Taiwan High Speed Rail Corp (THSRC) yesterday said that it has set aside NT$500 million (US$14.86 million) to pay its employees for working overtime, adding that the fund would be paid once a court grants the workers their petition.
The Taiwan Stock Exchange statement came after THSRC’s labor union threatened on Saturday to go on strike during the Lunar New Year holiday next month if the company ignores its demand for immediate payment of workers’ unpaid overtime, which has topped NT$500 million.
The company said in the statement that it is ascertaining the legality of the union’s appeal by filing an administrative lawsuit, adding that the issue was also discussed at a meeting of the company’s board of directors yesterday.
The board, which is dominated by representatives from the government or government-affiliated agencies, passed a proposal to set aside NT$500 million as a preparatory fund that would be used to pay the workers if a court sides with the employees.
The company calculates workers’ overtime once every two weeks and they are paid overtime if they work more than 84 hours. They also receive an overtime payment if their annual hours exceed 2,040.
However, the union has argued that the company has adopted a “deformed” biweekly working-hour system. Aside from the overtime, the union is also demanding that the company address other issues, including insufficient holidays and granting employees a 30-minute break if they have worked four consecutive hours.
THSRC chairman Victor Liu (劉維琪) said the company’s management and the union have agreed that the interests of passengers should be the top priority, particularly their needs during the Lunar New Year holiday, adding that the company would satisfy the union’s demands as much as possible.
In other developments, the company’s board also passed a proposal to allow the company’s shares to be traded on the stock market.
The proposal still needs to be approved at an annual shareholders’ meeting, which is due to be held on March 18.
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