Taiwan’s labor market has undergone structural changes over the past several years, with “atypical employment,” such as part-time, temporary and dispatch work, increasing steadily. Although many people prefer atypical work because its flexibility allows them to manage work and other commitments in their life, it is easy for firms to retrench them when times are tough.
Statistics released by the Directorate-General of Budget, Accounting and Statistics (DGBAS) last month showed that in May the atypical workforce had grown to about 806,000, up 1.08 percent from 798,000 a year earlier and the highest figure in the past four years.
The DGBAS attributed the increase to the post-COVID-19 economic recovery which boosted demand for part-time workers in the service industry, especially in the accommodation and catering sectors. The data also showed that as many as 233,000 people engaged in atypical jobs were aged 25 to 44, an age group most favored by firms.
In the past, people generally believed that those working part-time or temporary jobs could not find full-time, formal work, but the situation has changed over the past few years.
Before 2021, when people were asked why they took atypical jobs, 20 percent said it was because they could not find full-time, formal work, the DGBAS said. However, this rate dropped to 13.22 percent last year and fell to 9.65 percent this year, indicating that a growing number of people are willing to join the atypical workforce because of their desire for flexibility and job diversity.
The report found that about 120,000 atypical workers, or 14.8 percent of the atypical workforce, said they would become formal employees if they had the chance, but the rate was down 3.93 percentage points from a year earlier. No wonder there are more people willing to work for food delivery platforms, devoting their time to become social media influencers or pursuing other types of irregular work, instead of being employed at firms with regular paychecks.
At the same time, experts have observed some changes in young people’s attitudes toward work: They are refusing to be constrained by work, are choosing their job based mainly on interest, prefer greater recognition and quick feedback from social media rather than acknowledgment in the workplace, are developing a distaste for working overtime and are more aware of their rights.
Nevertheless, it is undeniable that the government and business sectors have in the past few years become increasingly dependent on part-time and temporary workers, rather than full-time employees, to fill vacancies. There are also firms hiring dispatch workers because they want a more flexible workforce, while some businesses use such workers to keep down costs.
The growth in atypical employment is indicative of the structural changes in the nation’s economy and a response to individuals’ need for more flexible work schedules and greater control over their work. However, the downside of such atypical forms of employment is that workers have less job security and fewer benefits than those who are formally employed. They might also find it more difficult to negotiate pay and working conditions compared with full-time employees
While atypical workers make up a far smaller percentage of the total workforce in Taiwan than in neighboring economies, accounting for just 7.01 percent this year versus 36.9 percent in Japan and 37 percent in South Korea, these workers should be seen as a supporting workforce rather than as a substitute for regular employees, while their rights and income must be protected, otherwise there is a danger that wage inequality could increase, which would inevitably lead to social instability and disorder.
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