Taiwan approves 2027 pay raise for public sector; private schools seek tuition review

Taiwan's government has approved a salary adjustment plan for military personnel, civil servants, and teachers, set to take effect in 2027. The plan includes a 4% increase in base pay for teachers and a fixed NT$2,000 raise for academic research and supervisory positions. This move aims to enhance competitiveness in retaining and attracting talent.

“

We support the government's salary increase for military, civil servants, and teachers to enhance competitiveness in retaining and attracting talent, but private schools have limited financial resources. We urge the Ministry of Education to simultaneously review private school tuition policies so that private schools can also afford to give raises to their staff, otherwise private school teachers may become the 'orphans' of this salary adjustment.

However, the National Federation of Private Middle Schools has voiced concerns. While supporting the government's initiative to boost compensation for public sector employees, the federation highlighted the financial constraints faced by private institutions. They are calling on the Ministry of Education to simultaneously review private school tuition policies, arguing that without such adjustments, private school teachers could be left behind in terms of salary increases.

“

Public schools are funded by the government, while private schools must rely on tuition income. In recent years, affected by the impact of the low birth rate, enrollment numbers have decreased, class sizes have shrunk, and with the implementation of the Teachers' Salary Act and the Civil Service Insurance Act, teachers' base pay has increased year by year, and personnel costs such as insurance premiums, retirement, and annuities have continued to rise, making the financial pressure on private schools increasingly heavy.

Wen Shunde, rotating chairman of the federation and principal of Qiaotai High School in Taichung, explained that public schools are funded by the government, whereas private schools rely heavily on tuition fees. Factors like declining enrollment due to the low birth rate, shrinking class sizes, and increasing personnel costs from regulations like the Teachers' Salary Act and the Civil Service Insurance Act have placed significant financial pressure on private schools.

“

According to current accounting regulations, personnel expenses are mainly supported by tuition income. However, under the policy of tuition exemption for high school and vocational school students, the current subsidy per private school student per semester is NT$26,162. If we estimate 40 students per class, the educational cost per student is about NT$32,000. Even with full enrollment, the income is difficult to cover personnel expenses.

Wen pointed out that current government subsidies for private school students cover less than two-thirds of the educational costs compared to public schools. He warned that if tuition fees are not adjusted in tandem with the upcoming teacher salary increases, the financial burden on private schools will become even more severe. The federation is urging the Ministry of Education to establish a tuition adjustment mechanism based on school financial structures and to allow for reasonable increases in miscellaneous fees and other charges, giving private schools the autonomy to improve staff compensation and ensure equitable educational resources.

“

The government subsidies for educational costs for private school students are less than two-thirds of those for public school students. If teachers' salaries increase next year but tuition fees are not adjusted simultaneously, the financial pressure on private schools will become even heavier.