TAIPEI (TVBS News) — Taiwan's Ministry of Labor (MOL, 勞動部) reported Monday (June 2) a concerning rise in unpaid leave statistics, with 155 businesses implementing the cost-cutting measure affecting 2,831 workers. This development signals growing economic pressures on Taiwan's manufacturing sector amid international trade tensions.
The figures represent an increase of seven businesses and 167 workers since the previous reporting period. This upward trend reflects mounting challenges facing Taiwan's industrial workforce. The increase directly follows reciprocal tariff measures announced by the United States in April, specifically impacting 20 businesses and 827 workers. These trade policy changes have created immediate consequences for Taiwan's export-dependent manufacturing companies.
Department of Labor Standards and Equal Employment Director Huang Chia-ya (黃琦雅) noted that Taiwan's manufacturing sector bears the heaviest impact. Over 100 companies have implemented unpaid leave policies affecting approximately 2,430 workers across various industrial subsectors. Automotive parts manufacturers, particularly those producing reduction gears and transmission gears, reported 140 affected workers. An electric transmission machinery manufacturer separately reported 72 workers impacted, with both sectors citing U.S. tariffs as the primary cause.
Year-over-year comparisons reveal mixed trends, with businesses implementing unpaid leave decreasing by 108 and affected workers dropping by 2,354 compared to the same period last year. These figures suggest overall improvement despite recent tariff-related increases. Director Huang emphasized the high uncertainty surrounding recent U.S. policy developments, stating that Taiwan's government will closely monitor evolving conditions. Officials plan proactive outreach to affected businesses, conducting guidance visits to provide support and assess ongoing impacts.
