History

The promulgation of this regulation by the Council of Labor Affairs is in order to supervise corporate bodies engaging in labor affairs.

The corporate bodies engaging in labor affairs referred in this regulation is the corporate bodies whose purpose is for the public interest, engaging in promoting the harmony of the labor-management relations, protecting workers' interests, advancing workers' benefits, uplifting labor productivity, and other labor related activities.

Unless other rules and regulations specifically specified, corporate bodies engaging in labor affairs shall be governed by this regulation.

The competent authority responsible for corporate bodies engaging in labor affairs at national level is the Council of Labor Affairs; at metropolitan level is the bureau of labor affairs of the metropolitan government; at local level is the bureau of labor affairs of the city/county government.

The competent authority responsible for corporate bodies engaging in labor affairs shall be assigned by the Council of Labor Affairs should the scope of the administration of corporate bodies engaging in labor affairs extends across metropolitan and city/county boundaries.

The organization name of the corporate bodies engaging in labor affairs shall be specifically titled "Corporate Body".

Three copies of each of the following documents should be prepared and submitted to the competent authority when applying for the set-up of the corporate body engaging in labor affairs.
1. Form of the Application
2. By-laws of the donation or the prove of the devise.
3. Property and income list of the donation and its document of prove.
4. Business planning and statement.
5. Other related documents assigned by the authority.

The by-laws of the donation or prove of the devise should contain the following items:
1. The purpose, name and the office of the location of the organization.
2. The total amount of the donation of the property and income, and the means of preservation and operation.
3. Names of the donators and the titles of the classification and amount of the donated property and income.
4. The structure of the organization, types of the business engaged, and the means of management.
5. The way of disposal of the leftover of the property and income after dismissal of the organization.
6. Number of the board directors, tenure and the way to generate.
7. Should the managing director is in place, its tenure and the way to generate.
8. How the meeting of the board directors is convened and how the resolution of the board is made.
9. Should there be a supervisory director with the board, the number and tenure of the supervisory directors and the way to generate.
10. The period of the time frame--should the organization set up a time frame of its existence.

The application of the founding of the corporate body engaging in labor affairs should not be approved if each of the following conditions is met.
1. The application of the organization is not met with the conditions set by the article 5 to article 7 of this regulation.
2. The content of the constitution violates public orders and socially accepted decent virtues and customs, or compulsory enforced regulations.
3. Types of the businesses engaged are not consistent with the purpose of the organization.
4. The amount of the donation is apparently insufficient to fulfill the purpose of the organization or the total amount of the donated property and income of a national organization is less than 5 million NT$.
5. The founding purpose of the organization has nothing to do with the labor affairs.

The board director and supervisory director should meet the following conditions:
1. The number of directors of a corporate body engaging in labor affairs is at least 9 persons and not to exceed 15 persons. The number of supervisory directors should not exceed 1/3 of the number of the directors.
2. The number of directors in blood (within 3rd kinship) and marriage relations of a corporate body engaging in labor affairs should not exceed 1/3 of the total number of the directors.
3. The tenure of director of a corporate body engaging in labor affairs should not exceed 3 years in each term. The tenure can be renewed in the following term after the previous tenure has completed.
The conditions set by item 2 and 3 of this article are applicable to the supervisory directors.

Following the approval of the application of corporate bodies engaging in labor affairs, the competent authority should release a document of permission to the organization, the form of application and attached documents should be stamped with the competent authority's seal in two copies and release back to the organization. The competent authority should address the reason in accordance to the rejected cases of application.

Upon receiving the document of permission from the competent authority within 30 days, the corporate bodies engaging in labor affairs should be registered with the courts in jurisdiction, after receiving the registration document; the corporate bodies engaging in labor affairs should submit a copy of the registration to the competent authority within 10 days for back-check.

Should the founding purpose of the corporate body engaging in labor affairs altered after the registration, the organization should submit the document of prove to the competent authority, within 30 days when the altered purpose is engaged, to apply for the permission of the revision of its founding purpose.
Should the change of the founding purpose induce to the need of re-registration, follow the procedures addressed by Article 10 and 11.

After the permission to establish corporate bodies engaging in labor affairs, the corporate body should submit 3 copies of the following documents to the competent authority to examine the seals of these documents.
1. The name list of board directors, and name list of supervisory directors should the organization placed such position: the name list should consist name, sex, the date of birth, education credential, occupation, and the place of (registered) residence.
2. Personal agreement as board director; personal agreement as the chairman of the board or the supervisory director, should the organization placed such positions.
3. The seals of the corporate body and board directors.
4. Personal Identification Card or Household Registration Book, persons who are not registered in this country should provide personal prove of identification, all the above-mentioned conditions are applicable to supervisory directors.

After the registration in the court of jurisdiction of the corporate bodies engaging in labor affairs, the donators or the devise executors should transfer all the endowment to the said corporate body within 3 months, and to inform the competent authority for back-check.

When engaging in business, the board directors of the corporate bodies engaging in labor affairs should follow the national laws and orders, the regulations of the organization's by-laws (devises), and the resolution of the board.
Should the resolution of the board of the corporate bodies engaging in labor affairs violates the national laws and orders and the regulations of the organization's by-laws (devises), the competent authority may order the board to change its decision within a framed schedule.

The following issues should be approved by 3/4 of the board director attendants at the board meeting, of which consists of 2/3 total number of the board directors:
1. The revision of by-laws.
2. The disposal of real estate and to make decision of the liability.
3. The dismissal of the corporate body or to change the purpose of the organization.
The above-mentioned issues of resolution in addition to file to the court of jurisdiction according to civil law, should also report to the competent authority for back-check.

The accounting system of the corporate bodies engaging in labor affairs adopts the responsibility occurrence principle; thereby accounting books should be instituted, recording details of the exchange according to legal voucher.

The corporate bodies engaging in labor affairs should report to the competent authority with regard to its annual budget and business plan before 2 months of the beginning of the fiscal year, and to report its annual expenditures and the execution of business activities to the competent authority within 3 months after the end of the fiscal years for back-check.

The competent authority may inspect the corporate bodies engaging in labor affairs at any time, items for inspection are the following:
1. The permission of the establishment
2. The operation of the organization and the conditions of the facility.
3. The situation of important annual business plan in execution.
4. The operation and preservation of the property and income.
5. The conditions of the financial status.
6. The performance of public interests.
7. Other business related issue.

The competent authority may withdraw the permission of the establishment of the corporate bodies engaging in labor affairs, provided that a time-frame to inform the organization improve the said conditions is overdue. These conditions are:
1. A violation of the laws and orders, and by-laws of the donation or the devise.
2. Engaging in businesses other than the authorized ones.
3. The decision of the board violates the laws or is inappropriate.
4. No legal vouchers attached with financial exchanges or insufficient records of the accounting books.
5. Hiding property conditions or to obstruct the inspection of the competent authority.
6. False reporting of the business engaged and the financial status.
7. Dissipation and overspending of the finances.
8. Other matters violated against this regulation.

This regulation is enacted from the date of promulgation.