Taiwan’s franchise sector faces management staffing gaps as TCFA survey finds shortages at nearly 99% of responding chains

Staffing pressures in Taiwan’s franchise sector now extend beyond frontline recruitment. According to a Central News Agency report dated 30 September 2026, a survey conducted in July and August by the Taiwan Chain Stores and Franchise Association (TCFA) found that 98.8% of responding chains faced staff shortages at their outlets. The gaps have spread from frontline roles to management, affecting expansion and growth.

Shortages lasting more than a year are not a short-term recruitment problem

The survey found that 82.5% of responding businesses reported at least moderate staff shortages, while 57% had experienced shortages for more than a year. More than 80% said the situation had not improved compared with the previous year. These figures suggest that, for many respondents, understaffing has become a persistent operational pressure rather than a problem that a short recruitment drive can resolve.

The association said businesses had continued to respond through recruitment, training and staff retention measures, but the problem remained difficult to address. As the labour supply shrinks, staff shortages have evolved from a recruitment challenge into a business risk affecting outlet expansion and growth.

Management vacancies make team capacity a key part of expansion planning

A key point for the franchise sector is that staffing gaps are no longer confined to frontline positions: they also affect management roles. Anyone planning to take on a franchise or open additional outlets should look beyond a brand’s outlet count and opening requirements, and examine how managers are recruited, trained and replaced.

In practice, prospective franchisees can ask the brand who is responsible for pre-opening training, what support is available if a manager leaves, and how opening plans would be adjusted if recruitment falls short. These are suggested due diligence questions based on the risks highlighted by the survey; they do not imply that every brand faces the same difficulties or offers the same support.

The nearly 99% figure must be understood within the survey’s scope

TCFA said it had been established for 35 years and that its membership consisted mainly of leading brands across a range of business categories. Its member businesses have combined annual turnover of nearly NT$3 trillion.

When reading the findings, it is important to distinguish between businesses and individual outlets: the 98.8% figure refers to responding chains whose outlets faced staff shortages, not to 98.8% of all outlets in Taiwan. The available report also does not specify the total number of respondents, the breakdown by brand category or the criteria used to classify the severity of shortages. It therefore cannot be used directly to estimate Taiwan’s total staffing shortfall or to compare staffing conditions at individual brands.

October research will examine recruitment and retention in more detail

The association plans to hold its 25th retail and distribution industry leaders’ summit on 2 October and, together with the Institute for Information Industry’s Digital Transformation Research Institute, release a study on the workforce and current staff shortages. Further analysis will cover how widespread and persistent shortages are, gaps by job role, recruitment and retention, and trends in technology adoption and demand for international workers.

For the franchise sector, the full study may provide a stronger basis for assessing the situation. However, the information currently available does not establish that any particular technology or staffing solution has successfully resolved shortages.

Practical reminder: before signing a franchise agreement or opening additional outlets, include minimum staffing levels, training responsibilities and support during staff shortages in your due diligence checklist. Ask the brand to explain clearly what assistance it can provide.