Taipei: Conglomerate Formosa Plastics Group (FPG) has decided to raise wages for its employees by 4.5 percent this year, exceeding the 3.66 percent raise requested by the group's worker union.
According to Focus Taiwan, the decision came after a meeting earlier in the day where FPG President Wu Chia-chao discussed the issue with union representatives. This marked the first time Wu engaged in negotiations with the union since taking over leadership from his predecessor Wong Wen-yuan in August 2025.
The wage increase will provide FPG employees with an additional NT$2,700 (US$86.54) on average per month, based on the average wage of about NT$60,000 among rank and file employees in the group, as stated by the union. Local news media reported that the wage hike will be applied retroactively from July 1.
In addition to the wage increase, the union announced that FPG will offer an extra NT$600 in food subsidies and NT$5,000 in rent subsidies per month to company workers.
Chen Hung-ju, deputy head of the FPG workers' union, expressed that the union initially requested a 3.66 percent wage increase, aiming to alleviate inflationary pressures as the group's financial performance showed improvement. The wage hike in 2025 was limited to 2 percent due to unsatisfactory results.
In the first half of 2026, the major entities of FPG, including Formosa Plastics Corp., Nan Ya Plastics Corp., Formosa Chemicals and Fibre Corp., and Formosa Petrochemical Corp., achieved a net profit of NT$108.45 billion.
Chen mentioned that negotiations with Wu took less than 30 minutes to reach a consensus on the 4.5 percent wage increase. He also noted that the last time the group implemented a wage hike of this magnitude was in 2022.