11 July 2024

The tri-partite wage committee cannot yet finalise the 400-baht national minimum wage in Thailand, until it receives the proposed wage rates from the individual provinces, according to Labour Permanent Secretary Pairoj Chotikasathien.

The governor of each province is required to work out the appropriate minimum wage for submission to the committee by July 31st, following the government’s May 1st announcement that a national 400-baht minimum wage will be applied to all occupations from October 1st, he said.

The Federation of Thai Industries and a number of entrepreneurs have voiced their disagreement to a single national minimum wage for all workers in all occupations, regardless of their skills or the various economic situations and costs of living in the provinces. They claim that SMEs will be hardest hit, which may force them to reduce staff or go out of businesses. Moreover, the new standard rate would increase production costs, making Thai products less competitive in global markets.

A representative of employers on the wage committee, Atthayut Leeyawanich, said that the employers had rejected the minute of the committee’s meeting held on May 14th, concerning the calculation of wage rates, claiming that calculation method had been arbitrarily changed from the one approved by the committee in February, without the consent of the employer’s representatives.

The wage committee is not set to meet again until after July 31st.

Since April 14th this year, the minimum wage for employees working in four-star or higher hotels in specific areas, which have at least 50 employees, has been 400 baht.

The areas are in Pathumwan and Wattana districts of Bangkok, Ao Nang sub-district of Krabi, Pattaya in Chon Buri, the municipal area of Chiang Mai, Hua Hin in Prachuap Khiri Khan, Kuk Kak sub-district of Phang-nga, Phuket, in Ban Phe sub-district of Rayong, in Hat Yai, the municipal area of Songkhla and on Koh Samui in Surat Thani.