TAIPEI (TVBS News) - According to a survey conducted by a local job bank, 49.1% of enterprises in Taiwan are pessimistic about the economy in 2023, while 23.5% said they are optimistic.
Also, 45.2% of enterprises expect to adjust their salaries by 3.35%. Although higher than the 3.1% in 2022, the rise will be the third lowest in nine years.
The average monthly salary increase is estimated to be around NT1,474, which is NT172 more than in 2022.
The industry with the largest salary increases next year will be the semiconductor industry, with a 4% increase.
Wu Daren, CEO of the Research Center for Taiwan Economic Development at National Central University said: "Exports take up 70% of Taiwan's GDP, so its proportion is quite high. And manufacturing industries also take a high percentage."
"So, if manufacturers place orders, and the situation continues to get worse, it is very likely that in the fourth season, especially after November and December, manufacturers may start to plan unpaid leaves, or even lay off employees to make it through the difficult times. Then, this part may affect many families' income," he added.
Under the impact of interest rate hikes and inflation, Taiwanese resident's household spendings have continued to increase, while their willingness to spend has dropped. With the U.S. Federal Reserve's pace of raising interest rates not slowing down any time soon, Taiwan's consumer confidence may continue to fall.
Terry, an office worker shared, "I budget and record my expenses. In the past, for a month's living expenses, I would allocate NTD10,000 for myself. Since I live (with my parents,) I do not have to spend on rent, and related costs. But recently, I can actually see that it is really not enough."
"Yes, in fact, I have now stretched my budget to about NTD12,000, and sometimes at the end of the month I will overspend a bit. In fact, from this I can see that prices have really risen a lot. A main factor is when buying lunch boxes or dinner, in the past, you can buy a lunch box for less than NTD100. But now you will find that lunch boxes on average are above NTD100," he added.
Terry is finding that his budget is getting tighter and tighter. Although he has been continuously saving for years, being able to afford a down payment for housing in Taiwan still seems like an unattainable goal.
