TAIPEI (Taiwan News) – In a move likely to benefit 10,000 workers per year, the government on Thursday (April 18) proposed to extend pay hike tax benefits for employees of small and medium enterprises (SMEs) by 10 years.

According to the Cabinet proposal, the measures will remain valid until the end of 2033, Radio Taiwan International (RTI) reported. Tax exemptions for companies employing workers younger than 24 will also apply to new staff 45 or older.

The stipulation that the measures are only applied if the unemployment rate stays above 3.78% for at least six consecutive months will be scrapped, the government said. Other changes encourage SMEs to invest in innovative research and the use of intellectual property.

However, the government cautioned that the new measures could not be combined with other existing benefits. Companies found to have broken environmental, labor, or food safety regulations during the past three years will also be excluded.

The Ministry of Economic Affairs estimated the changes will help 331 businesses a year and create more than 4,000 job opportunities. As a result, 207 companies per year are expected to raise the wages of 5,850 employees.