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Over 80% of firms to issue year-end bonuses: survey

2018/01/29 21:15:47

Taipei, Jan. 29 (CNA) More than 80 percent of employers in Taiwan will issue year-end bonuses, with the average bonus equivalent to 1.34 month's-worth of salary, according to a survey released Monday by the 1111 Job Bank.

The survey found that 81.4 percent of the polled employers said they will give year-end bonuses, up almost 5 percentage points from a similar survey conducted last year, with the job bank attributing the growth to an improving local economy.

The amount of bonuses expected to be given also beat an average of 1.24 month's-worth of wages in the 2017 survey, which the job bank said is additional evidence of a better economy.

Last week, Premier Lai Ching-te (賴清德) told the press that Taiwan's gross domestic product (GDP) rose 2.6 percent in 2017 from the previous year, a significant improvement from a 1.41 percent increase seen in 2016.

The Directorate General of Budget, Accounting and Statistics is expected to release its official figure later in the week.

The online job bank's vice president Daniel Lee (李大華) said the strong economic performance made more employers willing to give year-end bonuses, while a booming stock market has also reinforced enterprises' faith in their business outlooks, prompting more of them to issue bonuses ahead of the Lunar New Year holiday, which will start on Feb. 15.

According to the job bank, the financial sector is the industry in which employers appeared the most generous with year-end bonuses, ahead of the information technology sector and the trading/logistics sector.

Lee said many employers in the local financial sector have been upbeat about the business climate, citing data compiled by the Financial Supervisory Commission as saying that banks, securities firms and insurance companies could report a new high of about NT$550 billion (US$18.90 billion) in combined profit for last year.

The survey shows 61 percent of the polled employers said they will give year-end bonuses based on their individual employees' performances, while 21.1 percent of them said they will look into employees' seniority, and 21.8 percent will take into account the performance of each department as a whole.

About 14 percent of the respondents said they will give year-end bonuses to all of their employees, no matter how they performed in 2017, the survey indicates.

The job bank said large-sized companies with a workforce of more than 200 showed the highest willingness to issue year-end bonuses, while smaller firms with a workforce of less than 50 were not enthusiastic to hand out money.

The online survey was conducted Jan. 17-26, collecting 902 valid samples from job bank members. The job bank did not provide information about the poll's confidence level or its margin of error.

(By Chiu Po-sheng and Frances Huang)