TSMC Cuts Employee Bonuses by 30% in Line with Seasonal Norms

According to Taiwan's "Economic Daily News," the performance bonus at TSMC is traditionally linked to the company's quarterly profits. Employees have reported that their quarterly bonuses have been credited today, averaging about a 30% reduction compared to the fourth quarter of last year, but still comparable to the first quarter of last year, which is considered normal for the season.

Earlier, some TSMC employees had claimed that they were notified of a reduction of over 40% in their quarterly bonuses. However, it is understood that not all employees received such notifications.

TSMC had previously announced a net profit after tax of approximately 206.9 billion New Taiwan Dollars for the first quarter of this year, a decrease of about 30% compared to the previous quarter but a 2.1% increase year-on-year.

Industry experts believe that the reduction in quarterly bonuses at TSMC is in line with expectations since the bonuses are typically linked to the performance of the respective quarter.

Following TSMC's past practices, half of the employees' performance bonuses are disbursed after each quarter, while the other half is fixed to be paid in July.