Employers cannot use mandatory retirement as a reason to terminate contracts for newly hired workers over 65

Taiwan's Ministry of Labor announced that if employers are aware that a newly hired worker is over 65, they cannot use mandatory retirement as a reason to terminate the contract, regardless of whether the worker has previously retired. This aims to promote employment for middle-aged and older persons.
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  • 📰 Published: May 13, 2026 at 13:14
  • 🔍 Collected: May 13, 2026 at 13:31 (17 min after Published)
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Central News Agency

(Central News Agency reporter Wu Hsin-yun, Taipei, 13th) To promote employment for middle-aged and older persons, employers can hire workers over 65. The Ministry of Labor reminded today that if an employer knew the worker was over 65 at the time of hiring, regardless of whether the worker had previously retired, they cannot terminate the contract on the grounds of mandatory retirement due to being over 65.

The Labor Standards Act stipulates that employers shall not compulsorily retire workers unless one of the following circumstances applies: reaching 65 years of age, or being physically or mentally disabled and unable to perform their duties.

Huang Wei-chen, Director of the Department of Labor Welfare and Retirement at the Ministry of Labor, told the Central News Agency today that the original intention of the mandatory retirement provisions in the Labor Standards Act was for employers to legally process mandatory retirement only when a worker was employed by the same employer before turning 65 and continued to work until reaching 65. However, in practice, some employers mistakenly believe that as long as a worker is over 65, they can directly cite this to terminate the labor contract, thus inquiring with the Ministry of Labor.

Huang Wei-chen stated that a letter has recently been issued clarifying that if a worker takes on a new job after turning 65, regardless of whether the worker had previously retired, if the employer knew the worker's age exceeded 65 at the time of hiring, they can no longer terminate the labor contract on the grounds of mandatory retirement due to being over 65.

Huang Wei-chen also stated that the current Act for the Promotion of Employment of Middle-aged and Older Persons already provides flexibility for employers hiring middle-aged and older workers, including the possibility for labor and management to agree to sign fixed-term contracts. If labor and management do not sign a labor contract as a fixed-term contract, any future termination must still comply with other termination provisions in the Labor Standards Act.

Huang Wei-chen said that relevant regulations have been communicated to local governments for future enforcement and interpretation reference. (Editor: Li Heng-shan) 1150513

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