| Prime News | | ![]() | ![]() | Yuanta May Enter Strategic Alliance With Korean and Japanese Counterparts
Taipei, Sept. 27, 2007 (CENS)--In manifestation of its aggressive internationalization policy, Yuanta Financial Holdings is in talks with South Korean and Japanese counterparts for strategic alliance, possibly in the form of cross shareholding, in order to extend its overseas reach to the two markets, after having setting up a firm foothold in the Southeast Asian markets.
Victor Ma, president and CEO (chief executive officer) of Yuanta Financial Holdings (Fuhwa Financial Holdings before its recent name change), revealed yesterday (Sept. 26) that Yuanta officials will meet with counterparts from two major South Korean and one Japanese securities firms next week for entering strategic alliance with one firm in each of the two countries, via cross share holdings or one-way shareholding, as a result of which the two prospective partners may hold up to 5-10% stake in Yuanta now boasting NT$83 billion of paid-in capital.
Consequently, foreign interest in Yuanta could approach 50%, up from 35.6% now. Moreover, the tie-up will pave the way for Yuanta to enter the two overseas markets, capitalizing on the over 100 business points owned by the two prospective partners each, further extending the company's overseas reach.
Currently, Yuanta owns 28.6% stake in Kin Eng Holdings of Singapore, which boasts leading shares in Southeast Asian markets, including second place in Singapore, first place in both Thailand and Indonesia, and two to third place in the Philippines. In addition, both Yuanta Securities, a subsidiary of Yuanta Financial Holdings, and Kin Eng have secured licenses for securities firms in Vietnam.
Victor Ma noted that the prospective strategic alliance with South Korean and Japanese firms will greatly facilitate development of the company's international business, such as boosting capability of the company in sponsoring issuance of GDR (global depository receipts) to, say, US$500 million, up from US$300 million at most now.
The strategic alliance will also further augment foreign interest in Yuanta Financial Holding, which now stands at 35.6%, and Victor Ma didn't rule out possibility inviting foreign shareholders to sit on the company's board of directors.
Meanwhile, Yuanta Securities has been sparing no effort in tapping foreign investors' business at the domestic bourse, which now account for 32% of domestic stock trading, a ratio likely to rise further to 50%, according to Ma. Via stepped-up services for foreign investors, such as provision of English-language market reports, Yuanta now boasts NT$65 billion of stock-purchase orders from foreign investors monthly, the highest among domestic securities firms.
((PL)) (GE) | |
| | ![]() | | | Banks Tightening Suite Loans
Taipei, Sept. 27, 2007 (CENS)--Faced with the increasingly evident sign for downturn of the domestic housing market, banks in Taiwan are tightening extension of housing loans, especially those featuring high financial leverages and investment orientation, such as suites.
Chinatrust Bank, for instance, has stopped extending suite loans, due to high risks involved, becoming the first major domestic bank with a clear-cut policy for refusing such loan applications, announced Huang Si-kuo, director of the bank's general consumer-banking department, yesterday (Sept. 26).
Despite some outward relaxation under pressure from the regulator, other domestic banks are, in practice, sticking to their credit-crunch for suite loans announced not long ago.
Huanan Bank, for instance, has set annual housing-loan interest rate for suites, with space under 20 pings (one ping equals 36 square feet), at minimum 5%, two percentage points higher than other housing loans, a policy apparently designed to turn away suite-loan applications. In addition, suite loans extended by the bank cannot exceed 65% of housing value, compared with over 80% for other housing loans, according to a Huanan Bank official.
Bank of Taiwan is also shunning loans for suites with space under 15 pings, due to growing numbers of investment-oriented buyers, who are estimated to account for 70% of all suite buyers.
Bank officials noted that suite investors are likely to be tied up by their investments once the housing market turns southward, a problem which may erupt by the end of this year, when large amounts of presold suites are scheduled for delivery.
Chang Hsin-min, a realty consultant, pointed out that credit crunch for suites may signal the start of housing-loan upheaval in Taiwan, with its ripple effect is likely to extend to industrial houses, also featuring high financial leverages, which mushroomed two years ago.
