Contact us for your free initial consultation Call our hotline: 096 165 1936 Thailand Labor Protection Act 1998. General Provision 1.Security Deposit ( Section 10 ) Employers cannot request or receive a security deposit from an employee, except in the case of employees who are responsible for money and/or property belonging to the employer. 2.Change of employer ( Section 13 ) A change of employer based on a transfer, merger or similar reason shall not alter the employee's rights as established by his or previous employer and accordingly the new employer to accept all rights and obligations of the previous employer. Working Conditions 1. Work Hours ( Section 23 ) Maximum working hours:1. Work that is considered hazardous must not exceed 7 hours per day or 42 hours per week. 2. All other types of work must not exceed 8 hours per day or 48 hours per week. 2. Rest Periods ( Section 27 ) Employers must provide for a 1- hour rest period after 5 consecutive working hours. It is permissible for employers and employees to agree to rest less than 1 hour per 5-hour period, but not less than 1 hour per day (The employee must rest more than 1 time per-day). 3. Weekly Holidays ( Section 28 ) An employee is entitled to at least one day of holiday per week, and the interval between weekly holidays must not be more than six days. Any day of the week may be agreed upon in advance to be considered as the weekly holiday. 4. Traditional Holidays ( Section 29 ) An employee is entitled to a minimum of 13 traditional holidays with pay per year, including the National Labor Day (May 1). The employer may select which traditional holidays will be recognized. When a traditional holiday falls on a weekly holiday it must be postponed to the following working day. 5. Annual Holidays ( Section 30 ) Employees who have worked for a continuous period of one year are entitled to an annual holiday of not less than six working days with pay per year. The annual holidays may, by mutual agreement, be accumulated and postponed to another year. 6. Sick Leave ( Section 32 and 57 ) An employee is entitled to sick leave for any illness incurred, but the employer need not provide sick pay for more than 30 days per year. Employers may require employees to obtain a medical certificate upon taking 3 consecutive sick days of leave or more. 7. Maternity Leave ( Section 41 ) Pregnant employees are entitled to 90 days maternity leave with pay not exceeding 45 days. If a medical certificate is provided for confirming that she is unable to do work in line with her regular duties, she will then be entitled to request a temporary change of duty before or after giving birth. 8. Military Leave ( Section 35 ) Male employees are entitled to leave for the purpose of military service in connection with a call up for inspection, military training or testing for readiness under the law regarding military service with pay during the period of leave but must not exceed 60 days per year. Remuneration 1. Minimum Wage Presently, (June 2011) minimum daily Wage
| 2. Overtime and Holiday Pay ( Section 61, 62, 63 ) Employees are entitled to payment rates; Overtime on normal working days is "time and a half " Normal time on Holidays is; Increase of time rate for employees entitled to wages on holidays Increase of twice the rate for employees not entitled to wages on holiday Overtime on Holidays is " triple time " Welfare and Workers Compensation 1. Working Condition The employer is required to provide clean drinking water, bathrooms, first aid and medical facilities, and safe, sanitary working conditions sufficient to accommodate all employees. 2. Workers Compensation Workers who are injured or become ill in the normal course of their employment are entitled to medical disability. If a worker dies, his or her family is entitled to death benefits. The amount of compensation is small compared to other countries. Employers who regularly employ 10 or more employees are required to contribute to the Workers Compensation Fund. The amount depends on the type of business, ranging from 0.2 to 2 percent of the employees' annual wages, with a maximum wage base of Baht 240,000 per year. 3. Social Security Fund Any employer employing 10 or more people must also contribute to the Social Security Fund. The fund presently provides funds for the loss of wages as a result of childbirth, and non-work related injury, disability or death. By 1996 the benefits will be expanded to include child welfare and retirement. Although presently not in force, unemployment benefits are also contained in the legislation. Working Rules Employer with 10 or more employees must establish rules and regulations governing working conditions that must contain at least the following particulars
Termination and Severance Pay 1. Rate of Severance Pay ( Section 118 ) An employee who has worked for a minimum of 120 days is entitled to severance pay for termination; Work period & Severance Pay Rate 120 days – less than 1 year 30 days 1 year – less than 3 years 90 days 3 years – less than 6 years 180 days 6 years – less than 10 years 240 days 10 years and over 300 days 2. Non-entitlement of Severance Pay ( Section 119 ) Employers need not pay Severance Pay to employees who are terminated in any of following cases:
If the parties have not fixed the duration of the employment, either party may terminate it by giving notice on or before the day prior to the final payday. No more than three months advance notice need be given, and the equivalent salary may be paid in lieu of notice. Advance notice or pay in lieu is in addition to the severance pay requirements discussed above. 3. Special Severance Pay ( Section 121, 122 ) If an employer terminates an employee due to improvement in the organizational structure, manufacturing process, sale or service on account of use of new machinery, or change of machinery or technology, and in effect reduces the number of employees, the employer must notify the employee whose employment is to be terminated and the Labor Inspector at least 60 days in advance of the termination. The employer can also terminate the employee by paying the employee severance pay equivalent to the rate of the last 60 days' wages in lieu of notice. Additionally, if an employer, under these circumstances, terminates an employee who has worked for an unbroken period of at least six years, the employer is required to pay additional special severance pay. The additional special severance pay must be paid in an amount not less than a sum equal to the last fifteen days' wages, for every full year of employment after the sixth year. According to the law, a period of more than 180 days is deemed to be a full year. The entire special severance pay shall not exceed a sum equal to the last 365 days wages. |