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Asia Briefing

Daily Minimum Wage Rates Increase in Thailand

The Central Wage Committee raised the rate an average of 1.7% for the first time in four years for most provinces.

1496520475_fg8nmlbs18The Thai cabinet on November 22, 2016, approved the recommendations of the Central Wage Committee to increase the daily minimum wage rates by an additional five to 10 Thai Baht (THB) for 69 provinces effective January 1, 2017.

This is the first adjustment in the country’s minimum wage rates since January 1, 2013. The minimum wage was THB 300 (US$8.39) per day across the country. That previous minimum wage rate is maintained in the eight provinces of Sing Buri, Chumphon, Nakhon Si Thammarat, Trang, Ranong, Narathiwat, Pattani, and Yala.

In the following 49 provinces, the new daily minimum wage is THB 305:

Mae Hong Son, Lampang, Nan, Tak, Kanchanaburi, Ratchaburi, Suphan Buri, Phetchaburi, Phatthalung, Satun, Kamphaeng Phet, Phichit, Phrae, Phetchabun, UthaiThani, Sakon Nakhon, Kalasin, MahaSarakham, Roi Et, Buri Ram, Surin, Amnat Charoen, Chai Nat, Lop Buri, Nakhon Nayok, Sa Kaeo, Prachuap Khiri Khan, Samut Songkhram, Chanthaburi, Trat, Lamphun, Phayao, Sukhothai, Uttaradit, Bung Kan, Nakhon Phanom, Ubon Ratchathani, Ang Thong, Loei, Nong Bua Lamphu, Mukdahan, Yasothon, Chiang Rai, Phitsanulok, Udon Thani, Chaiyaphum, Si Sa Ket, Nakhon Sawan, and Nong Khai.

In the following 13 provinces, the new daily minimum wage is THB 308:

Khon Kaen, Nakhon Ratchasima, Prachin Buri, Chon Buri, Rayong, Surat Thani, Songkhla, Chiang Mai, Saraburi, Chachoengsao, Krabi, Phangnga, and Ayutthaya.

In the following seven provinces, the new daily minimum wage is THB 310:

Bangkok, Nakhon Pathom, Nonthaburi, Pathum Thani, Samut Prakan, Samut Sakhon, and Phuket.

With these changes, the average daily minimum wage in Thailand will increase by 1.7%, with the increase in the capital Bangkok and its vicinity standing at 3.3%. The new rates are based on the country’s cost of living index, inflation rate, production cost, labor productivity, national GDP, and the economic and social situation of each of Thailand’s provinces.

Original article posted by ASEAN Briefing. Since its establishment in 1992, Dezan Shira & Associates has been guiding American investors through Asia’s complex regulatory environment and assisting them with all aspects of legal, accounting, tax, internal control, HR, payroll, and audit matters. As a fullservice consultancy with operational offices across China, Hong Kong, India, and emerging ASEAN, including liaison offices in Boston and Waltham specifically established to support our American clients, we are your reliable partner for business expansion in Asia and beyond.For inquiries, email us at [email protected]. For further information about our firm and how we can support American investors in Asia, visit our North American Desk.