Thailand’s private sector today called on the government to take serious action to alleviate entrepreneurs’ financial burdens after the January 1 nationwide increase of the daily minimum wage to Bt300.
Payungsak Chartsutipol, president of the Federation of Thai Industries, said a meeting of the Joint Standing Committee on Commerce, Industries and Banking (JSCCIB) agreed to submit a seven-point proposal to the government and seek a concrete solution this week—in time to affect next month’s enforcement of the new minimum wage.
According to the FTI committee proposal, the required employer and employee contributions of five per cent of employees’ salary to the Social Welfare Fund should be reduced to three per cent for the next three years; the government should relieve employers’ financial burden from the Bt300 minimum wage by setting up a fund with the government contributing 75 per cent and employers 25 per cent next year, government:employers at 50:50 in 2014, government:employers at 25:75 in 2015 and 100 per cent contribution from employers after that.
The fund is to assist businesses directly affected by the minimum wage increase.
Choosen excerpts by Job Market Monitor from
via Private firms jittery as nationwide minimum wage hike looms – Pattaya Mail – Pattaya News, Communities, Opinions and much more….
It’s nice to know that the government will help businesses in implementing the new minimum wage. It will somehow alleviate the financial shock businesses may encounter especially that it’s going to be a really shaky year for the export industry. The effect is interconnected in every sector of the economy. But on a more positive note, this is just a temporary situation wherein businesses will surely recuperate in the next months.