Affected by the credit crunch, housing loans extended by the five major banks shrank to NT$35 billion in August, a 20-month low, NT$5.2 billion lower than the July level, according to the statistics released by the Central Bank of China (CBC) yesterday.
((PL)) (GE) | |
| | ![]() | | | Taiwan's Whole-plant Exports to Top NT$100B. in 2007
Taipei, Sept. 27, 2007 (CENS)--Taiwan's overall whole-plant exports are likely to break the NT$100 billion (US$3.03 billion at US$1:NT$33) mark this year, according to an estimate made by the non-profit Taiwan Plant Consultant Center (TPCC).
An industry insider noted Taiwan's whole-plant equipment suppliers have found new business opportunities from emerging nations which are gearing up to develop basic industries.
TPCC was founded 11 years ago with the assistance of the Ministry of Economic Affairs, Taiwan External Trade and Development Council, Export-Import Bank of the Republic of China, and Taiwan Association of Machinery Industry.
The establishment of the TPCC is aimed at expanding services to domestic whole-plant equipment suppliers, assisting medium and small enterprises to upgrade and make transformations.
The TPCC noted Taiwan's whole-plant equipment industry has managed to enjoy stable export growth over the past several years. The exports grew 15% annually to US$2.967 billion in 2006, according to statistics conducted by the TPCC.
The TPCC's tallies indicated the whole-plant equipment exports account for approximately 17% of the total production value of Taiwan's machinery industry.
The same statistics also showed the top-10 export outlets for Taiwan-made whole-plant equipment were, in descending order, mainland China, Japan, Thailand, Vietnam, Indonesia, the U.S., Malaysia, Germany, Turkey, and India. Over the past few years domestic suppliers have made inroads into such emerging markets as Africa, central and eastern Europe, and Latin America.
((BS)) (M) | |
| | ![]() | | | Taiwan Machine Tool Makers Showcase New Products at EMO
Taipei, Sept. 27, 2007 (CENS)--The six-day EMO Hannover 2007, the world's largest machine-tool exhibition, wound up on September 22 at the Messe Honnover with the participation of 2,000-strong exhibitors.
A total of 151 Taiwanese makers of machine tools and relevant components took part in the EMO Hannover 2007, up 20% from the preceding edition held two years ago.
Fred P.C. Huang, chairman of Taiwan Association of Machinery Industry (TAMI), noted European Union is now the world's largest production and consumption market. Machine tools produced by the EU nations can not only meet their domestic demand but can also be exported to the world over. Many exhibitors participated in the show to boost their share of the EU mark.
Huang said mainland China was the largest outlet for Taiwan-made machine tools last year, absorbing 38% of Taiwan's total machine tool exports. EU came second with 20% last year.
Taiwan exported US$1.57 billion worth of machine tools in the first half of this year, up 16.7% year-on-year. The island exported US$360 million wroth of the products to the EU in the first half of this year, accounting for 23% of Taiwan's overall machine tool exports.
The EMO was initiated in 1950 by CECIMO, an international association jointly formed by the machine tool industries of European nations. The CECIMO is made up of the national machine tool organizations of four countries and represents all major manufacturers in the industry in Europe. The 1,300 or so member companies in CECIMO currently produce 46% of the global machine tool output.
The zealous participation of domestic firms in this field showed they have great ambition to tap the European marketplace. Huang said Taiwan's machine-tool manufacturers have established good reputations in the world market over the past few years because of their persistent pursuit for developing high-precision products.
According to an estimate made by the Industrial Development Bureau under the Ministry of Economic Affairs, the overall exports of Taiwan-made machine tools and relevant components may break the US$13 billion mark in 2010.
According to the analysis of TAMI, Taiwan's makers participating in the show displayed many sophisticated products and technologies. For instance, Hiwin Technologies Inc., one of the island's leading makers of linear components, displayed high-loading roller-type linear guideways, roller-type screws and robotic arms, and football-playing machines. Eric Y.T. Chuo predicted his company will see a 50% growth in sales to the European market this year.
Victor Taichung Machinery Works Co., one of Taiwan's largest manufacturers of machine tools, showcased six models of newly developed machine tools at the show, including vertical, horizontal lathes, and machining centers, and a lathe dubbed Vturn-40-220 especially designed for processing long metal bars.
