Private sector has voiced strong objection to the government’s plan to increase the minimum wage for all workers throughout the country to 400 baht, warning that the a national standard minimum wage will impact all businesses and may result in mass layoffs or closures of businesses.
Sanan Angubolkul, chairman of the Joint Standing Committee on Commerce, Industry and Banking, said today that the minimum wage should reflect the economic reality in each province, so the Tri-partite Wage Committee should heed the recommendations of the wage subcommittees in each province.
He made clear that the private sector has no objection to improving the quality of life of workers through a minimum wage adjustment, but he warned that the imposition of a single national minimum would not be in line with the varying economic realities from one province to another.
Sanan claimed that 90% of the provincial wage subcommittees disagree with a flat 400-baht wage rate, describing it as “irrelevant.”
Against the background of global economic uncertainties, geopolitical conflicts and climate change, he said that the 400-baht rate will increase the production costs and will make Thai products less competitive.
He added that a uniform rate for all workers will also heavily impact the farming and service sectors.
The National Wage Committee must come up with valid reasons to justify its proposal of a 400-baht national minimum wage, said Sanan, adding that the private sector supports the concept of pay according to skill and urged the government to improve the skills of Thai workers in various fields.
