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© 2006 Mercer Human Resource Consulting, LLC.
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A s i a Pa c i f i c H u m a n R e s o u r c e s A t l a s
Argentina
2006/2007 Edition
Country Human Resources Atlas
Taiwan
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© 2006 Mercer Human Resource Consulting. All rights reserved. No part of this publication may be
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MICA (P) No. 327/03/2006
Designed by Di’zain Creations
Printed by UIC Printing & Packaging Pte Ltd
000-Cover page
2
5/10/06, 5:13 PM
Highlights
The following are some of the highlights from this issue of Asia Pacific HR Atlas:
■ The International Monetary Fund raised its forecast for Japan and parts of Asia in its World
Economic Outlook released in late April, 2006. Higher consumer spending in Japan and higherthan-expected growth rates in China and Japan are the two main factors stoking Asia’s growth,
pegged at 7.9% in 2006 (against 6.9% made in September 2005). Japan’s 2006 growth has been
lifted to 2.8% from 2% previously. China’s growth rate has been nudged up to 9.5% (8.2% before)
while India’s growth has been revised to 7.3% (from 6.3% before). Japan’s recovery is broad-based
and driven by domestic demand.
■ During 2006, Asia faces two key risks; the first being continued escalation in world oil price hikes;
and the second is the possibility of the Avian (bird) flu becoming pandemic. A survey by Mercer
Human Resource Consulting shows that while most organizations expect negative impact from a
pandemic bird flu, they were not prepared to handle the business impact in the event of a widespread outbreak of the flu. About 90% of those surveyed by Mercer said they expect moderate to
high impact from an outbreak but only 47% have set up business continuity plans. While 80%
expect productivity loss, and 70% expect bottomline to be affected, only 17% have set aside budget
to deal with the potential crisis.
■ Asia Pacific’s HR challenges are as diverse as its economic maturities and economic landscapes.
There are signs that rising GDP and CPI pressures will continue to exert upward pressures on
salary costs in parts of Asia Pacific. India in particular is expected to continue to see wage cost
spiral.
■ India boasts of 14 million university graduates, 1.5 times that of China and twice that of the
United States. However, the IT and ITES sectors are expected to continue experiencing supply
issues. Indian organizations are faced with a dearth of talent at the executive levels. As a
consequence, many organizations in India will be under pressure to adjust remuneration in the
face of a tight labor market to stem talent outflow, or to attract new employees. HR will be forced
to focus on talent development issues while developing key competencies to grow internal talent
will also be a priority.
■ In most parts of Asia, organizations have highlighted attraction and retention of key talent as a
major HR concern. Another key concern is acceleration of compensation costs. One of the
greatest compensation risks for organizations is underestimating the extent to which the market
will move, spurred on by a tight labor supply situation.
■ Managing retirement for an aging workforce will also continue to preoccupy parts of Asia Pacific.
In particular reforms in China and India, as well as in Japan and Korea, will take on added
urgency.
■ Organizations are also being forced to review their international assignment policies to help
manage costs of moving employees either around the Asian region, or around the world. There is
immense pressure on HR to design policies that will help reduce costs, as well as retain global
talent after initial assignments.
000-Cover page
3
5/10/06, 5:13 PM
Table of Contents
Introduction
Overview
■
■
■
■
■
■
■
■
■
■
■
GDP Growth
Annual Inflation
Per Capita GNP
Population Growth
Population and Workforce
Unemployment Rate
Labour Force Participation
Employment by Industry
Literacy Rate
Education Enrolment
Average Staff Turnover (Voluntary)
Local Compensation Practices
■
■
■
■
■
Annual Compensation
Base Salary Differentials Between Fresh Graduates and Top Management
Average Salary Increases
Average Bonus Payment
Purchasing Power vs Annual Total Cash Compensation
Local Benefits Practices
■
■
■
■
■
■
■
■
Housing
Motor Vehicle
Annual Leave
Club Membership
Medical
Retirement
Insurance
Meals
International Mobility Information
■
■
■
■
■
Cost-of-Living Comparison
Cost of Living - Inflation
Quality-of-Living Comparison
Expatriate Housing
International Schools
Overseas Travel Expenses
■
■
■
Hotels
Meals per Person
Per Diem per Person
Public Holidays
000-Cover pg-country
4
4/26/05, 12:09 AM
Introduction
Introduction
Mercer Human Resource Consulting is pleased to release the twelfth annual edition of the
2006/2007 Asia Pacific Human Resources Atlas (HR Atlas).
Mercer consultants and analysts have carefully prepared the 2006/2007 Asia Pacific Human Resources
Atlas in order to provide users with an at-a-glance overview of compensation and benefits practices
in the Asia Pacific region. Its easy-to-use graphics format will enable users to quickly gain an insight
on compensation and benefits for local staff in the 15 Asia Pacific countries (Pakistan is included in
this year’s edition); cost-of-living and quality-of-living for expatriates.
The data for the HR Atlas is based on surveys and reports compiled and published by Mercer and its
associates in 2006. Each of these reports provides extensive detail on the country and topics
covered. Mercer has extracted the highlights of these reports for the HR Atlas.
(Salary data in the HR Atlas has been projected to reflect data as at April 2006.)