Bert Huang, president of Victor Taichung, said his company has received orders for the Vturn-40-220 lathe to fill in production lines till the end of this year since the model was debuted at the March Taipei International Machine Tool Show this year. Huang anticipated his company's participation in the EMO Hannover 2007 will help bring in more orders.
((BS)) (M) | |
| | ![]() | | | Formosa Sumco to Build One More 300mm Silicon Wafer Factory
Taipei, Sept. 27, 2007 (CENS)--Formosa Sumco Technology (FST) Corp., a silicon-materials venture between the Formosa Plastics Group (FPG) of Taiwan and Sumco Techxiv Corp. of Japan, recently decided to build one more factory to turn out 300mm blank silicon wafers for chipmakers.
The company's executives said thriving demand for the silicon materials has inspired the company to build one more such facility. They added the company plans to begin constructing the factory in the second half of next year at the earliest on the FPG-owned industrial zone built on a reclaimed land off the Mailiao harbor of the Yunlin County, central Taiwan.
FST is running a 300mm wafer factory on the industrial zone. The planned factory is estimated to cost the company at least NT$10 billion (US$303 million at US$1:NT$33) in investment. Once the new factory becomes operational, the company's total output will increase to 300,000 wafers a month.
FST will ship most of its products to chipmakers, leaving only imperfect portion cut from two ends of silicon ingots to photovoltaic-cell makers.
Upbeat about FST's outlook, Sumco is eager to put NT$5 billion (US$151 million) into the plan. However, it is worried that the industrial zone's plan to increase water usage volume has yet to be approved by the Environmental Protection Administration, as the usage volume has reached a level that is harmful to the natural environment.
Ranking officials of the Industrial Development Bureau under the Ministry of Economic Affairs said their organization will do its best to help FST strive for larger water-usage quota in conjunction with its expansion plan on the zone.
FPG has spared a piece of land on the zone for the construction.
In the first half this year, FST reported pretax net margin of 42% and after-tax earnings of NT$1.19 billion (US$36 million), or NT$1.92 per share. The company currently focuses on production of 200mm and 300mm silicon wafers for chip-making and solar-cell making. For 200mm wafer production, the company is currently the No.1 player, turning out 320,000 wafers a month. The company plans to boost 200mm wafer output to 340,000 by the end of this year.
Among FST's major customers are Nanya Technology Corp., Inotera Memories Inc., Taiwan Semiconductor Manufacturing Co. (TSMC), United Microelectronics Corp. (UMC), Vanguard International Semiconductor Corp., Macronix International Co., Ltd., Winbond Electronics Corp., PowerChip Semiconductor Corp., Semiconductor Manufacturing International Corp., and Hejian Technology Co.
FST was formerly known as Formosa Komatsu Silicon Corp., a joint venture of FPG, Sumco and Komatsu Electric Material of Japan. Formosa Komatsu changed name in October last year to current one shortly after Sumco, currently the world's No.2 supplier of blank silicon wafers, acquired Komatsu. The silicon-material manufacturer began running its first 300mm wafer production line in February this year.
((KL)) (E) | |
| | ![]() | | | TSMC Loses Trade Secret Invasion Lawsuit to UniRAM
Taipei, Sept. 27, 2007 (CENS)--The United States District Court for the Northern District of California, San Francisco Division, on Sept. 26 awarded UniRAM Technology US$30.5 million in litigation asserting that Taiwan Semiconductor Manufacturing Co. (TSMC) misused UniRAM's alleged trade secrets.
In response to the ruling, the No.1 silicon foundry insisted the jury made an incorrect judgment in this case and will take appeal. "TSMC has always held itself to the highest standards of respect for intellectual property, and believes that this verdict is in error," said adamantly Dr. Dick Thurston, TSMC's vice president and general counsel. "We intend to pursue all defenses vigorously."
It is TSMC's first lawsuit loss in recent years. The most significant litigation that TSMC has engaged in since 2001 is a lawsuit with Semiconductor Manufacturing International Co. (SMIC) of mainland China.
