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New minimum wage in Thailand to be announced in December
The Thai government is set to announce new minimum wages in December, but they will be less than 400 baht per day, according to Labour Minister Phiphat Ratchakitprakarn.
Key Takeaways
- The new minimum wage in Thailand, to be announced in December, will be less than 400 baht per day and will vary across provinces based on economic conditions and the cost of living.
- A survey showed that some workers are hesitant about increasing the minimum wage for fear of job loss and reluctance to relocate to provinces with higher wages due to travel expenses and higher rents.
- The Pheu Thai party has made a commitment during this year’s election campaign to gradually raise the minimum wage to 600 baht per day over a period of four years.
The rates will vary by province based on the local economy and cost of living. Currently, there are nine different minimum wage rates across the country, with the highest being 354 baht per day in certain provinces.
| 354 baht (3 provinces) | Chon Buri, Rayong, and Phuket |
| 353 baht (6 provinces) | Bangkok, Nonthaburi, Nakhon Pathom, Pathum Thani, Samut Prakarn, and Samut Sakhon |
| 345 baht (1 provinces) | Chachengsao |
| 343 baht (1 provinces) | Ayutthaya |
| 340 baht (14 provinces) | Prachin Buri, Nong Khai, Ubon Ratchathani, Phang Nga, Krabi, Trat, Khon Kaen, Chiang Mai, Suphan Buri, Song Khla, Surat Thani, Nakhon Ratchasima, Lop Buri, and Saraburi |
| 338 baht (6 provinces) | Mukdaharn, Kalasin, Sakon Nakhon, Samut Songkram, Chantaburi, and Nakhon Nayok |
| 335 baht (19 provinces) | Petchabun, Kanchanaburi, Bueng Karn, Chainart, Nakhon Panom, Payao, Surin, Yasothorn, Roi Et, Loei, Pattalung, Uttaradit, Nakhon Sawan, Prachuap Kiri Khan, Pitsanuloak, Ang Thong, Sra Kaew, Buriram, and Petchaburi |
| 332 baht (22 provinces) | Amnart Charoen, Mae Hong Sorn, Chiang Rai, Trang, Si Sakate, Nong Bua Lampu, Uthai Thani, Lampang, Lamphun, Chumporn, Mahasarakarm, Sing Buri, Satun, Prae, Sukhothai, Kampaengpetch, Ratchaburi, Tak, Nakhon Si Thammarat, Chaiyaphum, Ranong, and Pichit |
| 328 baht (5 provinces) | Yala, Pattani, Narathiwas, Nan, and Udon Thani |
A survey conducted by labour officials showed that some workers are hesitant to support wage increases due to concerns about job loss and higher expenses in other provinces. The new minimum wages are expected to be finalized by December for approval and announcement in the New Year.
However, a labour representative and a political party have proposed higher uniform minimum wages for the entire country.
The Pheu Thai political party has pledged to gradually increase the minimum wage in Thailand to 600 baht per day over a period of four years. This initiative is a key component of their election campaign platform.
The new wage will be determined by a tripartite committee consisting of representatives from the government, employers, and workers. The committee will consider various factors, such as inflation, consumer price index, gross domestic product, and labor market situation, to set a fair and reasonable wage for each province.
The new wage will also reflect the government’s policy to promote regional development and reduce income inequality among different regions. The government hopes that the new wage will encourage workers to stay in their hometowns and contribute to the local economy, rather than migrate to Bangkok or other urban areas in search of higher-paying jobs.
The new minimum wage is expected to benefit about 10 million workers in Thailand, mostly in the agricultural, industrial, and service sectors. The new wage will also have an impact on the competitiveness of Thai businesses, especially those that rely on low-cost labor.
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