Taiwan’s sick leave law provides employees with ordinary sick leave and hospitalisation leave under the Labor Standards Act (勞動基準法). Employers must pay wages for up to 30 days of ordinary sick leave and 2 years of hospitalisation leave. The National Health Insurance (NHI) covers medical treatment costs, while the employer bears the wage cost.
Key Takeaways
- Employers pay 100% of wages for 30 days of ordinary sick leave per year
- Employers pay 50% of wages for up to 2 years of hospitalisation leave
- A medical certificate is required from the 1st day of absence
- NHI covers medical treatment costs during sick leave
- Ordinary sick leave and hospitalisation leave are separate entitlements
Taiwan’s Sick Leave Entitlement
Taiwan’s sick leave system is governed by the Labor Standards Act (勞動基準法) and the National Health Insurance Act. The system distinguishes between ordinary sick leave (普通傷病假) and hospitalisation leave (特別傷病假).
Ordinary sick leave is available for non-hospitalised illness and provides 30 days of paid leave per year. Hospitalisation leave is available when the employee is hospitalised and provides up to 2 years of reduced-pay leave.
The two entitlements are separate — an employee who uses ordinary sick leave still has their full hospitalisation leave entitlement available.
Who Pays for Sick Leave?
| Period | Pay Rate | Who Pays |
|---|---|---|
| Ordinary sick leave (30 days/year) | 100% of wages | Employer |
| Hospitalisation leave (up to 2 years) | 50% of wages | Employer |
| Medical treatment | Covered by NHI | NHI |
Sick Leave Pay Rates
| Period | Pay Rate | Source |
|---|---|---|
| Ordinary sick leave (30 days/year) | 100% of wages | Labor Standards Act Art. 43 |
| Hospitalisation leave (up to 2 years) | 50% of wages | Labor Standards Act Art. 43 |
| NHI coverage | Medical treatment costs | National Health Insurance Act |
The wages used for calculation are the employee’s full wages, including basic salary and regular allowances.
Medical Certificate Requirements
Taiwan requires a medical certificate from the first day of illness. The certificate must be issued by a licensed medical institution.
The certificate must specify:
- The date of examination
- The expected duration of the absence
- Whether the employee is hospitalised
- The diagnosis
The employee must present the certificate to the employer. For NHI claims, the certificate must be from an NHI-contracted medical institution.
How to Calculate Sick Pay in Taiwan
Example: An employee earning TWD 50,000/month is off sick for 45 calendar days (ordinary sick leave).
- Ordinary sick leave (30 days): TWD 50,000
- Remaining 15 days: Unpaid (ordinary sick leave exhausted)
If the employee is hospitalised:
- Ordinary sick leave (30 days): TWD 50,000
- Hospitalisation leave (15 days): TWD 50,000 × 0.50 = TWD 25,000
Total paid: TWD 50,000 + TWD 25,000 = TWD 75,000
Ordinary vs Hospitalisation Leave
| Feature | Ordinary Sick Leave | Hospitalisation Leave |
|---|---|---|
| Maximum duration | 30 days per year | 2 years |
| Pay rate | 100% of wages | 50% of wages |
| Condition | Non-hospitalised illness | Hospitalised |
| Certificate | From day 1 | From day 1 |
The distinction is important — an employee who is hospitalised may use ordinary sick leave first, then switch to hospitalisation leave.
Employer Obligations and Penalties
Taiwanese employers must:
- Pay wages during sick leave as prescribed
- Maintain medical certificates on file
- Register employees with NHI
- Cooperate with NHI for medical claims
- Maintain records for at least 5 years after the employee leaves
Non-compliance can result in fines from the Ministry of Labour (勞動部) and potential labour court proceedings.
Comparison With Other Countries
| Country | Sick Days | Pay | Certificate Required |
|---|---|---|---|
| Taiwan | 30 days ordinary + 2 years hospitalisation | 100% / 50% | Day 1 |
| UK | 28 weeks SSP | £116.75/week | Day 7 |
| Australia | 10 days personal/carer’s leave | Full rate | 2+ consecutive days |
| US | Varies by state | Varies | Employer policy |
FAQ
What is the difference between ordinary sick leave and hospitalisation leave?
Ordinary sick leave is for non-hospitalised illness and provides 30 days of paid leave at 100% of wages per year. Hospitalisation leave is for hospitalised employees and provides up to 2 years of leave at 50% of wages. The two entitlements are separate.
Can the employee use ordinary sick leave before hospitalisation leave?
Yes. The employee may use ordinary sick leave first, then switch to hospitalisation leave if they are hospitalised. The two entitlements are calculated separately, so using ordinary sick leave does not reduce the hospitalisation leave entitlement.
Does NHI cover wages during sick leave?
No. NHI covers medical treatment costs (doctor visits, hospital stays, medication, etc.) but not wages. The employer is responsible for paying wages during sick leave as prescribed by the Labor Standards Act.
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