UniRAM was founded in 1998 in California to offer IC design services and licenses on efficient DRAM (dynamic random access memory) designs. The company filed a lawsuit against TSMC early this month, accusing the foundry giant of misusing its trade secret on embedded DRAM design.
Designing DRAM devices into high-end graphics chip has emerged as a trend. TSMC has made all-out efforts to develop embedded DRAM process technology and unveiled a successful 65nm embedded DRAM process in cooperation with Nvidia in March this year. Last month, TSMC announced its 90nm embedded DRAM process was adopted by Microsoft's Xbox game consoles.
These accomplishments eventually brought on UniRAM's charge.
((KL)) (E) | |
| | ![]() | | | Taiwan Automaker Successfully Taps Mexican Market
Taipei, Sept. 27, 2007 (CENS)--Taiwan's China Motor Corp. (CMC), which locally produces Mitsubishi and Chrysler cars, is expected to export about 2,400 Dodge commercial vans to Mexico this year, according to Board of Foreign Trade (BOFT) under the Ministry of Economic Affairs.
CMC's annual export volume of the Delica commercial van is expected to further climb to about 4,000 in next few years, BOFT added. CMC is expected to become the largest complete-car exporter in Taiwan, and the first local automaker to successfully tap the Mexican automobile market.
BOFT claimed that Taiwan's automobile and auto-parts industries own a strong global competitiveness of small-batch, large-variety production, well-established central-and-satellite plant systems, and advantages in R&D, quality, cost-control, and prompt delivery.
BOFT started executing a four-year project to help local automakers and parts suppliers export their products since 2005, in a bid to help local players grab more opportunities generated from American and European automakers' increasing outsourcing in Asia.
Three units were commissioned to execute the four-year project, including Automotive Research & Testing Center (ARTC), Taiwan External Trade Development Council (TAITRA), and Corporate Synergy Development Center (CSD).
CMC won the first- (Aug. 2005-2006) and second-stage (2007) subsidization from the export-promoting project.
Through the aggressive promotion of the project, according to BOFT, the accumulated export value of Taiwan's automobile (including complete car and auto parts) line enjoyed a 10.7% growth from the same period of 2006.
((QL)) (A) | |
| | ![]() | | | TaiMed, Genentech Tie Up in Biopharmaceutical Research
Taipei, Sept. 27, 2007 (CENS)--Taiwan's TaiMed Biologics recently signed an agreement with Genentech Inc. of the United States to let the major American biotechnology company swap stakes with patented technologies.
The first targeted product of the cooperation tie will be the TNX-355, an experimental anti-human immunodeficiency virus (HIV) new drug, which is expected to be commercialized after three years.
Genentech and TaiMed would also cooperate in conducting clinical tests in Taiwan for liver-cancer and influenza drugs, according to TaiMed chairperson and former vice premier Tsai Ying-wen.
Genentech Inc., claimed to be the founder of the biotechnology industry, is a pioneer in biotechnology research and a leading biotechnology company. The firm discovers, develops, manufactures and markets biopharmaceuticals for significant unmet needs in medicine. TaiMed is a subsidiary of local TaiMed Inc.
The two parties signed the agreement at a press conference hosted by the state-owned National Development Fund (NDF), which owns a 40% stake in TaiMed.
Chi-huey Wong, president of local Academia Sinica, pointed out that Tsai played a vital role to push through the agreement signing. Tsai, however, refused to comment on that.
For TaiMed's future prospect, world-renowned AIDS researcher David Ho said that no one would promise the Taiwan biotech firm any money-making opportunities because investment projects in biotech often requires enormous capital, facing big risks, and very long term for returns. "No one will sell his patents to you if it is sure to make money," Ho explained.
The cooperation tie between TaiMed and Genentech, Ho said, however, has a major and strategic implication in the development of local biotechnology industry.
Wong said that he is very optimistic about the future of TaiMed, because in the US$800 billion worth of global medical market the pharmaceutical sector is accounting for about US$400 billion, including an US$100 billion worth of business opportunities for biopharmaceutical products. After 10 years, Wong said, the global medical industry is expected to generate an annual production value of US$1.8 trillion and Taiwan has no reason to be absent in the booming market.
