Clipping Board » Other ─ There is currently no cure for this disease of the country and society...
United Daily News
Reporters: Tang Yawen, Xue Heyu
October 18, 2012
Taiwan's labor insurance is sounding the alarm. If the labor insurance fund is to avoid bankruptcy in 15 years, the pensions of Taiwanese workers may face "significant cuts." However, the government allocates NT$20 billion annually from the national treasury as year-end bonuses for 450,000 retired military, civil servants, and public-school teachers. For workers who may not receive any year-end bonuses, this is truly hard to swallow.
Officials from the Labor Insurance Bureau likened the system to a large tree—though its branches and leaves appear lush, its roots are rotting. If no action is taken to "save it from the roots," the tree will eventually collapse entirely. The growing crisis in labor insurance, which even experts cannot easily resolve, has sparked public panic. The government can no longer afford to ignore the issue.
The labor insurance system has ballooned into a monstrous structure, and the government, politicians, and legislators all share responsibility. However, to prevent Taiwan from becoming the next Greece, addressing the "labor insurance collapse generation" cannot solely involve burdening workers—raising premiums and reducing income replacement rates. The military, civil servant, and teacher pension funds must also be reviewed.
Otherwise, comparing a civil servant and a worker who both worked for 30 years with a pre-retirement monthly salary of around NT$53,000, the former enjoys a post-retirement income replacement rate of 90%, receiving over NT$50,000 per month, while the latter’s replacement rate is less than 50%, receiving just over NT$20,000.
Even setting aside fairness, it would be ideal if civil servants could receive the benefits the government promised them upon retirement. The problem is, the civil servant and teacher pension funds are also in crisis and will face bankruptcy without adjustments. Now, labor insurance premiums are set to rise, with workers paying more and receiving less in stages. Meanwhile, retired civil servants and teachers, despite no longer working, still receive year-end bonuses. Meanwhile, hardworking laborers toil all year without knowing whether they will receive any year-end bonus this year.
The labor insurance pension system was established with good intentions, but for the public to truly "feel" its benefits, the welfare enjoyed by military personnel, civil servants, teachers, and state-owned enterprise retirees should be weighed against that of workers’ retirement benefits. Let’s not forget the forgotten laborers who always seem to be on the losing end.
Source: http:/ / tw. news. yahoo. com/ % E8……8% 96% E4% BB% A3- 184800193. html
Observation Post: Look at Civil Servants, Think of the "Collapsing Labor Insurance Generation"
Reporters: Tang Yawen, Xue Heyu
October 18, 2012
Taiwan's labor insurance is sounding the alarm. If the labor insurance fund is to avoid bankruptcy in 15 years, the pensions of Taiwanese workers may face "significant cuts." However, the government allocates NT$20 billion annually from the national treasury as year-end bonuses for 450,000 retired military, civil servants, and public-school teachers. For workers who may not receive any year-end bonuses, this is truly hard to swallow.
Officials from the Labor Insurance Bureau likened the system to a large tree—though its branches and leaves appear lush, its roots are rotting. If no action is taken to "save it from the roots," the tree will eventually collapse entirely. The growing crisis in labor insurance, which even experts cannot easily resolve, has sparked public panic. The government can no longer afford to ignore the issue.
The labor insurance system has ballooned into a monstrous structure, and the government, politicians, and legislators all share responsibility. However, to prevent Taiwan from becoming the next Greece, addressing the "labor insurance collapse generation" cannot solely involve burdening workers—raising premiums and reducing income replacement rates. The military, civil servant, and teacher pension funds must also be reviewed.
Otherwise, comparing a civil servant and a worker who both worked for 30 years with a pre-retirement monthly salary of around NT$53,000, the former enjoys a post-retirement income replacement rate of 90%, receiving over NT$50,000 per month, while the latter’s replacement rate is less than 50%, receiving just over NT$20,000.
Even setting aside fairness, it would be ideal if civil servants could receive the benefits the government promised them upon retirement. The problem is, the civil servant and teacher pension funds are also in crisis and will face bankruptcy without adjustments. Now, labor insurance premiums are set to rise, with workers paying more and receiving less in stages. Meanwhile, retired civil servants and teachers, despite no longer working, still receive year-end bonuses. Meanwhile, hardworking laborers toil all year without knowing whether they will receive any year-end bonus this year.
The labor insurance pension system was established with good intentions, but for the public to truly "feel" its benefits, the welfare enjoyed by military personnel, civil servants, teachers, and state-owned enterprise retirees should be weighed against that of workers’ retirement benefits. Let’s not forget the forgotten laborers who always seem to be on the losing end.
Source: http:/ / tw. news. yahoo. com/ % E8……8% 96% E4% BB% A3- 184800193. html