Clipping Board » Medical Affairs and Administration ─ Medical system, pharmaceuticals, and medical community-related reports
Update Date: 2009/11/26 04:09 [Reporters Wei Yijia, Hong Suqing / Taipei Report]
The financial shortfall of the National Health Insurance (NHI) at the end of this year has expanded from last year's 22 billion to 51 billion. However, the year-end bonuses for NHI Bureau employees have increased instead of decreasing, rising from 3.6 months last year to 3.8 months this year. On average, a regular staff member can receive nearly NT$200,000 in year-end bonuses, making them the envy of many amid the economic downturn.
The NHI Bureau's year-end bonuses consist of two main parts: performance and evaluation bonuses, with a maximum total of 4.6 months. In the first six to seven years after its establishment, the NHI Bureau almost always received the full 4.6 months. Later, due to financial losses, the high year-end bonuses became a focal point of public criticism, and the NHI Bureau has since kept the details of these bonuses confidential.
Yang Zhiliang, the Minister of the Department of Health, who personally approved this year's 3.8-month year-end bonuses for the NHI Bureau, stated that some might question why employees could receive an additional 0.2 months despite the larger financial shortfall. In reality, the NHI Bureau has no control over how much money is collected or spent—the financial gap is not their fault. The high year-end bonuses are justified because, unlike civil servants, NHI Bureau employees do not receive monthly pensions after retirement or education subsidies for their children.
Yang Zhiliang explained that Taiwan's NHI administrative expenses account for only 1.7% of total medical costs, thanks to the bureau's efforts to minimize overhead. These expenses are covered by the government budget, not a single cent from public NHI premiums—a fact that the Department of Health and the NHI Bureau had not previously clarified.
Starting January 1 next year, the NHI Bureau will be restructured into a government agency, and its employees will only be eligible for 1.5 months of year-end bonuses annually. This year's 3.8-month bonus will mark the end of the bureau's era of high year-end rewards. However, Yang Zhiliang disagrees with the restructuring, arguing that it will cost the government more money. Additionally, employees without civil servant qualifications will face frozen salaries—no raises or promotions—raising concerns about future recruitment.
Meanwhile, the Labor Insurance Bureau, which, like the NHI, faces unpaid premiums from Taipei and Kaohsiung, will see its year-end bonuses shrink by at least 0.2 months from last year's 3.9 months due to poor fund performance. Furthermore, legislators yesterday expressed dissatisfaction with the bureau's failure to collect over NT$50 billion in unpaid labor insurance subsidies from the two cities and decided to freeze next year's already budgeted 1.91-month performance bonuses and 1.3 to 2-month evaluation bonuses (totaling NT$445 million). If the arrears are not recovered, even next year's bonuses may be in jeopardy.
Source: http:/ / tw. news. yahoo. com/ art……url/ d/ a/ 091126/ 78/ 1vosz. html
NHI on Brink of Bankruptcy yet Year-End Bonus Hits 3.8 Months
The financial shortfall of the National Health Insurance (NHI) at the end of this year has expanded from last year's 22 billion to 51 billion. However, the year-end bonuses for NHI Bureau employees have increased instead of decreasing, rising from 3.6 months last year to 3.8 months this year. On average, a regular staff member can receive nearly NT$200,000 in year-end bonuses, making them the envy of many amid the economic downturn.
The NHI Bureau's year-end bonuses consist of two main parts: performance and evaluation bonuses, with a maximum total of 4.6 months. In the first six to seven years after its establishment, the NHI Bureau almost always received the full 4.6 months. Later, due to financial losses, the high year-end bonuses became a focal point of public criticism, and the NHI Bureau has since kept the details of these bonuses confidential.
Yang Zhiliang, the Minister of the Department of Health, who personally approved this year's 3.8-month year-end bonuses for the NHI Bureau, stated that some might question why employees could receive an additional 0.2 months despite the larger financial shortfall. In reality, the NHI Bureau has no control over how much money is collected or spent—the financial gap is not their fault. The high year-end bonuses are justified because, unlike civil servants, NHI Bureau employees do not receive monthly pensions after retirement or education subsidies for their children.
Yang Zhiliang explained that Taiwan's NHI administrative expenses account for only 1.7% of total medical costs, thanks to the bureau's efforts to minimize overhead. These expenses are covered by the government budget, not a single cent from public NHI premiums—a fact that the Department of Health and the NHI Bureau had not previously clarified.
Starting January 1 next year, the NHI Bureau will be restructured into a government agency, and its employees will only be eligible for 1.5 months of year-end bonuses annually. This year's 3.8-month bonus will mark the end of the bureau's era of high year-end rewards. However, Yang Zhiliang disagrees with the restructuring, arguing that it will cost the government more money. Additionally, employees without civil servant qualifications will face frozen salaries—no raises or promotions—raising concerns about future recruitment.
Meanwhile, the Labor Insurance Bureau, which, like the NHI, faces unpaid premiums from Taipei and Kaohsiung, will see its year-end bonuses shrink by at least 0.2 months from last year's 3.9 months due to poor fund performance. Furthermore, legislators yesterday expressed dissatisfaction with the bureau's failure to collect over NT$50 billion in unpaid labor insurance subsidies from the two cities and decided to freeze next year's already budgeted 1.91-month performance bonuses and 1.3 to 2-month evaluation bonuses (totaling NT$445 million). If the arrears are not recovered, even next year's bonuses may be in jeopardy.
Source: http:/ / tw. news. yahoo. com/ art……url/ d/ a/ 091126/ 78/ 1vosz. html