Ho pointed out that the later-stage clinical tests of the TNX-355 would be conducted in the U.S. and the new drug would be commercialized as soon as in three years. The U.S., Europe, and Japan would all be targeted major markets for the new drug, he added.
Tsai, Wong, Ho are all directors in TaiMed's board, while Ho Mei-yueh, chairwoman of the Cabinet-level Council for Economic Planning and Development and NDF is the inspector.
((QL)) (G) | |
| | ![]() | | | Taiwan's Non-Life Insurers Saw Premium Income Drop 2.16% in First 8 Months
Taipei, Sept. 27, 2007 (CENS)--Taiwan's non-life insurance industry witnessed continued annual drop of 2.16% in premiums received in the first eight months of this year to NT$76.6 billion (US$2.32 billion at US$1 = NT$33), of which, half came from automobile insurance premiums that recorded the highest fall of 8% among the insured items.
Last year Taiwan's non-life insurance firms posted a total of NT$114.1 billion (US$3.46 billion) in direct written premiums, which presented a decline of 3.7% from that in the previous year and the fall was the first of its kind ever recorded. And in the first eight months of this year, the corresponding premiums kept falling by 2.16%.
Insiders indicated that Taiwan's non-life insurance firms are mostly small and medium sized and have in recent years experienced shrinking business because of the continuing outflow of domestic enterprises. The growth rate of the non-life insurance industry's income from direct written premiums stood at 7.9% in 2003, and the percentage shrank to 5.5% in 2004 and further tumbled to 2.6% in 2005. Last year the corresponding rate posted a negative 3.7%.
Among the non-life insurance items, automobile insurance, used to be the industry's major profit source, posted the highest drop of 8% in premium income in the first eight months of the year, and the sharp fall was believed caused by the sluggish sales in new car market.
Commercial fire insurance is another key item in the non-life insurance industry. In the first eight months, the premium income of commercial fire insurance reduced by 6.5% from the corresponding figure of last year due mainly to the downward adjustment in premiums of such insurance resulting from no claims filed due to major commercial fires during the period.
((JL)) (GE) | |
| | ![]() | | | Taiwan Sees Brisk Sales in Annuity-oriented Insurance
Taipei, Sept. 27, 2007 (CENS)--Brisk sales in flexible annuity-oriented insurance in Taiwan's life-insurance market has recently helped reshuffle the ranking of the life-insurance firms on the island and those actively involving in the promotion of the insurance have gained pretty good profits from the sector.
Beginning this year the flexible annuity-oriented insurance has become very hot in the market and the sales of such policies have been increasing. Cathay Life Insurance Co., Shin Kong Life Insurance Co., and Fubon Life Assurance Co. took top three positions in terms of premium income in the first half of this year due to their active involvement in the annuity-oriented insurance, while the Life Insurance Department of Chunghwa Post, not available with such insurance policies, fell to No. 9 from last year's No.5.
In January of this year, Taiwan's life-insurance firms raked in a total of NT$2.347 billion (US$71.12 million at US$1 = NT$33) from the premiums of new annuity-oriented insurance policies, and the corresponding figure in August of the year jumped by more than fivefold to NT$13.46 billion (US$407.88 million), about one sixth of NT$60-70 billion (US$1.82-2.12 billion) of the total premiums of new policies recorded per month.
Fubon sold annuity-oriented insurance policies worth of NT$2.595 billion (US$78.64 million) in August and its premiums of such insurance in the first eight months of the year accumulated to NT$11.933 billion (US$361.61 million), next only to NT$33.68 billion (US$1.02 billion) posted by Cathay. Shin Kong followed with the corresponding figure of NT$9.481 billion (US$287.3 million). The top three accounted for about 47% of Taiwan's annuity-oriented insurance market.
Although many life insurers are quite interested in joining the annuity-oriented insurance market, however, Taiwan Life Insurance Co. has recently decided to withdraw from it despite having gained premiums of NT$60 million (US$1.82 million) from the segment in January of the year, and ING Life Insurance Co. has recorded zero income from the sector for several months.
| |
| | ![]() | | | Taiwan's LED Makers Heavily Expanding Capacity
Taipei, Sept. 27, 2007 (CENS)--In light of simmering demand for light-emitting diodes (LEDs) and tight supply in the sector, Taiwan's LED makers collectively have raised funds totaling a record of nearly NT$20 billion this year, with Epistar Corporation already reporting the highest capital expenditure of NT$3 billion in the sector for 2008, according to industry sources.
