Labor Dispatch Is Included in and Governed by the Labor ...
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The Labor Contract between the Dispatching Entity and a Dispatched Worker Shall be a Non-fixed Term Contract. Labor contracts that most ...
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LaborDispatchIsIncludedinandGovernedbytheLaborStandardsAct.
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[2020/02/10]
LegislativeYuanamendedtheLaborStandardsAct(hereinafterreferredtoastheAct)onMay15andJune19,2019inordertohavelabordispatchincludedinandgovernedbytheActtoenhancetheprotectionoftherightsofdispatchedworkers.
Inatypicallaborrelationship,astheemployeristheonethatactuallydirects,supervisesandmanagesthelabor,relevantlawsandregulationsimposemanyobligationsandresponsibilitiesontheemployertoprotectlaborrights.Amongthemanymodernanddiversifiedlaborservices,labordispatchisaflexiblewayofhumanresourcesmobilization.Afteracompanythatrequiresworkers(i.e.adispatch-requiringentity)makessuchrequesttoalabordispatchingcompany(i.e.adispatchingentity),thelatterwilldispatchthelaborthatithasemployed(i.e.dispatchedworkers)toprovideservicesatthedispatch-requiringentity,andthedispatchedworkerswillbeunderthedirection,supervisionandmanagementofthedispatch-requiringentity.However,inpractice,thereareoftencasesofimproperuseoflabordispatch.Whenalabordisputeoccursbetweentheemployerandadispatchedworker,thedispatchedworker,whenstrivingforhis/herrights,isoftenmoredisadvantagedthananordinaryworkerashis/herlegalemployerandtheentitythatactuallydirects,supervisesandmanagesduringtheemploymentaredifferent.
Thecompetentlaborauthorityoriginallyprotectedthedispatchedlaborwithseveralwritteninterpretationsandadministrativerulessuchasthe“GuidingPrinciplesofLaborDispatchingRightsandInterests,”“MattersThatShouldBeArrangedintheDispatchedLaborContract.”WiththisamendmenttotheAct,labordispatch-relatedmattersarefurthergovernedwithincertainlegalhierarchicalnorms,focusingonkeypointsoftheamendmentasfollows:
I. TheLaborContractbetweentheDispatchingEntityandaDispatchedWorkerShallbeaNon-fixedTermContract.
Laborcontractsthatmostdispatchingentitiesmadewithdispatchedworkersinthepastwereone-yearfixedtermcontracts.Whenthedispatch-requiringentityhadnofurtherdemandforworkersorrequestedreassignmentofthedispatchedworker,thedispatchingentitywouldnotrenewthelaborcontractuponitsexpirationandsothelaborrelationshipwithrespecttothedispatchedworkerwasinanunstablestateoveralongperiod,andevenwhenthelaborrelationshipwasterminated,thedispatchedworkerwasnoteligibleforseverancepay.
Therefore,theMinistryofLaborpublishedawrittenmemorandumin1998,statingthatlabordispatchwasarecurringbusinessmatterofadispatchingentity,andthereforeacontractmadewithadispatchedworkershouldnotbeafixed-termtypetofitthedemandofthedispatch-requiringentity.ThisamendmenttotheActfurtherprovidesthatthelaborcontractbetweenadispatchingentityandadispatchedworkershallbeanon-fixedtermcontract.Thus,adispatchingentitycannotdismissadispatchedworkerunlessthereisalegalcausefordismissal.Intheeventthatthelegalcausefordismissalisnotattributabletotheworker,severancepayshallbepaidtotheworkeraccordingtothelaw.
II.TheDispatchingEntityisProhibitedFromSigningaLaborContractwiththeDispatchedWorkerWhoHasBeenInterviewedandSelectedbytheDispatch-requiringEntity.
