Number of furloughed workers up as manufacturers' exports fall

Taipei, Dec. 18 (CNA) A decline in export orders in Taiwan's manufacturing sector resulted in an increase in the overall number of workers on formal unpaid leave over the past week, the Ministry of Labor (MOL) said Monday.

As of Dec. 15, there were 9,576 workers on furlough nationwide, an increase of 430 from the 9,146 logged as of Dec. 7, the MOL data showed.

The number of employers carrying out furlough programs also increased last week to 368, from 351 a week earlier, the data showed.

Huang Wei-chen (黃維琛), director of the MOL's Department of Labor Standards and Equal Employment, told CNA that the recent increase in the number furloughed workers had resulted largely from weaker employment in the manufacturing sector amid fragile global demand.

Among the manufacturers that implemented unpaid leave programs last week, two exporters in the information electronics industry had about 100 employees on furlough each, due to a decline in export orders, Huang said. One of the companies will maintain the furloughs for three months, and the other for one or two months, he said.

Meanwhile, the increase in the number of furloughed workers in the manufacturing sector was moderated, as an electronics component maker called back some 60 production line workers who had been on unpaid leave, to meet its rush orders, Huang said.

Across the manufacturing sector, the number of furloughed workers rose to 8,609 as of Dec. 15, from 8,247 the previous week, including 2,381 in the information electronics industry, the MOL data showed.

The number of employers in that manufacturing sector implementing unpaid leave programs increased to 208 from 199 the week before, according to the data.

The number of furloughed workers in the metal and electric machinery industry was 5,157 as of Dec. 15, up from 5,018 as of Dec. 7, the data indicated.

The manufacturing sector accounted for almost 90 percent of Taiwan's total furloughed workers in the past week, according to the MOL.

Employment in the local service sector, however, was relatively stable, as domestic consumption has remained solid in the post COVID-19 pandemic era, the ministry said.

The number of furloughed workers in the transportation/warehousing industry, and the lodging and food/beverage industry remained unchanged, at two as of Dec. 15, while in the support service industry, which comprises travel agencies, the number fell to 58 from 61 a week earlier, the MOL data showed.

Also, in the retail and wholesale industry, the number of workers on unpaid leave had increased to 801 as of Dec. 15, from 732 the previous week.

The MOL usually updates its furloughed worker data on the 1st, 8th, 16th, and 24th of every month and reports on the number of employees placed on furlough by companies registered with the ministry.

Most of the enterprises implementing furlough programs are small firms that employ fewer than 50 people.

Unpaid leave programs typically last for less than three months, with employees taking five to eight days of unpaid leave per month, according to the MOL.