Thailand’s national wage panel has resolved to increase the daily minimum wage starting next week, with Prime Minister Srettha Thavisin indicating a further hike is anticipated in March. The cabinet has recognized the decision of the tripartite wage committee, which proposed raising the daily wage by 2 to 16 baht across different provinces, despite initial government reservations.
Effective January 1, the minimum wage will see an average rise of 2.4%, resulting in wages varying between 330 and 370 baht, based on the province. This increase follows a 5% rise implemented in October 2022. However, the modest 2-baht hike for regions like Yala, Pattani, and Narathiwat has drawn criticism from the Prime Minister, who expects a more significant increase in the upcoming March review.
Labor Minister Phiphat Ratchakitprakarn announced plans to establish a sub-committee in the coming month to deliberate on new wage rates, targeting an announcement around the Songkran festival in April. The proposed system will consider local wage rates and professional categories, potentially leading to diverse wage structures within the same province.
The subcommittee’s deliberations will incorporate insights from various bodies, including the Bank of Thailand and the National Economic and Social Development Council, with the government planning to sanction new rates by the end of March.
This initiative aligns with the ruling Pheu Thai Party’s election pledge to elevate the daily minimum wage to 400 baht by year-end and ultimately to 600 baht within their four-year tenure. (NNT)
