Taiwan's Wage Structure Continues to Skew Rightward: Low-Wage Earners Supported by Policy, AI Drives High-Wage Growth
Taiwan's average monthly salary reached NT$48,706 in Q1 2026, but nearly 70% of employees earn less than this due to a "right-skewed" salary structure. Policy supports low-income groups, while AI and semiconductor industries drive high-income growth, widening the gap between average and median salaries.
📋 Article Processing Timeline
- 📰 Published: May 16, 2026 at 09:52
- 🔍 Collected: May 16, 2026 at 10:01 (9 min after Published)
- 🤖 AI Analyzed: May 16, 2026 at 12:40 (2h 38m after Collected)
Central News Agency
(Central News Agency reporter Pan Tzu-ling, Taipei 16th) Statistics released by the Directorate-General of Budget, Accounting and Statistics (DGBAS) reveal that the average monthly salary for employees in Taiwan's industrial and service sectors in the first quarter of this year was NT$48,706. However, nearly 70% of workers earn less than this average, a record high ratio that has drawn significant attention. A closer look at the wage distribution reveals that Taiwan's salary structure continues to be "right-skewed"; low-wage groups rely on policy support, while the high-income end is fueled by the boom in AI and semiconductor industries, continuously pushing up the average salary.
DGBAS statistics indicate that despite a steady growth in the average regular monthly salary for all employees in Q1, reaching NT$48,706 and an annual increase of 2.69%, 69.95% of workers earn below the average monthly salary, nearing 70% and hitting a new high.
Tan Wen-ling, Deputy Director of the Census Department at DGBAS, stated that Taiwan's high-tech industry has experienced excellent conditions in the past one to two years, offering higher salaries which have elevated the average, consequently increasing the proportion of people earning below the average monthly salary.
Upon closer examination of the regular monthly salary distribution for all employees, it becomes clear that Taiwan's wage structure is distinctly "right-skewed." Salaries for high-income groups have grown steadily, driving up the average and widening the gap between the average and median. This is key to why the average salary doesn't reflect the true "salary sentiment" of most citizens.
Observing the regular monthly salary distribution for all employees, quarterly released by DGBAS, when ordered from lowest to highest, and then divided into 10 groups: from January to March this year, the 1st decile of regular monthly salary for employees was NT$29,500, the 5th decile (median) was NT$39,133, and the 9th decile was NT$80,392.
DGBAS officials explained that government adjustments to the minimum wage directly affect the 1st decile. Therefore, the 1st decile largely follows the minimum wage. Since a significant number of people earn the minimum wage, the minimum wage policy also impacts the 2nd decile.
The Ministry of Labor's Minimum Wage Review Committee approved last year that, effective January 1, 2026, the monthly minimum wage would be adjusted from NT$28,590 to NT$29,500, an increase of 3.18%. Correspondingly, the 1st decile of regular monthly salary in Q1 this year was NT$29,500, with an annual growth rate of 3.18%, perfectly aligning with the minimum wage adjustment. The 2nd decile was NT$29,869.
As for the high-income groups at the top, their salary performance is impressive. In Q1 this year, the 8th decile surpassed the NT$60,000 mark, rising to NT$60,467, an annual increase of 3.56%, making it the strongest growth among all deciles. The 9th decile also crossed the NT$80,000 mark for the first time, reaching NT$80,392, with an annual increase of 2.96%.
DGBAS officials stated that, in contrast to the 1st and 2nd deciles which are policy-driven, the 8th and 9th deciles are closely related to economic conditions, particularly reflecting salary growth driven by strong industries.
Professor Wu Ta-Jen of National Central University's Department of Economics directly stated that despite the massive explosion in AI demand driving strong growth in the electronics industry and pushing Taiwan's economic growth rate to a high level of 7%, economic data shows that the AI dividend remains concentrated in a few industries.
A closer look at DGBAS data reveals that in a wage distribution chart with population on the vertical axis and salary on the horizontal axis, most employees are concentrated in the lower-wage range on the left, while high-income groups, though smaller in number, continue to extend towards the high-end, forming a distinct "right tail" phenomenon. Although the chart's display limit is set at NT$170,000 monthly salary, DGBAS also notes that "the right tail continues to extend, but is limited by page space," demonstrating that extreme high-income earners' salaries are far above the average.
Wu Ta-Jen believes that although most countries exhibit a right-skewed wage structure, this wave of AI is intensifying the phenomenon. High-tech industries enhance productivity and competitive advantage through AI, while service industries and SMEs largely cannot benefit, or even struggle due to increased market competition.
"Innovation requires costs and sufficient revenue support," Wu Ta-Jen directly stated. Even if the government provides subsidies for industrial upgrading and AI application adoption, manufacturers still need to provide matching funds. If they are already facing operational difficulties, they will only think about getting through the immediate crisis, not about longer-term transformation. In addition, the impact of AI adoption in industry on the workforce must be carefully monitored.
Wu Ta-Jen warned that while Taiwan has achieved impressive economic results through the AI dividend, the current industrial structure relies solely on AI. If the economy encounters turbulence, it could rapidly decline. In contrast, South Korea, which has also embraced the AI wave and seen its stock market soar, has outstanding performance not only in memory but also in automobiles, shipbuilding, steel, and film/television. Even if its economic growth rate has not been as strong as Taiwan's in the past one to two years, it will be more resilient when facing external turmoil.
