Cabinet proposes 4% pay increase for military personnel, civil servants

Taipei, July 2 (CNA) The Cabinet on Thursday proposed an average 4 percent pay increase for active-duty military personnel, civil servants and public school teachers.

It also proposed a monthly allowance of NT$2,000 (US$63) for managerial positions and posts requiring specialized skills, as part of efforts to encourage outstanding civil servants to take on management roles.

Premier Cho Jung-tai (卓榮泰) said at a weekly Cabinet meeting that the pay raises were proposed after taking into account Taiwan's strong economic performance in recent years and the consumer price index, which is expected to record a cumulative increase of more than 3 percent since 2024.

Meanwhile, as average private-sector wages and the minimum wage have continued to increase, the government believes the benefits of economic growth should also be shared with public-sector employees, Cho said.

Cho said the proposed allowance increases would be funded through a supplementary budget to be submitted after the Legislative Yuan completes its review of the fiscal 2026 general budget. The increases would be applied retroactively to July 1, 2026.

Meanwhile, the 4 percent salary increase will be funded through the fiscal 2027 general budget, according to the Directorate-General of Personnel Administration.

Cho said the central government is working to earmark funding for the pay raises and urged the Legislature to approve the proposal to support the government's efforts to recruit and retain talent.