Forlabordispatch,theentityforwhichadispatchedworkerworksandtheentitywithwhichthedispatchedworkersignsalaborcontractareoftendifferentinpractice.Inotherwords,thecompanyrequiringworkersdoesnotemployworkersbyitself,butrequeststhedispatchingentitytoemploytheworkersthatithasdesignatedorselectedthroughinterviewinordertoevadetheresponsibilitiestobeassumedasanemployer.Fromalegalperspective,theworkerswhosatisfythecompany’sspecificdemandforworkersareactuallythedispatchedworkersemployedbyathirdparty.Thatiswhydispatchedworkersareoftenhelplesswhenalabordisputeoccurs.
Toeliminatefakelabordispatchforevasionoflegalresponsibility,thisamendmenttotheActexpresslyprohibitsthedispatchingentityfromsigningalaborcontractwiththedispatchedworkerwhohasbeeninterviewedandselectedbythedispatch-requiringentity.Itprovidesthatbeforethedispatchingentityandthedispatchedworkersignalaborcontract,adispatch-requiringentityshallnotinterviewthedispatchedworkerorundertakeanyotherconductrelatedtoappointingaspecificdispatchedworker.Intheeventofanyviolation,thedispatch-requiringentityshallpayanadministrativefine,andthedispatchedworkerwhohasprovidedserviceforthedispatch-requiringentitymayrequestthedispatch-requiringentitytoemployhim/herdirectlyandnegotiatewithhim/herfortheemployment.Ifthenegotiationdoesnottakeplacewithinaspecifiedperiodorifthenegotiationfails,alaborcontractbetweenbothpartiesshallbedeemedtohavebeenestablished,andthelaborcontractoriginallymadebetweenthedispatchedworkerandthedispatchingentityshallbesimultaneouslydeemedtohavebeenterminated.
III. TheDispatch-requiringEntityhastheSupplementaryResponsibilitytoPaytheWagesthattheDispatchingEntityOwestotheDispatchedWorker.
Thoughthedispatch-requiringentityreceivestheserviceprovidedbythedispatchedworker,thedispatch-requiringentityisnotunderobligationtopaywagestothedispatchedworkerbecausethedispatch-requiringentityisnotthelegalemployerofthedispatchedworker.Whenthelegalemployerofthedispatchedworker,i.e.thedispatchingentity,oweswagestothedispatchedworker,theriskofnon-paymentofowedwagesisusuallybornebythedispatchedworker.
ThisamendmenttotheActreasonablyreallocatestheaforementionedriskbyrequiringthatthedispatch-requiringentityshallassumethesupplementaryresponsibilityforpayingthedispatchedworkerthewagesthatthedispatch-requiringentityowes.Ifthedispatch-requiringentityfailstopayowedwages,itshallbesubjecttopaymentoffinesandbeunderordertopayowedwagesbyaspecifieddeadline.Thedispatchedworkerisentitledtorequestthedispatch-requiringentitytomakepaymentdirectlysothatthedispatchedworkerisabletogethis/herwagesearlier.Topreventthedispatchingentityfromshiftingthewagepaymentobligationtothedispatch-requiringentitythroughtheaforementionedsupplementaryresponsibilitymechanism,itisalsoprovidedintheActthatthedispatch-requiringentitymay,afterpayingthewagestothedispatchedworker,askthedispatchingentityforreimbursementordeducttheamountofthewagespaidfromtheexpensespayabletothedispatchingentity.
IV. TheDispatch-requiringEntityandtheDispatchingEntityareJointlyandSeverallyLiableforOccupationalAccidentCompensationtoDispatchedWorkers.
Forthepurposeoftakingcareofworkers,theemployerisrequiredbytheActtoprovidecorrespondingcompensationfortheworkersinjuredorkilledinanoccupationalaccident.Forthelabordispatchrelationshipandtofurthersecuretherightsofworkerstoreceivecompensationandhavethedispatch-requiringentityvaluetheoccupationalsafetyofdispatchedworkers,thisamendmenttotheActrequiresthedispatch-requiringentityandthedispatchingentitytobejointlyandseverallyliableforoccupationalaccidentcompensationtodispatchedworkers.
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