Terms and definitions
The 2006/2007 Asia Pacific Human Resources Atlas is designed in such a way that all terms, definitions
and data sources are listed on the page in which the data is found. Consistent terms and definitions
are used for all countries, unless specifically stated otherwise. Certain terms not cited elsewhere are
as follows:
Position profiles
■
Position Class (PC)
All Mercer surveys make use of the International Position Evaluation (IPE) System to rank and
rate positions. The IPE system is an objective way to evaluate the relative size of positions within
an organization. It is a dynamic system and is assessed periodically to ensure it accurately
reflects changes and developments in the business environment such as evolving organization
structures, perceptions of relative job size, and user feedback. IPE Version 3 (IPE V3) which is
updated in 2001, refines the methodology of the IPE System and provides additional tools and
descriptions to effectively implement the IPE System in any organization.
IPE V3 for survey purposes is a point-factor system comprising four factors and ten dimensions
as outlined below:
Factor
Dimension
Size of Organization
Impact on Organization
Contribution towards
the Organization
3. Innovation
■
Frame
Communication
4. Knowledge
Factor
Dimension
1. Impact
■
■
■
2. Communication
■
■
■
■
■
1
Teams
Knowledge
Breadth
I
© 2006 Mercer Human Resource Consulting. All rights reserved.
001-Intro
■
Complexity
Innovation
5/10/06, 5:24 PM
Introduction
Each factor and dimension has a series of degrees and corresponding point values. Upon
completion of the evaluation, the point scores related to dimensions are totalled. Every 25 points
range correspond to a Position Class. Mercer Position Classes range from a low of Position Class 40 to
a high of Position Class 87. Mercer uses Position Classes in its surveys for comparison of relative job
size.
For the convenience of HR Atlas users, we have included a brief position description summarizing
the benchmark positions’ typical responsibilities.
The terms used in the HR Atlas are defined below.
Top Management (Typically PC 58 and above)
■
Head of a Division within a corporation, or Head of a Function with major impact on the
corporation’s results; has 8 to 10 years’ experience. The organization size is normally at least
US$20 million for an integrated manufacturing and sales operation.
Management (Typically PC 54-57)
■
Section Manager normally reports to the Head of the Function. The position holder is responsible
for a job area within a function. The position holder normally has a university degree with at
least 5 years’ experience or a diploma with over 8 years’ experience.
Professional (Typically PC 47-53)
■
The Professional is responsible for day-to-day activities within a specific job area, and may have
one or two people reporting to him/her. The position holder normally has a university degree
with 1 to 3 years’ experience or a diploma with 3 to 5 years’ experience.
Staff ( PC 46 & below)
■
Position holder is normally a non-exempt staff, such as a clerical or skilled operator. The position
holder performs similar activities and duties within one job area.
Compensation
Annual Base Salary
■
Annual base salary is the monthly base salary multiplied by the number of months paid in a year.
This includes the annual fixed bonuses.
For India, annual guaranteed cash is used instead. Annual guaranteed cash is annual base salary
plus guaranteed cash allowances.
Annual Total Cash
■
Annual total cash is the annual base salary plus guaranteed allowances plus actual bonuses,
commissions and/or incentives paid in a cash form. The term excludes the cost of providing
executive benefits and any reimbursement for business expenditures.
For India, annual total employment cost is used instead. Annual total employment cost is annual
base salary plus bonuses, incentives, allowances, benefits and perquisites.
Median
■
This is the point in the range of values at which 50% of salaries fall below and 50% of salaries are
above. The median is also known as the 50th percentile or Q2.
II
001-Intro
© 2006 Mercer Human Resource Consulting. All rights reserved.
2
5/10/06, 5:24 PM
Introduction
Other terms
■
Work Force
This refers to the total number of workers who are potentially available for employment. This
includes both the employed and the unemployed.
■
Labor Force
This refers to the pool of people who are employed.
■
Primary Industry
This comprises agriculture, livestock, fisheries and mining industries.
■
Secondary Industry
This comprises construction, utilities and manufacturing industries.
■
Tertiary Industry
This comprises transport, storage and communications, business and financial services,
insurance, real estate and retail industries.
■
Literacy Rate
This refers to the population over 15 years of age who can read and write.
■
Age Group Enrolled in Secondary/Tertiary Education
This refers to the number of people in the relevant age group who are enrolled at a specific level
of education as a percentage of the total population in the relevant age group.
Cost-of-Living (COL) Report
This report measures the differences in the cost-of-living encountered by professional staff and
their families working abroad. Our international basket comprises over 300 products in a carefully
selected range of goods and services representative of executive spending both at home and abroad.
The mean-to-mean index is used to compare the average of the price range for each item locally and
overseas.
Companies use the COL indices to establish relative adjustments to cost-of-living allowances when
relocating expatriates.
Quality-of-Living (QOL) Report
This report provides an objective, consistent and comprehensive evaluation of the relative
differences in the quality-of-living between Asian Pacific cities with Singapore and Hong Kong as
the base cities. If the host city registers an index rating of 100 or above, this means that the qualityof-living is higher in the host city than in the base city. On the other hand, if the index rating for the
host city is less than 100, this indicates that the quality-of-living is lower in the host city compared
with the base city.
Companies use the QOL indices to establish relative hardship factors in the form of hardship
allowances when relocating expatriates. Mercer’s recommendation is that for any index ranking
above 90, there is no need for any allowances.
III
© 2006 Mercer Human Resource Consulting. All rights reserved.
