Hiring in Taiwan? Dismissal follows a fixed list of grounds.

Taiwan is a well-established, highly developed place to build a team, but three separate mandatory insurance schemes and a fourth mandatory pension contribution, not one payroll tax, make getting the employment model wrong an expensive mistake. We help you choose the right way to hire, place you with the right partner, and stay alongside you for the life of the relationship.

  • Independent advice
  • Vetted partners
  • On your side at renewal

A great market to hire in. Three insurance schemes and a pension mandate underneath.

Taiwan is a highly developed, export-driven economy anchored by advanced semiconductor manufacturing and a skilled, ageing workforce, but employer cost runs through three separate statutory insurance schemes, Labor Insurance, Employment Insurance, and National Health Insurance, plus a fourth mandatory pension contribution, each with its own rate and its own wage ceiling, that a company used to a single payroll tax can easily underquote.

01

Global hub for advanced semiconductor manufacturing

Home to TSMC and the world’s deepest semiconductor supply chain, with semiconductors alone accounting for more than a fifth of GDP, but the New Taiwan Dollar trades as a managed float set by the Central Bank of the Republic of China (Taiwan) rather than freely, so currency movement is a real, ongoing part of your cost planning.

02

Highly regulated, three-scheme labour market

A single Labor Standards Act, three separate mandatory insurance schemes, Labor Insurance, Employment Insurance, and National Health Insurance, each with its own rate and ceiling, plus a separately-capped mandatory pension contribution, and dismissal that is only lawful on a fixed list of statutory grounds mean your employment structure has to be chosen with care.

03

Independent expert advice

Not sure whether you need EOR, payroll, or your own Taiwan Limited Company? We map your headcount, timeline, and risk profile and give you a clear recommendation, not a product pitch.

Four ways to hire in Taiwan. Match the model to your headcount.

Most businesses arrive having already decided, and often decided too quickly. Below is the honest version of each route, so you pick with the full picture. When one fits, the detailed guide is one click away.

Employer of Record

An EOR partner becomes the legal employer of your Taiwan staff, handling the contract, payroll, the three statutory insurance schemes (Labor Insurance, Employment Insurance, National Health Insurance) plus the mandatory pension contribution, and Labor Standards Act compliance, while you direct the work. Operational in days, no entity needed. Best for testing the market or hiring a small team.

Global Payroll

For when you already have a Taiwan entity, or want to consolidate payroll across several countries. You stay the legal employer; a specialist partner runs the monthly withholding across all three insurance schemes and the pension contribution, and files correctly with the tax and insurance authorities.

Entity Formation (Limited Company)

Your own Taiwan company, most commonly a Limited Company (有限公司, yǒuxiàn gōngsī). Full control and a local presence, with no residency requirement for directors since 2018, but you carry registration, tax enrolment, and ongoing filings. Right when the headcount and permanence justify it.

PEO Services

A co-employment model alongside your own Taiwan entity. True PEO co-employment is far less established in Taiwan than in the US, so for most companies EOR or managed payroll is the better fit. We will tell you honestly which one your situation calls for.

Taiwan at a glance

Currency

New Taiwan Dollar (TWD, NT$). Salaries are set and paid in NT$, which trades as a managed float supervised by the Central Bank of the Republic of China (Taiwan) rather than freely; if your budget lives in USD or EUR, exchange movement quietly changes your real cost.

Minimum wage (2026)

NT$29,500 per month (NT$196 per hour) for 2026, one national rate set annually by the Ministry of Labor’s wage committee, no regional variation to track.

Employer costs

Not one blended rate: Labor Insurance plus Employment Insurance together cost 8.75% of insured salary (capped at NT$45,800/month), National Health Insurance adds a further employer share of the 5.17% general rate (capped at NT$313,000/month), and the mandatory Labor Pension contribution adds at least 6% of monthly wage (capped at NT$150,000/month).

Leave & Notice

Taiwan is not at-will: dismissal is only lawful on a fixed list of statutory grounds, with 10 to 30 days’ notice depending on tenure. Annual leave starts at 3 days after 6 months and rises with tenure to a 30-day cap, on top of the annual national holiday calendar.

Hiring in Taiwan: quick answers

The questions we are asked most about hiring in Taiwan.

An Employer of Record. Your hire can start in days, with a compliant Taiwan employment contract from day one and no entity to set up. It is the lowest-risk way to test the market or place a small team.
No. With an EOR you can employ people in Taiwan without your own company. You only need to incorporate when you are committing to a permanent, larger presence, and we will tell you honestly when that point arrives.
Three separate mandatory insurance schemes, Labor Insurance, Employment Insurance, and National Health Insurance, each with its own rate and ceiling, plus a fourth, separately-capped mandatory pension contribution, and dismissal that is only lawful on a fixed list of statutory grounds rather than at-will. None of it is a problem when handled correctly, which is the point of getting the model right at the start.
We are independent: we assess what you actually need, place you with the right vetted partner, secure pricing you will not get going direct, and stay on your side to escalate or renegotiate. You get advice, not a product pitch.

Let’s map your Taiwan hire.

Tell us who you want to hire and where you are headed in Taiwan. One conversation maps your options, flags the risks, and usually gets you to a better answer, and better pricing, than going direct. No pitch.

Tax and labour data verified July 2026 (Ministry of Labor, Bureau of Labor Insurance, National Health Insurance Administration, Ministry of Finance). Figures change; we confirm the current position when we scope your hire.