Taiwan’s unfair labor practice decision system was established to maintain substantive equality between labor and management in union organization and collective bargaining. Under the 《Act for Settlement of Labor-Management Disputes》, when employers obstruct union formation or operation, discriminate against union members, interfere with union activities, or refuse to bargain in good faith, workers or unions may file a petition with the competent authority. Cases are reviewed by the Board for Decision on the Unfair Labor Practices. If an employer is found to have committed unfair labor practices, the Ministry of Labor may order the employer to cease unlawful conduct, restore the status quo, and impose administrative fines.
However, significant limitations persist in practice. These include lengthy decision procedures, the burden of proof falling largely on workers, and relatively low fines that provide limited deterrence for large corporations. Employers may also suppress unions through subtle means such as job reassignments, performance evaluations, workplace isolation, organizational restructuring, or litigation, making unfair practices difficult to document and substantiate. In addition, employers frequently file administrative appeals and lawsuits to delay enforcement, meaning that even when workers prevail, the restoration of their rights remains difficult in practice. These shortcomings highlight the structural limitations of the system.