001-Intro
3
5/10/06, 5:24 PM
Introduction
April 6, 2006
CURRENCY CROSS RATES
USD AUD
CNY
HKD
1.371
7.998
7.759 44.442 8984.73 117.558 3.665
1.627 59.800 50.980 1.606 941.62 32.332 38.206
5.834
5.659 32.415 6553.37 85.750 2.673
1.187 43.618 37.185 1.171 686.81 23.583 27.867
U.S.
INR
IDR
JPY
MYR
NZD
PKR
PHP
SGD
Australia
0.729
China
0.125 0.171
Hong Kong
0.129 0.177
India
0.0224 0.0307 0.1794 0.1740
Indonesia
0.0001 0.0002 0.0009 0.0009 0.0049
Japan
0.009 0.012
0.068
0.066
Malaysia
0.273 0.374
2.180
2.115 12.114 2449.12 32.045
New Zealand
0.614 0.842
4.914
4.766 27.301 5519.41 72.217 2.252
Pakistan
0.0167 0.0229 0.1338 0.1297 0.7432 150.25 1.9658 0.0613 0.0272
Philippines
0.0195 0.0268 0.1561 0.1514 0.868
Singapore
0.623 0.853
South Korea
0.0010 0.0014 0.0083 0.0080 0.0460
9.300
0.1217 0.0038 0.0017 0.0619 0.0528 0.0017
Taiwan
0.031 0.042
0.247
0.240
1.373
277.63
3.633
0.113
Thailand
0.026 0.036
0.209
0.203
1.162
234.86
3.073
0.096
0.968
1.031
4.979
THB
5.543 1120.52 14.661 0.457
0.203
7.458
6.358
0.200 117.43 4.032
4.765
5.728 1157.93 15.151 0.472
0.210
7.707
6.570
0.207 121.35 4.167
4.924
201.49 2.6363 0.0821 0.0365 1.3411 1.1433 0.0360 21.117 0.7251 0.8568
0.378
0.0131 0.0004 0.0002 0.0066 0.0057 0.0002 0.1046 0.0036 0.0042
0.031
76.42
175.38
0.014
0.509
0.434
0.014
8.009
0.275
0.325
0.443 16.301 13.897 0.438 256.67 8.813 10.415
36.736 31.318 0.987 578.45 19.862 23.470
0.853 0.0269 15.746 0.541
0.639
0.0314 18.380 0.631
0.746
2.295 0.0715 0.0318 1.1673
4.830 27.665 5593.08 73.181 2.282
Vietnam
KRW TWD
586.17 20.127 23.784
1.013 37.226 31.736
0.050
0.0335 0.0396
1.848
1.575
0.050 29.097
1.563
1.333
0.042 24.614 0.845
1.1806
Quoted in USD
International Currency
Australian Dollar
Chinese Renminbi
Hong Kong Dollar
Indian Rupee
Indonesian Rupiah
Japanese Yen
Malaysian Ringgit
New Zealand Dollar
Source:
Pakistan Rupee
Philippine Peso
Singapore Dollar
South Korean Won
Taiwan Dollar
Thailand Baht
Vietnamese Dong
PKR
PHP
SGD
KRW
TWD
THB
VND
FXCrossRate 2005 by OANDA Corporation
IV
001-Intro
AUD
CNY
HKD
INR
IDR
JPY
MYR
NZD
© 2006 Mercer Human Resource Consulting. All rights reserved.
4
5/10/06, 5:24 PM
Country Overview
ƒ Annual GDP Growth
ƒ Annual Inflation
ƒ Per Capita GNP
ƒ Population Growth
ƒ Unemployment Rate
ƒ Population and Workforce
ƒ Labour Force Participation
ƒ Employment by Industry
ƒ Literacy Rate
ƒ Education Enrolment
ƒAverage Staff Turnover (Voluntary)
Country HR Atlas – Taiwan
Country Overview
2004
Actual
2005
Estimate
2006
Forecast
Annual GDP Growth
6.1
3.8
4.5
*Annual Inflation
1.6
2.3
1.5
USD 15,676
Per Capita GNP
0.63% increase per annum
Population Growth
4.2% of workforce unemployed
Unemployment Rate
Workforce
Population
10.3 million
22.8 million
Male
Female
76.2% of population
employed
51.2% of population
employed
Population & Workforce
Labour Force
Participation
Source:
• Mercer Human Resource Consulting 1st Quarter 2006, Asia Monitor Bulletin
• Directorate General of Budget Accounting & Statistics Bureau of Taiwan
• CIA Factbook 2005
• Asian Development Bank
Note:
• Data as at 2005
• * Annual inflation figures represent the average percentage change in the Consumer Price Index (CPI) over the previous calendar
year/ fiscal year.
© 2005 Mercer Human Resource Consulting. All rights reserved.
1
Country HR Atlas – Taiwan
Country Overview
Employment by Industry
Primary
Industry
Secondary
Industry
Tertiary
Industry
(e.g. Agricultural)
(e.g. Manufacturing)
(e.g. Services)
6%
36%
58%
96.1% of population
Literacy Rate
Aged Group Enrolled
in Secondary
Education
Aged Group
Enrolled in Tertiary
Education
Education Enrolment
78.5%
98.2%
of Relevant Age Group
Average Staff Turnover
(Voluntary)
of Relevant Age
Group
14.5%
Source:
• Directorate General of Budget Accounting and Statistics Bureau of Taiwan
• Ministry of Education, Taiwan
• UNESCO Institute for Statistics
• Mercer Human Resource Consulting Taiwan Total Remuneration Survey 2006, All Industries Survey Overview Report
Note:
•
Data as at 2005
© 2005 Mercer Human Resource Consulting. All rights reserved.
