TAIPEI (Taiwan News) — Taiwan’s unemployment rate dropped to 3.3% in May, the second consecutive monthly decline and the lowest May figure in 25 years, according to data released Monday by the Directorate General of Budget, Accounting and Statistics (DGBAS).

The number of unemployed fell by 3,000, bringing the total to 396,000. Meanwhile, the number of people who quit their jobs due to dissatisfaction declined by 2,000, per CNA.

Tan Wen-ling (譚文玲), deputy director of the DGBAS Census Department, described the numbers as reflecting a healthy labor market, with rising employment, falling joblessness, and improvements across key labor indicators.

Tan noted that US tariffs have not yet had a significant effect on Taiwan’s economy. However, since labor data often lags behind broader economic developments, any impact may not become visible until the third quarter, after the current 90-day tariff exemption period ends.

The number of workers laid off due to business closures or downsizing dropped to around 96,000 in May, the lowest level in over a year. While the figure covers both manufacturing and service sectors, Tan said the decline could reflect an uptick in activity during the temporary tariff reprieve.

The positive labor data follows record-high exports and continued strength in high-tech industries, adding to signs of Taiwan’s economic resilience.

Still, Tan cautioned that unemployment rates often rise between June and August as new graduates enter the job market. The DGBAS will continue to monitor global and domestic trends for possible impacts on employment.