BANGKOK, 25 August 2011 – The Thailand Development Research Institute (TDRI) has suggested that the government should support entrepreneurs to improve labour skill development and use tax measures to promote skill labour development.
TDRI Labour Development Research Director Assoc Prof Dr Yongyuth Chalamwong stated that a study finds that Bangkok, its vicinities and southern provinces have the highest opportunity to apply the daily minimum wage of 300 baht and a new salary of 15,000 baht for fresh graduates before any other areas of the country.
Assoc Prof Dr Yongyuth explained that the regions already have large business entities possessing capable workforce with high production potential while businesses in the north and the northeast will have their wages and salaries adjusted gradually because most of the businesses there are of small and medium sizes with low investment capital and many unskilled employees.
The director suggested that the government, particularly the Ministry of Labour, should promote skill development among labourers while businesses should be supported with tax measures. For example, double tax deduction should be offered upon imports of new machinery to increase productivity and training of skilled labour.
As for long-term measures, Assoc Prof Dr Yongyuth said the government should support businesses to reduce use of labour and replace workers with machinery while other aspects of skills in the country’s workforce such as foreign languages should be promoted in order to ready the nation for the ASEAN Community formation in 2015.