2
Local Compensation
Practices
ƒ Annual Compensation
ƒ Base Salary Differentials Between Fresh Graduates and
Top Management
ƒ Average Salary Increases
ƒ Average Bonus Payment
ƒ Purchasing Power vs Annual Total Cash Compensation
Country HR Atlas – Taiwan
Annual Compensation – Top
Management
US $
Head of Organization I
Position Class 65 – 66
Responsible for the long term strategic planning of the
organization. Monitors achievement of operational and
financial results. Also responsible for growth and
diversification to accomplish the vision of the organization.
May be responsible for directing more than one business
operation. Typically degree holder or equivalent with 10 to
15 years of relevant experience.
ABS
ATC
217,269
313,518
Local $
ABS
ATC
7,008,688
10,113,474
US $
Head of Organization II
Position Class 63 – 64
Responsible for the long term strategic planning of the
organization. Monitors achievement of operational and
financial results. Also responsible for growth and
diversification to accomplish the vision of the organization.
May be responsible for directing more than one business
operation. Typically degree holder or equivalent with 10
years of relevant experience.
ABS
ATC
143,597
182,843
Local $
ABS
ATC
4,632,167
5,898,167
Source:
• Mercer Human Resource Consulting Taiwan Total Remuneration Survey Report 2005
Note:
• All compensation data is as at 1st April 2006
• ABS – Annual Base Salary; ATC – Annual Total Cash; D.U. – Data Unavailable
© 2005 Mercer Human Resource Consulting. All rights reserved.
3
Country HR Atlas – Taiwan
Annual Compensation – Top
Management
US $
Head of Organization III
Position Class 61 – 62
Responsible for the long term strategic planning of the
organization. Monitors achievement of operational and
financial results. Also responsible for growth and
diversification to accomplish the vision of the organization.
May be responsible for directing more than one business
operation. Typically degree holder or equivalent with 8 to 10
years of relevant experience.
ABS
ATC
166,872
208,505
Local $
ABS
ATC
5,382,964
6,725,970
US $
Top Engineering Executive
Position Class 59 - 60
Plans, directs and controls the engineering activities of the
organizations to ensure operations achieve quality and production
objectives. Directs and controls the engineering and technical
operations of the organization in consultation with other managers
and professionals to ensure that standards of quality, cost, safety
and performance are observed and that time schedules are met.
Plans engineering methods, policies and procedures. Liaises with
senior manufacturing and research executives in the design and
implementation of operating standards to achieve production plans
and business objectives. Defines and reviews plant maintenance
policy to optimize efficiency and quality. Liaises with quality control
staff to set quality standards for the efficient functioning of plant
and equipment. Coordinates the activities of the engineering
function and encourages the exchange of information, ideas and
techniques in the various engineering fields. Typically degree holder
or equivalent with more than 10 years of relevant experience.
ABS
ATC
88,700
99,820
Local $
ABS
ATC
2,861,290
3,220,016
Source:
• Mercer Human Resource Consulting Taiwan Total Remuneration Survey Report 2005
Note:
• All compensation data is as at 1st April 2006
• ABS – Annual Base Salary; ATC – Annual Total Cash; D.U. – Data Unavailable
© 2005 Mercer Human Resource Consulting. All rights reserved.
4
Country HR Atlas – Taiwan
Annual Compensation – Top
Management
US $
Top Finance & Accounting Executive
Position Class 59 - 60
Formulates strategies, policies and procedures including
sales, costing, tax, asset, budget, credit and cash flow
management. Manages financial resources to ensure healthy
cash flow and controls balancing of foreign exchange.
Directs timely and accurate preparation of profit and loss
account, balance sheet, standard and special management
reports. Provides financial analyses and recommendation for
management decision. Ensures internal and legal
compliance. Typically degree holder or equivalent with 8 to
10 years of relevant experience.
ABS
ATC
102,332
123,384
Local $
ABS
ATC
3,301,033
3,980,131
US $
Top Human Resources Executive
Position Class 59 - 60
Responsible for the strategic plan of the human resources
function. In charge of recruitment, training & development,
compensation, staff welfare and facilities; formulates policies
and supervises policy and legal compliance. Develops,
communicates and implements the strategic direction of the
operation. Regularly leads important regional initiatives. Has
ultimate accountability for the function and provides the
highest level of advice and recommendations to the general
manager or global sub-function/ function head. Typically
degree holder or equivalent with 8 to 10 years of relevant
experience.
ABS
ATC
79,196
103,487
Local $
ABS
ATC
2,554,705
3,338,294
Source:
• Mercer Human Resource Consulting Taiwan Total Remuneration Survey Report 2005
Note:
• All compensation data is as at 1st April 2006
• ABS – Annual Base Salary; ATC – Annual Total Cash; D.U. – Data Unavailable
© 2005 Mercer Human Resource Consulting. All rights reserved.
5
Country HR Atlas – Taiwan
Annual Compensation – Top
Management
US $
Top Supply & Logistics Executive
Position Class 59 – 60
Leads the Supply & Logistics function. Responsibilities include
material control and planning, logistics, and procurement.
