TAIPEI (Taiwan News) — The Taiwan Railway Union has slammed a 40% pay increase for the chair and general managers of the Taiwan Railway Corporation, while the transport ministry has said salaries now cannot be compared to past levels.
The union issued a statement via Facebook on Tuesday (Aug. 20) that showed a letter sent from the transport ministry to the railways corporation approving increased pay for the corporation's chair and general managers. The increase would bring their monthly salaries up to nearly NT$200,000 (US$6,260), the union said.
“The union and workers request the transport ministry and the Cabinet freeze the salaries until upper management implements complete safety reforms and improves benefits for low-wage workers,” it said.
The pay increases follow the corporatization of the railways service, which was staunchly opposed by the union. Formerly a government agency, the Taiwan Railway’s Corporation became a state-owned enterprise (SOE) on Jan. 1.
Deputy Transportation Minister Wu Sheng-yuan (伍勝園) responded to the union’s complaint on Tuesday and said the salary increases for the railway’s upper management are in line with those of other SOEs, per UDN.
Wu said for this reason, they can no longer be compared with pre-corporatization salary levels. He added that factors such as business performance and the scale of the enterprise are taken into account when awarding salaries for the upper management of SOEs.
Wu said that a salary plan for low-level employees has been submitted to the Cabinet for approval that takes into account individual performance. It will also award bonuses based on the annual performance of the company itself, he said.