, total 5 years. Up to year 2022, the accumulated growth rates of consumer price index (hereinafter referred to as the “CPI Accumulated Growth Rate) for the aforementioned years are, respectively, 7.40%, 5.31%, 7.40%, 6.74% and 5.31%. They have attained the statutory threshold for adjustment (which is 5%). For the individuals who are currently receiving the labor insurance pension benefits (including old-age pension benefits, permanent disability pension benefits and survivor pension benefits) will, according to the regulations, receive an upward adjustment since May, 2023. The adjusted amount shall be credited to the recipients’ accounts at the end of the next month (June 29, 2023). For the applications filed in other years, no adjustment will be made since the CPI Accumulated Growth Rate has not yet attained 5%.
Q2: As a follow-up question, what is the amount of adjustment? How is it calculated?
A2: For those applying for pension payment during the year 2011, 2012, 2016, 2017 and 2018, the amount of labor insurance pension benefits will be increased based on the following formula: The increased amount per month = the amount received each month * the CPI Accumulated Grow Rate for the year. For example, Mr. A applied for old-age pension benefits in July, 2016 and is receiving a monthly payment of NTD20,000. His monthly pension payment will be increased by NTD1,480 in May, 2023 (NTD20,000 * 7.4% = NTD1,480). The payment will be credited to his accounts on June 29, 2023.
Q3: Why is my pension payment amount adjusted starting May 2023 and not January 2023?
A3: According to the regulations, the BLI should submit the proposal to the Ministry of Labor for approval and announcement before the end of May 2023. The adjustment, therefore, will become effective from May, 2023 rather than January 2023. The payment will be effected before the end of the next month (June, 2023).
Q4: How is the CPI Accumulated Growth Rate calculated for different years?
A4: Calculation for the CPI Accumulated Growth Rate for each year is as follows:
| Year Starting Receiving the Benefits |
Base Period Accumulated Average CPI |
2022 Accumulated Average CPI |
Accumulated Growth Rate
(Refer to Explanation 2) |
Eligible for adjustment this year? |
| 2009 |
100.00 |
102.95 |
2.95% |
No |
| 2010 |
100.00 |
2.95% |
No |
| 2011 |
95.86 |
7.40% |
Adjustment will be made since May, 2023 |
| 2012 |
97.76 |
5.31% |
| 2013 |
100.00 |
2.95% |
No |
| 2014 |
100.00 |
2.95% |
No |
| 2015 |
100.00 |
2.95% |
No |
| 2016 |
95.86 |
7.40% |
Adjustment will be made since May, 2023 |
| 2017 |
96.45 |
6.74% |
| 2018 |
97.76 |
5.31% |
| 2019 |
98.30 |
4.73% |
No |
| 2020 |
98.07 |
4.98% |
No |
| 2021 |
100.00 |
2.95% |
No |
| 2022 |
102.95 |
0.00% |
No |
Explanation:
- The information is compiled based on the Splicing Table of Consumer Price Index published by the Directorate-General of Budget, Accounting, and Statistics, Executive Yuan in April 2023.
- Accumulated Growth Rate =【(Accumulated Average CPI for the previous year (2022)/Base Period Accumulated Average CPI)-1】 *100% (results should be rounded off to the second decimal place).
Q5: Since the old-age pension benefits is adjusted based on the CPI Accumulated Growth Rate, will there be any difference between choosing the first and the second payment method?
A5: No, the adjustment of old-age pension benefits is calculated based on the original benefit amount, taking into account the CPI Accumulated Growth Rate. There will be no difference for choosing different calculation methods.
Q6: Is it true that the labor insurance pension amount will be adjusted regularly at an interval of five years, based on the CPI Accumulated Growth Rate?
A6: No. No adjustment will be made until the CPI Accumulated Growth Rate since the year of starting receiving the benefit has reached 5%.
Q7: Since the launch of the labor insurance pension system, what are the years where the claimants have received the adjustment based on the CPI Accumulated Growth Rate?
A7: Adjustments have been made for the claimants of year 2009 to 2015. The details are as follows:
| Year starting receiving the benefit |
The month/year the adjustment was made |
Percentage of Adjustment |
| 2009 |
May, 2014 |
5.20% (Calculated from 2009 to 2013) |
| May, 2022 |
6.71% (Calculated from 2014 to 2021) |
| 2010 |
May, 2015 |
5.45% (Calculated from 2010 to 2014) |
| May, 2022 |
5.45% (Calculated from 2015 to 2021) |
| 2011 |
May, 2017 |
5.10% (Calculated from 2011 to 2016) |
| 2012 |
May, 2019 |
5.14% (Calculated from 2012 to 2018) |
| 2013 |
May, 2022 |
6.71% (Calculated from 2013 to 2021) |
| 2014 |
May, 2022 |
5.45% (Calculated from 2014 to 2021) |
| 2015 |
May, 2022 |
5.77% (Calculated from 2015 to 2021) |