Establishes objectives, policies, standards and schedules to
ensure quality and quantities required at the best cost and
delivery conditions. May also be responsible for production
planning and control as well as development of reliable
suppliers. Typically degree holder or equivalent with 8 to 10
years of relevant experience.
ABS
ATC
75,580
83,755
Local $
ABS
ATC
2,438,059
2,701,778
US $
Top Information Technology Executive
Position Class 59 - 60
Leads IT function. Assesses company’s IT needs based on
user requirements and recommends hardware and software
applications. Directs information strategy and service to meet
business requirements, including training and upgrading of
information systems/ technology knowledge and skills of all
staff members to improve productivity through information
systems. Typically degree holder or equivalent with 8 to 10
years of relevant experience.
ABS
ATC
88,097
100,849
Local $
ABS
ATC
2,841,836
3,253,186
Source:
• Mercer Human Resource Consulting Taiwan Total Remuneration Survey Report 2005
Note:
• All compensation data is as at 1st April 2006
• ABS – Annual Base Salary; ATC – Annual Total Cash; D.U. – Data Unavailable
© 2005 Mercer Human Resource Consulting. All rights reserved.
6
Country HR Atlas – Taiwan
Annual Compensation – Top
Management
US $
Top Sales & Marketing Executive
Position Class 59 – 60
Leads the Sales and Marketing function. Develops marketing
and sales strategy to increase market share and profitability.
Organizes and controls implementation of marketing and
sales tactics. Handles major sales and negotiation; appoints
both agents and distributors and works with them. May also
be responsible for developing new business, either by
introducing new products or by entering new markets.
Typically degree holder or equivalent with 8 to 10 years of
relevant experience.
ABS
ATC
92,566
123,883
Local $
ABS
ATC
2,985,998
3,996,223
US $
Head of Production
Position Class 59 - 60
Responsible for leading and organizing the entire production
function. Establishes objectives, policies, standards and
production schedules to ensure quality and cost
effectiveness. Typically degree holder or equivalent with 8 to
10 years of relevant experience.
ABS
ATC
91,384
107,065
Local $
ABS
ATC
2,947,868
3,453,724
Source:
• Mercer Human Resource Consulting Taiwan Total Remuneration Survey Report 2005
Note:
• All compensation data is as at 1st April 2006
• ABS – Annual Base Salary; ATC – Annual Total Cash; D.U. – Data Unavailable
© 2005 Mercer Human Resource Consulting. All rights reserved.
7
Country HR Atlas – Taiwan
Annual Compensation – Management
US $
Sales Manager
Position Class 55 - 56
Leads regional (or district or national) sales. Formulates sales
strategy for assigned territory or products. Develops sales
forecast, budget and manpower plans. Supervises and trains
distributors and/or sales force to achieve sales targets.
Pursues key prospects, negotiates and constructs appropriate
terms of sales. Typically degree holder or equivalent with 5
to 7 years of relevant experience.
ABS
ATC
57,515
77,012
Local $
ABS
ATC
1,855,324
2,484,254
US $
Finance Manager
Position Class 55 - 56
Leads the Finance/Accounting function. Responsible for funds
management, cash flow, tax management, budget and
financial control/reporting. Typically degree holder or
equivalent with 6 to 8 years of relevant experience.
ABS
ATC
60,200
65,817
Local $
ABS
ATC
1,941,927
2,123,133
Source:
• Mercer Human Resource Consulting Taiwan Total Remuneration Survey Report 2005
Note:
• All compensation data is as at 1st April 2006
• ABS – Annual Base Salary; ATC – Annual Total Cash; D.U. – Data Unavailable
© 2005 Mercer Human Resource Consulting. All rights reserved.
8
Country HR Atlas – Taiwan
Annual Compensation – Professional
US $
Senior Accountant
Position Class 51 - 52
Supervises accounts payable, accounts receivable, petty cash
and banking activities. Handles journal entries and special
charges. Checks and/or prepares financial reports. Carries
out financial analysis. Typically degree holder or equivalent
with 4 to 5 years of relevant experience.
ABS
ATC
38,140
42,648
Local $
ABS
ATC
1,230,310
1,375,732
US $
Senior Sales Engineer
Position Class 51 - 52
Achieves sales objectives within product range or assigned
districts; pursues sales leads, promotes products, concludes
orders, arranges internal sales logistics. Technical knowledge
is essential. Typically degree holder or equivalent with 4 to 5
years of relevant experience.
ABS
ATC
37,475
47,874
Local $
ABS
ATC
1,208,866
1,544,338
Source:
• Mercer Human Resource Consulting Taiwan Total Remuneration Survey Report 2005
Note:
• All compensation data is as at 1st April 2006
• ABS – Annual Base Salary; ATC – Annual Total Cash; D.U. – Data Unavailable
© 2005 Mercer Human Resource Consulting. All rights reserved.
9
Country HR Atlas – Taiwan
Annual Compensation – Professional
US $
Senior Customer Engineer
Position Class 51 - 52
Guides Customer Engineering team in systems installation
and repairs, liaises with customers on necessary logistics;
undertakes major systems installations and repairs, trains
customers on systems maintenance. Typically degree holder
or equivalent with 3 to 4 years of relevant experience.
