Labor Affairs

Why 70% of Workers in Taiwan Still Earn Below Average Pay

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By Hank Hsu/Irene Lin

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Official statistics reveal that over 70% of paid employees in Taiwan earn below the national average salary. Speaking with Taiwan Labour Front Secretary-General Yang Shu-wei, TaiwanPlus explores the root causes behind this persistent income gap—from low pay in service sectors like hospitality to the reliance on industrial and social welfare migrant workers earning minimum wage. Yang also highlights how disparities in labor protections could trigger human rights and forced-labor concerns for Taiwanese firms integrated into global supply chains.

Shifting Wage Trends

REPORTER:  
New data shows that more than 70 percent of Taiwan’s workers now earn less than the average wage. The figure comes from the first half of 2026 and is an all-time high. Government officials say it is not necessarily a sign of income inequality and is the result of shifts in two key job sectors. Taiwan has been rapidly adding foreign industrial workers, who earn less than the average wage. And, the AI boom has increased the wages of tech workers. Looking at the broader economy, real wages were up for the period, as pay increases outpaced inflation.

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70% Workers Earn Below Average

REPORTER:  
Over 70% of employees earned below the average monthly wage in the first half of 2026. Officials say that percentage, a record high, was driven by faster jobs growth in part-time, and foreign industrial workers than full-time employees. Government officials insist it is a sign of rapid wage growth and not increasing wage inequality. In Taiwan, the average monthly salary is about $1,500 US dollars, though the median regular wage is even lower. This comes as Taiwan has boasted about record-breaking economic growth, driven by AI – though the statistics implies that much of that growth remains concentrated in a small number of actual earners.