This paper investigates the impacts of Taiwan's WTO accession on rural labor market. The method adopted in this paper is a two-step approach in the context of the dynamic computable general equilibrium (CGE) analysis. The major finding form our quantitative assessment is that crop and livestock sector is the most vulnerable sector to WTO accession in comparison to other agricultural sector. The employment decrease in this sector is estimated to be above 82,000 during the initial entry year. On the other hand, the impacts of WTO entry on the employment in the fishery and forestry sectors are insignificant. Simulation results show that each year the number of unemployment in the agricultural sector will be about 4,000 to 8,000 during the period of 2001-2010. the main policy implications drawn form our study is two folds. For the aging farmers, the government needs to accelerate its legislation of the pension program or social security system for their retirement. For the younger farmers seeking employment opportunities, job-training programs should be carried out to help them transfer to the service sectors.