ABS
ATC
41,220
47,788
Local $
ABS
ATC
1,329,678
1,541,559
US $
Accountant
Position Class 49 - 50
Supervises accurate bookkeeping entries and approvals of
credit notes, including balancing of entries with bank
balance. Responsible for either accounts payable or
receivable. Provides daily guidance to clerks. Typically degree
holder or equivalent with 1 to 3 years of relevant experience.
ABS
ATC
30,089
33,445
Local $
ABS
ATC
970,598
1,078,867
Source:
• Mercer Human Resource Consulting Taiwan Total Remuneration Survey Report 2005
Note:
• All compensation data is as at 1st April 2006
• ABS – Annual Base Salary; ATC – Annual Total Cash; D.U. – Data Unavailable
© 2005 Mercer Human Resource Consulting. All rights reserved.
10
Country HR Atlas – Taiwan
Annual Compensation – Professional
US $
Sales Engineer
Position Class 49 - 50
Achieves sales objectives within product range or assigned
districts; pursues sales leads, promotes products, concludes
orders, arranges internal sales logistics. Technical knowledge
is essential. Typically degree holder or equivalent with 1 to 2
years of relevant experience.
ABS
ATC
29,892
37,747
Local $
ABS
ATC
964,274
1,217,630
US $
System Analyst
Position Class 49 - 50
Investigates the needs for system optimization. Conducts
feasibility studies in system design and development to meet
users’ hardware and software needs. Performs computer
programming and modifies existing programs and provides
support to existing system. Typically degree holder or
equivalent with 3 to 5 years of relevant experience.
ABS
ATC
30,013
33,008
Local $
ABS
ATC
968,160
1,064,776
Source:
• Mercer Human Resource Consulting Taiwan Total Remuneration Survey Report 2005
Note:
• All compensation data is as at 1st April 2006
• ABS – Annual Base Salary; ATC – Annual Total Cash; D.U. – Data Unavailable
© 2005 Mercer Human Resource Consulting. All rights reserved.
11
Country HR Atlas – Taiwan
Annual Compensation – Professional
US $
Customer Engineer
Position Class 49 - 50
Undertakes systems installation and repairs, liaises with
customers on necessary logistics; trains customers on system
maintenance. Typically degree holder or equivalent with 1 to
2 years of relevant experience.
ABS
ATC
34,760
39,894
Local $
ABS
ATC
1,121,288
1,286,905
US $
Network Administrator
Position Class 47 - 48
Responsible for optimizing the use of mini-computers
network by identifying users, timing, space, access
restrictions, and software in order to ensure reasonable use
of the resources. Advises and supporst users as required.
Typically degree holder or equivalent with 1 to 3 years of
relevant experience.
ABS
ATC
24,198
26,400
Local $
ABS
ATC
780,579
851,624
Source:
• Mercer Human Resource Consulting Taiwan Total Remuneration Survey Report 2005
Note:
• All compensation data is as at 1st April 2006
• ABS – Annual Base Salary; ATC – Annual Total Cash; D.U. – Data Unavailable
© 2005 Mercer Human Resource Consulting. All rights reserved.
12
Country HR Atlas – Taiwan
Annual Compensation – Professional
US $
Executive Secretary
Position Class 47 - 48
Provides secretarial support to President or Director, which
may include translation. Conversant in English. Works
independently and handles confidential information.
Typically diploma holder or equivalent with 5 to 6 years of
relevant experience.
ABS
ATC
28,373
30,635
Local $
ABS
ATC
915,263
988,224
US $
Production Supervisor
Position Class 47 - 48
Controls production activities, material flow, and inventory
to achieve cost and quality targets and production schedules
of the assigned production line(s). Ensures compliance of
standards. Responsible for the management and supervision
of the assigned production line(s). Typically diploma holder
or equivalent with 4 to 6 years of relevant experience.
ABS
ATC
24,089
33,895
Local $
ABS
ATC
777,071
1,093,384
Source:
• Mercer Human Resource Consulting Taiwan Total Remuneration Survey Report 2005
Note:
• All compensation data is as at 1st April 2006
• ABS – Annual Base Salary; ATC – Annual Total Cash; D.U. – Data Unavailable
© 2005 Mercer Human Resource Consulting. All rights reserved.
13
Country HR Atlas – Taiwan
Annual Compensation – Staff
US $
Secretary
Position Class 45 - 46
Provides secretarial support. Conversant in English. Works
under close supervision. Typically diploma holder or
equivalent with 1 to 2 years of relevant experience.
ABS
ATC
21,546
23,472
Local $
ABS
ATC
695,020
757,171
US $
Skilled Production Worker
Position Class 41 - 42
Undertakes production tasks. May act as co-ordinator and
guide for new production workers. Typically high school
holder with 2 to 3 years of relevant experience.
ABS
ATC
12,368
14,212
Local $
ABS
ATC
398,967
458,452
Source:
• Mercer Human Resource Consulting Taiwan Total Remuneration Survey Report 2005
Note:
• All compensation data is as at 1st April 2006
• ABS – Annual Base Salary; ATC – Annual Total Cash; D.U. – Data Unavailable
© 2005 Mercer Human Resource Consulting. All rights reserved.
