At its meeting on 1 October 2026, Taiwan's Executive Yuan heard the Ministry of Labor's report on the minimum-wage adjustment, noted the proposal and confirmed the 2027 increase. The new rates take effect on 1 January 2027, marking the 11th consecutive annual increase since 2016.
New rates
| Item | 2026 rate | 2027 rate | Change |
|---|---|---|---|
| Minimum monthly wage | NT$29,500 | NT$30,900 | Increase of NT$1,400, about 4.745% |
| Minimum hourly wage | NT$196 | NT$205 | Increase of NT$9 |
The Executive Yuan and Ministry of Labor estimate that about 2.6116 million workers will benefit, including approximately 2.1972 million Taiwanese workers. Monthly and hourly wages use different pay arrangements. Employers should check the actual agreement, regular working hours and applicable labour laws to ensure pay meets the minimum standard.
Review considerations and industry context
The Minimum Wage Review Committee includes labour, business, academic and government representatives. Its discussion considers consumer prices, economic growth, industry development, workers' living needs and employers' ability to pay. Labour representatives emphasized reflecting price increases and economic growth in entry-level wages. Business representatives noted uneven industry performance and continued cost and competitiveness pressures on small and medium-sized enterprises and some traditional industries.
The Executive Yuan said the government will continue support measures for small and micro businesses, while relevant ministries consider industry measures. These policies do not change the minimum-wage effective date. Employers should still complete payroll and HR preparations for the new rates.
Four preparations employers can complete now
- Identify employees whose pay may fall below the new rate: Include full-time, part-time, hourly and student workers. Review pay under the arrangement that applies from 2027. Do not check only the base-salary field; assess pay against the agreed wage and applicable law.
- Update payroll systems and budgets: Before processing January 2027 payroll, confirm monthly and hourly rates, attendance and payroll settings, and estimate the change in labour costs.
- Review employment agreements and internal documents: Check that contract terms, payroll forms, work rules and wage-management processes align with the new rates. Keep a record of the effective date and adjustments.
- Coordinate cross-functional checks: Have HR, finance and department managers reconcile staff lists and payroll data and review system test results to prevent missed adjustments or calculation errors after the change takes effect.
If an employee's agreed wage is already above the minimum, whether and how it should change depends on the employment contract, pay system and individual agreement. A change to the minimum wage alone does not mean every employee's pay must rise by the same percentage.
Sources
- Taiwan Ministry of Labor, 24 September 2026, Minimum Wage Review Committee decides on the 2027 adjustment.
- Taiwan Executive Yuan, 1 October 2026, Minimum wage rises for the 11th consecutive year: monthly NT$30,900 and hourly NT$205 next year.
- Taiwan Executive Yuan, Resolutions of the 4023rd Cabinet Meeting.