Instead of cold cathode fluorescent lamps (CCFLs), LED has been widely applied in backlight lights for small- and medium-sized displays. This triggers explosive demand for the product. Therefore, makers in the sector, who have to cope with strict requirement in LED's spec., have generally faced deficiency in their production capacity.
In fact, eying business opportunity in the sector, Taiwan's major LED makers, namely Epistar, Arima Optoelectronics Corporation and Everlight Electronics Co., Ltd., got off to an early start by issuing convertible bonds worth NT$5.5 billion at the end of last year.
Since this April, some makers in the sector have seen their production capacity lag behind received orders by 30-40% on average, with Huga Optotech Inc. once facing a ratio between orders and capacity moving even up to 1.7, and Formosa Epitaxy Inc. (FOREPI) and Epistar, though already expanding their capacity last year, still increasing capitals this year.
Epistar plans to raise its fund by NT$9.2 billion this year, including NT$7.2 in cash and NT$2 in convertible bonds, and already projects its capital expenditure to reach NT$3 billion for next year to boost production capacity of high-end blue LEDs to 200-300 million units.
Also, FOREPI is to issue convertible bonds worth NT$1.2 billion, and, however, will probably witness its production capacity significantly increase till the first quarter of next year due to a time-consuming process of capital increment and installation of manufacturing equipment. Meanwhile, Huga already poured a syndicated loan of NT$2 billion into broadening capacity in its existing plant.
Incidentally, Tekcore Co., Ltd. and Visual Photonics Epitaxy Co., Ltd. have raised funds of NT$288 million and NT$483 million, respectively. Worth mentioning is that the two aforementioned companies and Huga tend to concentrate expansion on production capacity of promising red LEDs, while Epistar and FOREPI on blue and green LEDs.
LED packaging companies have also suffered shortage in capacity, with Everlight, Harvatek Corporation, Bright Led Electronics Corp. and Unity Opto Technology Co., Ltd. all running at full capacity. Following Everlight's step to issue convertible bonds worth NT$1.5 billion last year, Bright Led, Ligitek Electronics Co., Ltd. and Advanced Optoelectronic Technology Inc. have taken moves to increase their capitalization this year.
((SC)) (E)
| |
| | ![]() | | | Taiwan's Automation Equipment Sector Sees Gold With Solar Cells
Taipei, Sept. 27, 2007 (CENS)--With a boom in the thin-film solar cells sector to trigger huge demand for related automation equipment, as well as the international large-sized supplier of high-tech equipment, namely Applied Materials, to seek contract suppliers in Taiwan, Taiwan's automation equipment suppliers are expected to generate huge business opportunities, according to industry sources.
Among automation equipment makers in Taiwan, Mirle Automation Corp., the largest supplier of this kind on the island, is most likely to benefit from Applied Materials's move, while Gallant Precision Machining Co., Ltd. and Marketech International Corp. can probably carve out niches by developing key equipment or being a contract supplier.
Thin-film solar cells are manufactured with glass substrates and very similar with liquid crystal displays (LCDs) in process and use of equipment, brining a new business opportunity to Taiwan's makers of manufacturing equipment for LCDs.
Furthermore, Applied Materials already has decided to place orders with contract suppliers in Taiwan for automation equipment worth tens of billion NT dollars next year, attracting quite a few makers in the sector to vie for such opportunities.
At the moment, Applied Materials supplies displays at sizes equaling to those of 8.5-generation display panels, and will probably produce larger-sized models equaling to 10-generations panels in the future, hence extremely needing for highly integrated, automated production lines.
Insiders in the sector said that Taiwanese automation equipment makers are expected to benefit from such increasing demand for thin-film solar cell manufacturing equipment earlier than many others worldwide, with Mirle most likely to land orders from Applied Materials.