14
Country HR Atlas – Taiwan
Base Salary Differentials Between
Fresh Graduate and Top Management
Number of times
Fresh Graduate (PC 47)
1
Top Management (PC 60)
5.1
Average Salary Increase
2004 Actual
2005 Estimate
2006 Forecast
3.8
4.0
4.0
Average Bonus Payment
Fixed:
Variable:
1 – 2 months’ base salary
Management
1.2 – 4.0 months’ base salary
Professional – Sales
1.2 – 3.8 months’ base salary
Professional – Non-sales
0.9 – 2.8 months’ base salary
Staff
0.8 – 2.4 months’ base salary
Source:
• Mercer Human Resource Consulting Taiwan Total Remuneration Survey 2005, All Industries Survey Overview Report
Note:
•
Variable Bonus Payment is typically associated with Individual, team and/or corporate performance.
© 2005 Mercer Human Resource Consulting. All rights reserved.
15
Country HR Atlas – Taiwan
Purchasing Power vs Annual Total
Cash Compensation
USD
130,000
ATC
PP
120,000
110,000
100,000
90,000
80,000
70,000
60,000
50,000
40,000
30,000
20,000
10,000
0
Top Management
Management
Professional
Staff
ATC
119,383
67,761
30,665
17,406
PP
94,121
57,131
27,561
16,150
Source:
• Mercer Human Resource Consulting Taiwan Total Remuneration Survey Reports 2005
• Mercer Human Resource Consulting Cost-of-Living Report (updated as at September 2005)
• Mercer Human Resource Consulting Personal Tax Report 2005
Note:
• Purchasing Power computation – Net Income after tax and social security (for a married person with two children) adjusted for
the differences in cost-of-living using Singapore as the base city.
• PP – Purchasing Power; ATC – Annual Total Cash
© 2005 Mercer Human Resource Consulting. All rights reserved.
16
Local Benefits
Practices
ƒ Motor Vehicle
ƒ Housing
ƒ Annual Leave
ƒ Medical
ƒ Retirement
ƒ Insurance
ƒ Club Membership
ƒ Meals
Country HR Atlas – Taiwan
Summary of Benefit Practices
Motor Vehicle
Top Management:
3,000cc, e.g. BMW, Mercedes Benz, Ford
Telstar, Lexus, Toyota or Nissan Cefiro
Management:
2,000cc, e.g. Toyota Camry or Honda Accord
Sales and Marketing Professional:
Car allowance TWD 10,000 – 15,000 per month
Housing
Nil
Annual Leave
Depending on years of service:
7 – 30 days (paid)
Medical
National Health Insurance (NHI), insured wage
ceiling is TWD 131,700 per month. Insurance
rate for NHI is 4.55% of I.M.S. (Insured Monthly
Salary); employer contributes 60%, employee
contributes 30% and government contributes
10% of the total premium.
In addition to NHI, companies also provide
supplementary plan which is called Group
Medical Insurance.
© 2005 Mercer Human Resource Consulting. All rights reserved.
17
Country HR Atlas – Taiwan
Summary of Benefit Practices
Retirement
Existing employees have an option to choose to
stay in the old system or join the new system.
Employees, hired after July 1, 2005, will be
automatically enrolled to LPA.
1. Old Retirement Scheme - TLSL (Taiwan Labor
Standard Law):
As per Taiwan Labor Standards Law,
employer's contribution varies 2% to 15% of
Insured Monthly Salary (I.M.S.). Retirement
payment depending on years of service: 1
month I.M.S. for the first incurred year; 2
months I.M.S. for each year of service up to
the first 15 years and 1 month I.M.S. per year
of service thereafter, total payment shall not
exceed 45 months of I.M.S.
2. New Retirement Scheme - LPA (Labor Pension
Act), effective on July 1, 2005:
ƒ As per statutory requirement, employers
contribute a minimum of 6% of monthly
salary (up to salary ceiling of TWD 150,000
per month).
ƒ An employee may elect to contribute up to
6% of his/her monthly salary.
ƒ A company with more than 200 employees
can choose to opt-out of the system by
purchasing annuity insurance for its
employees.
© 2005 Mercer Human Resource Consulting. All rights reserved.
18
Country HR Atlas – Taiwan
Summary of Benefit Practices
Insurance
Company private plan.
Company provides 24 – 36 months’ of base
salary coverage for life and accident insurance.
Club Membership
Top Management and Function Head:
Social or business club membership
Meals
Average allowance per month for staff:
TWD 1,800 (range from TWD 1,000 – 2,500 per
month)
Source:
• Mercer Human Resource Consulting Taiwan All Industries Benefits Reports 2005/2006
• Mercer Human Resource Consulting Worldwide Benefit & Employment Guidelines 2005/2006 edition
© 2005 Mercer Human Resource Consulting. All rights reserved.
19
International Mobility
Information
ƒ Cost-of-Living Comparison
ƒ Cost of Living – Inflation
ƒ Quality-of-Living Comparison
ƒ Expatriate Housing
ƒ International Schools
Country HR Atlas – Taiwan
Mobility: Cost-of-Living Comparison
Base City
Host City
Cost-of-Living
(COL) Index
Singapore
Taipei, Taiwan
99
Hong Kong
Taipei, Taiwan
97
City
COL Inflation (%)
(Sept 2004 – Sept 2005)
Taipei, Taiwan
1.76
Source:
•
Mercer Human Resource Consulting Cost-of-Living Report, updated as at September 2005
Note:
• Cost-of-Living Index is an indicator of overall differences in prices between two cities
• The COL Index compares the mean prices (the average of the price range for each item) in the base city to the mean
prices (the average of the price range for each item) in the host city
• The COL Inflation is based on Mercer Human Resource Consulting Cost-of-Living Report using a standard basket of
goods for all cities (excluding housing and education).
