Taiwan’s Labor Ministry Misappropriates NT$50 Million from Employment Stabilization Fund
In a concerning revelation, Taiwan’s Ministry of Labor has been found to have misappropriated over NT$50 million (approximately US$1.53 million) from the “employment stabilization fund.” This fund, contributed by employers of migrant workers in specific sectors, has been misused for purposes other than its intended use, according to the country’s top government audit body. The findings were discussed in a legislative hearing on Tuesday afternoon.
Misappropriation of Employment Stabilization Fund
The misappropriation of funds was uncovered during an investigation by Taiwan’s National Audit Office (NAO). At the legislative hearing, opposition Kuomintang (KMT) Legislator Liao Hsien-hsiang (廖先翔) raised concerns about the return of the misused funds, to which Auditor General Chen Jui-min (陳瑞敏) responded that the money would indeed be repaid.
According to the NAO’s preliminary findings, the total misappropriation amounted to more than NT$50 million, sparking a heated discussion about the fund’s usage and management. This revelation has raised serious concerns over transparency and accountability within Taiwan’s government agencies.
Controversial Use of the Employment Fund for Concert
The issue came to public attention after Democratic Progressive Party (DPP) legislator Lin Shu-fen (林淑芬) accused former Labor Minister Hsu Ming-chun (許銘春) of using the employment stabilization fund to organize a concert in September 2024. The event, which celebrated the 20th anniversary of the Gender Equality in Employment Act, saw Hsu herself performing on stage.
Following this, Taiwan People’s Party (TPP) legislator Huang Kuo-chang (黃國昌) revealed that Hsu had spent NT$3.56 million from the fund to finance the concert, which further fueled the controversy surrounding the fund’s mismanagement.
Purpose of the Employment Stabilization Fund
The employment stabilization fund is financed by monthly contributions from employers of migrant workers in various sectors, including fishing, caregiving, and construction. The fund was originally established to mitigate the adverse impact of hiring migrant workers on the local job market in Taiwan, supporting policies and programs aimed at balancing the workforce dynamics.
The fund was supposed to be used for policies and measures that benefit local workers, but concerns about its misuse have prompted lawmakers to demand more stringent oversight.
Steps for Accountability and Action
Following the revelation of the misappropriations, Legislator Chung Chia-pin (鍾佳濱) of the DPP asked how the NAO would handle the issue. In response, Auditor General Chen stated that cases of improper procurement would be forwarded to prosecutors for legal action. Cases related to negligence, on the other hand, would be dealt with by the Control Yuan, Taiwan’s highest government watchdog.
Additionally, Legislator Lin Yi-chun (林憶君) of the TPP proposed expanding the NAO’s investigation to cover five years of fund usage, rather than just the past three years. This recommendation was agreed upon by the Auditor General, who promised to track spending over a longer period to ensure comprehensive accountability.
Key Details of the Employment Stabilization Fund Misuse
| Key Information | Details |
|---|---|
| Total Misappropriated Amount | NT$50 million (US$1.53 million) |
| Main Accused | Former Labor Minister Hsu Ming-chun |
| Event Funded with Misused Money | Concert for 20th anniversary of the Gender Equality in Employment Act |
| Legislative Actions | Investigation forwarded to prosecutors and Control Yuan for handling negligence |
| Proposed Investigation Period | 5 years of fund usage instead of 3 years |
Frequently Asked Questions (FAQ)
Q1: What is the employment stabilization fund in Taiwan?
A1: The employment stabilization fund is a pool of money contributed by employers of migrant workers in sectors such as caregiving, construction, and fishing. It is intended to fund measures that balance the employment situation between migrant and local workers.
Q2: How much money was misappropriated from the fund?
A2: The misappropriation amounts to over NT$50 million (approximately US$1.53 million).
Q3: What was the money used for?
A3: The money was controversially used to organize a concert celebrating the 20th anniversary of the Gender Equality in Employment Act, with former Labor Minister Hsu Ming-chun being accused of misusing the funds for the event.
Q4: How will the misappropriated funds be recovered?
A4: Auditor General Chen Jui-min confirmed that the misappropriated funds will be returned, with cases of improper procurement being sent to prosecutors.
Q5: What is the government’s plan for accountability?
A5: The National Audit Office (NAO) is investigating the misuse of funds, and the Control Yuan will handle cases of negligence. Additionally, the investigation scope will be extended to cover five years of fund usage.
