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Tariff War May Impact Over 100,000 Workers; Labor Minister Warns Against Preemptive Layoffs

Tariff War May Impact Over 100,000 Workers; Labor Minister Warns Against Preemptive Layoffs

The tariff war initiated by U.S. President Donald Trump has raised concerns about its impact on the labor market in our country. Labor Minister Hsu Shen-han noted in a recent interview that, according to estimates from the Ministry of Economic Affairs and some think tanks, the number of affected workers could surpass 100,000, particularly affecting small and medium-sized traditional industries.

Hsu emphasized that companies would violate the law if they engage in 'preemptive layoffs' in response to tariffs. Currently, industries significantly impacted include machinery, automotive parts, and plastics. He highlighted that the key to effectively responding to tariffs lies in proactive measures rather than waiting for issues to arise.

The Ministry of Labor has begun reaching out to potential affected workers to assess their situation, offering assistance to companies to comply with legal regulations and avoid unlawful dismissals or unpaid leave. Consequently, the Ministry has developed the 'Guidelines for Supporting Labor Stability in Response to U.S. Tariff Policies,' which includes training for affected enterprises and re-skilling for workers on leave.

Hsu further stated that in response to potential surges in unemployment due to the tariff war, the Ministry will prioritize providing job stability measures, including subsidizing half of the salary for affected workers, and assisting recent graduates and unemployed workers in navigating longer job search periods. Should unemployment rates rise significantly, plans to create more job vacancies will also be considered.