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Drop in Pay Rates

 
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Aristotle



Joined: 16 Jan 2003
Posts: 1388
Location: Taiwan

PostPosted: Tue Feb 11, 2003 6:40 am    Post subject: Drop in Pay Rates Reply with quote

The fact is, until Taiwan becomes a real country with real labor laws to protect the Foreign English Teacher's (F.E.T.'s), their will be little change in the job market. Yes, there is an economic downturn, but many companies are using it as an excuse to trim an inflated work force and increase the number of foreign, indentured servants. It is also a veiled form of corruption. The common practice here in Taiwan is to give long term employees a yearly bonus worth one to several months pay. The management lays off large numbers of employees using the economic downturn as an excuse. They then pocket a large portion of their employees bonuses and hire new workers, out of the ever expanding labor pool, after the holiday. This is a pendulum that will correct itself in a short time. English teacher rates are the same as they have always been. It is newbie teachers with no negotiating experience, that are getting lower rates.
About three years ago, rates went up about 20% in one year due to the drop in the currency exchange rate. That rate changed region wide. The pay rate has since stabilized.
If the pay rate in Japan and Korea falls, Taiwan's will as well. As Taiwan is often last on the list for F.E.T.s preferences, it will have the least fluctuation. The ever growing market for ESL teachers in China, only threatens to bring the pay up even further.
An unemployment rate of around 5% is not that significant. Their is also a growing resentment for foreign workers who are taking the local workers jobs. That could go either way.
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WorkingVaca



Joined: 16 Jan 2003
Posts: 135

PostPosted: Tue Feb 11, 2003 1:20 pm    Post subject: Econ 101 Reply with quote

Fascinating. Taiwan businesses using the weak economy argument to lay people off and hire cheaper workers, just like companies in the U.S. and the rest of the capitalist world. Who would have thought?
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EOD



Joined: 16 Jan 2003
Posts: 167
Location: Taiwan

PostPosted: Wed Feb 12, 2003 5:05 am    Post subject: It's Not What You are Worth, It's What You Ask For! Reply with quote

I have seen highly quaulified and gifted teachers working for peanuts in big name institutions, only to be cheated and deported when they make a fuss.
At the same time, I have seen large numbers of unskilled, unqualified, burger flippers, making some really good money at little hole in the wall places. Of course they usually don't make a fuss and understand how vunerable their position is.
Taiwan is a land of irony. Qualifications and experience don't come in nearly as useful as the ability to BS.
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