© 2005 Mercer Human Resource Consulting. All rights reserved.
20
Country HR Atlas – Taiwan
Mobility: Quality-of-Living Comparison
Base City
Host City
Quality-of-Living
(QOL) Index
Singapore
Taipei, Taiwan
84
Hong Kong
Taipei, Taiwan
91
Source:
•
Mercer Human Resource Consulting Quality-of-Living Report, updated as at September 2005
Note:
• Quality-of-Living Index provides an objective, consistent and comprehensive evaluation of the relative differences in
quality of living between any two cities.
© 2005 Mercer Human Resource Consulting. All rights reserved.
21
Country HR Atlas – Taiwan
Mobility: Expatriate Housing –
Apartments (Monthly Rental)
Taipei, Taiwan
USD
7,000
Good Area
Very Good Area
Best Area
6,000
5,000
4,000
3,000
2,000
1,000
Unfurnished 4
bedrooms (160 200 sqm)
Unfurnished 3
bedrooms (120 160 sqm)
Unfurnished 2
bedrooms (80 120 sqm)
Furnished 2
bedrooms (80 120 sqm)
0
Best Area
3,382
3,074
4,458
6,456
Very Good Area
2,459
2,152
2,920
4,304
Good Area
1,906
1,537
1,845
2,705
Source:
•
Mercer Human Resource Consulting Cost-of-Living Report, updated as at September 2005
© 2005 Mercer Human Resource Consulting. All rights reserved.
22
Country HR Atlas – Taiwan
Mobility: Expatriate Housing Houses (Monthly Rental)
Taipei, Taiwan
USD
8,000
Good Area
Very Good Area
Best Area
7,000
6,000
5,000
4,000
3,000
2,000
1,000
Unfurnished 4
bedrooms
(250 sqm)
Unfurnished 3
bedrooms
(200 sqm)
Furnished 3
bedrooms
(200 sqm)
0
Best Area
5,841
5,380
7,839
Very Good Area
4,458
3,996
5,226
Good Area
3,074
2,705
3,382
Source:
•
Mercer Human Resource Consulting Cost-of-Living Report, updated as at September 2005
© 2005 Mercer Human Resource Consulting. All rights reserved.
23
Country HR Atlas – Taiwan
Mobility: International Schools
School Name, Address and Annual Tuition
Taiwan
School Name*
&
Address
Annual Tuition
Fees (USD)
Kindergarten
Primary
Secondary
Taipei American School
800 Chung Shan North Rd
Section 6, Shihlin District, Taipei 111, Taiwan ROC
Tel: + 886 2 2873 9900
Fax: + 886 2 2873 1641
Website: www.tas.edu.tw
Kindergarten
Primary
Secondary
15,405
16,591
16,591
Note:
º No International School data is available.
• Annual Tuition includes annual tuition fee and non-refundable fees.
© 2005 Mercer Human Resource Consulting. All rights reserved.
24
Overseas Travel
Expenses
ƒ Hotels
ƒ Meals per Person
ƒ Per Diem per Person
Country HR Atlas – Taiwan
Overseas Travel Expenses –
Hotels in Taipei, Taiwan
Typical Five Star
Hotel
337
Typical Four Star
Hotel
163
Typical Three Star
Hotel
98
0
50
100
150
200
250
300
350
USD
Source:
•
Mercer Human Resource Consulting Cost-of-Living Report, updated as at September 2005
© 2005 Mercer Human Resource Consulting. All rights reserved.
25
Country HR Atlas – Taiwan
Overseas Travel Expenses –
Meals and Per Diem per Person
US Dollars
Taipei, Taiwan
Low
Medium
High
-
16
22
Lunch
(at a comfortable restaurant)
29
32
50
Dinner
(at an elegant restaurant)
49
77
100
Per Diem Rate
(for one person)
66
77
101
Continental Breakfast
Source:
•
Mercer Human Resource Consulting Cost-of-Living Report, updated as at September 2005
Note:
• Lunch includes steak, potatoes, salad, water, dessert, coffee / tea, tax and service charge at a comfortable restaurant
• Dinner is a three course evening meal including wine, tax and service charge at an elegant restaurant
• The per diem rate includes breakfast, lunch, dinner and OPEs for one person. Hotel room, business entertainment and
transportation costs are not included.
© 2005 Mercer Human Resource Consulting. All rights reserved.
26
Public Holidays
Country HR Atlas – Taiwan
Taiwan Public Holidays
13 days.
ƒ
New Year’s Day
Jan 1
ƒ
Lunar New Year’s Eve
Jan 28
ƒ
Lunar New Year’s Day
Jan 29 – Feb 2
ƒ
Peace Memorial
Feb 28
ƒ
Tomb Sweeping Festival
Apr 5
ƒ
Labor Day
May 1
ƒ
Dragon Boat Festival
May 31
ƒ
Mid Autumn Festival
Oct 6
ƒ
National Independence Day
Oct 10
Note:
• No substitution day for a public holiday that falls on a weekend.
© 2005 Mercer Human Resource Consulting. All rights reserved.
27