Wu Ta-Jen believes that if the US-Iran conflict persists and signs of rekindled US inflation further impact economic growth momentum, it cannot be ruled out that AI growth momentum could be weakened. In addition to solidifying its AI advantages, the Taiwanese government should also strengthen industrial policies to make Taiwan's economic structure "grow more legs," enabling it to walk more steadily when facing economic headwinds. (Editor: Pan Yi-Ching) 1150516
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(Central News Agency reporter Pan Tzu-ling, Taipei 16th) Statistics released by the Directorate-General of Budget, Accounting and Statistics (DGBAS) reveal that the average monthly salary for employees in Taiwan's industrial and service sectors in the first quarter of this year was NT$48,706. However, nearly 70% of workers earn less than this average, a record high ratio that has drawn significant attention. A closer look at the wage distribution reveals that Taiwan's salary structure continues to be "right-skewed"; low-wage groups rely on policy support, while the high-income end is fueled by the boom in AI and semiconductor industries, continuously pushing up the average salary.
DGBAS statistics indicate that despite a steady growth in the average regular monthly salary for all employees in Q1, reaching NT$48,706 and an annual increase of 2.69%, 69.95% of workers earn below the average monthly salary, nearing 70% and hitting a new high.
Tan Wen-ling, Deputy Director of the Census Department at DGBAS, stated that Taiwan's high-tech industry has experienced excellent conditions in the past one to two years, offering higher salaries which have elevated the average, consequently increasing the proportion of people earning below the average monthly salary.
Upon closer examination of the regular monthly salary distribution for all employees, it becomes clear that Taiwan's wage structure is distinctly "right-skewed." Salaries for high-income groups have grown steadily, driving up the average and widening the gap between the average and median. This is key to why the average salary doesn't reflect the true "salary sentiment" of most citizens.
Observing the regular monthly salary distribution for all employees, quarterly released by DGBAS, when ordered from lowest to highest, and then divided into 10 groups: from January to March this year, the 1st decile of regular monthly salary for employees was NT$29,500, the 5th decile (median) was NT$39,133, and the 9th decile was NT$80,392.
DGBAS officials explained that government adjustments to the minimum wage directly affect the 1st decile. Therefore, the 1st decile largely follows the minimum wage. Since a significant number of people earn the minimum wage, the minimum wage policy also impacts the 2nd decile.
The Ministry of Labor's Minimum Wage Review Committee approved last year that, effective January 1, 2026, the monthly minimum wage would be adjusted from NT$28,590 to NT$29,500, an increase of 3.18%. Correspondingly, the 1st decile of regular monthly salary in Q1 this year was NT$29,500, with an annual growth rate of 3.18%, perfectly aligning with the minimum wage adjustment. The 2nd decile was NT$29,869.
As for the high-income groups at the top, their salary performance is impressive. In Q1 this year, the 8th decile surpassed the NT$60,000 mark, rising to NT$60,467, an annual increase of 3.56%, making it the strongest growth among all deciles. The 9th decile also crossed the NT$80,000 mark for the first time, reaching NT$80,392, with an annual increase of 2.96%.
DGBAS officials stated that, in contrast to the 1st and 2nd deciles which are policy-driven, the 8th and 9th deciles are closely related to economic conditions, particularly reflecting salary growth driven by strong industries.
Professor Wu Ta-Jen of National Central University's Department of Economics directly stated that despite the massive explosion in AI demand driving strong growth in the electronics industry and pushing Taiwan's economic growth rate to a high level of 7%, economic data shows that the AI dividend remains concentrated in a few industries.
A closer look at DGBAS data reveals that in a wage distribution chart with population on the vertical axis and salary on the horizontal axis, most employees are concentrated in the lower-wage range on the left, while high-income groups, though smaller in number, continue to extend towards the high-end, forming a distinct "right tail" phenomenon. Although the chart's display limit is set at NT$170,000 monthly salary, DGBAS also notes that "the right tail continues to extend, but is limited by page space," demonstrating that extreme high-income earners' salaries are far above the average.
Wu Ta-Jen believes that although most countries exhibit a right-skewed wage structure, this wave of AI is intensifying the phenomenon. High-tech industries enhance productivity and competitive advantage through AI, while service industries and SMEs largely cannot benefit, or even struggle due to increased market competition.
"Innovation requires costs and sufficient revenue support," Wu Ta-Jen directly stated. Even if the government provides subsidies for industrial upgrading and AI application adoption, manufacturers still need to provide matching funds. If they are already facing operational difficulties, they will only think about getting through the immediate crisis, not about longer-term transformation. In addition, the impact of AI adoption in industry on the workforce must be carefully monitored.
Wu Ta-Jen warned that while Taiwan has achieved impressive economic results through the AI dividend, the current industrial structure relies solely on AI. If the economy encounters turbulence, it could rapidly decline. In contrast, South Korea, which has also embraced the AI wave and seen its stock market soar, has outstanding performance not only in memory but also in automobiles, shipbuilding, steel, and film/television. Even if its economic growth rate has not been as strong as Taiwan's in the past one to two years, it will be more resilient when facing external turmoil.
Wu Ta-Jen believes that if the US-Iran conflict persists and signs of rekindled US inflation further impact economic growth momentum, it cannot be ruled out that AI growth momentum could be weakened. In addition to solidifying its AI advantages, the Taiwanese government should also strengthen industrial policies to make Taiwan's economic structure "grow more legs," enabling it to walk more steadily when facing economic headwinds. (Editor: Pan Yi-Ching) 1150516
Choose to stand with facts, every sponsorship you make is a power to protect press freedom.
Download the Central News Agency's "First-hand News" APP to stay updated with the latest news.
The text, images, and videos on this website may not be reproduced, publicly broadcast, or publicly transmitted and used without authorization.