Mirle has enjoyed overwhelming orders this year and had some production lines booked for ongoing orders till next January, reporting pretax profits of NT$510 million, or NT$3.3 per share, over the past eight months this year, growing 13% from a year earlier. In the meantime, the company has been engaged in developing automatic machines and lines for thin-film solar cells, and has spent 5% of its total sales revenue on such facilities. The Hong-Kong-based CLSA Ltd. is confident of Mirle's promising future and recommends buying the company's stocks.
Mirle noted that makers of solar cells hadn't required highly integrated and automatic production lines in the past, but, however, have gradually needed those and will place orders with Mirle by the end of this year as soon as possible. The company will start delivery of related manufacturing equipment after receiving orders from clients of optical products, and projects the line to contribute NT$80-100 million to its sales revenue this year. The figure will significantly move up next year.
Solar cell makers indicated that at present, a penetration rate of thin-film solar cells in the global market for solar-cell-based products is only 3%, but there have been many suppliers in the line venturing into the segment due to shortage of raw material for conventional silicon models.
Besides, with large-sized enterprises in Taiwan, such as United Microelectronics Corporation, CMC Magnetics Corp. and Tatung Group, starting to manufacture thin-film models, the huge business potential for related automation equipment is expected to exceed hundreds of billions of dollars in the future.
((SC)) (E) | |
| | ![]() | | | Temp Services Mushroom in Taiwan
Temporary help supply (THS) services have mushroomed in Taiwan thanks to the greater job flexibility provided by the island's new retirement system.
Taiwan now has more than 1,400 THS firms, which employ 130,000 persons. Fifty of the companies deal with white-collar workers; the remainder focus on blue-collar and foreign workers, including security and cleaning personnel. The Executive Yuan (Cabinet) predicts that the industry will grow to 2,000 companies with 300,000 employees next year.
The new retirement system, instituted in 2005, encourages people to take up temporary work by enabling them to accumulate retirement pensions despite frequent job changes. More companies are also making use of temporary employees in order to maintain employment flexibility and keep personnel costs down.
The top three THS firms on the island are Adecco Taiwan, Manpower Taiwan, and 104 Job Bank. Adecco, the world leader, set up its Taiwan branch in 1989 and now has 4,000 employees, the most in Taiwan. The island's foremost manpower databank, 104 Job Bank, started up three years ago and has a work force of 1,500.
The THS business originated in Chicago back in 1920 and spread to Japan in the 1990s, following the collapse of the traditional system of lifetime employment there. Around 80% of all Japanese enterprises now use temps; in half of those firms, temps make up more than 50% of the total workforce.
Manpower Taiwan president Liu Chao-ting notes that THS personnel work in many different sectors in Taiwan, including finance, high-tech, and traditional industries. Most of them engage in routine tasks such as administrative work, telephone operator, call-center staffer, human resources work, and software projects, on contracts lasting from three months to three years.
Young College Graduates
Chen Yu-feng, president of Adecco Taiwan, says that most temporary workers are young people, particularly new college graduates, who are attracted to work at big enterprises, gain a true understanding of the job market, improve their professional skills, and receive relatively high pay—advantages that are often denied new entrants into the job market. After doing temporary work for several years, many of the young people will seek more regular employment.
To find a good temporary job, Chen stresses, applicants should have computer and language ability, be able to communicate well, have good organizational abilities, and possess an adaptable personality that enables them to cope with different working environments, colleagues, and bosses.
Liu of Manpower Taiwan points to a new trend in the Japanese THS industry as growing numbers of retirees return to the job market, sometimes going back to work for the very companies from which they retired. Adecco's Chen notes that many Japanese retirees have gone back to work as freeway toll collectors or security personnel. In Taiwan, she says, companies should hire retired persons with professional skills for projects lasting one to two years.
Liu suggests, however, that local enterprises should keep their temporary workers to less than 30% of their total, stressing that smooth operations have to be maintained and that THS manpower plays only a supplementary role.
Some THS firms in Taiwan handle the entire employment process, from recruiting to personnel management and payrolls, while others offer only recruitment. Usually, the THS firm swill charge a handling fee equal to 20% of the temp's salary. (PL, Sept. 2007) | |
|
沒有留言:
張貼留言