Employment Laws in Thailand

1. Overview of the Employment Law Framework

Thailand’s employment relationships are primarily governed by the Labour Protection Act B.E. 2541 (1998). The Department of Labour Protection and Welfare, under the Ministry of Labour, is responsible for enforcing compliance, conducting inspections, and resolving disputes. Employers must be vigilant with contract terms, wages, and work permits.

2. Primary Employment Statutes and Regulatory Bodies

Main statutes include:

• Labour Protection Act
• Labour Relations Act
• Social Security Act
• Occupational Safety, Health and Environment Act
• Foreign Business Act (for work permit compliance)
  These laws are enforced by the Ministry of Labour and Labour Courts.

3. Employment Contracts: Legal Requirements

Employment contracts in Thailand can be oral or written, but written contracts are strongly advised. Contracts must detail job title, scope, wages, working hours, and duration (if fixed-term). Employers hiring foreigners must ensure contracts align with permitted job types and minimum salary thresholds.

4. Working Hours and Overtime: Statutory Standards

Standard work time is 8 hours/day, 48 hours/week. Overtime pay is required for work beyond normal hours at 1.5x to 3x the regular rate, depending on day and time. Working on public holidays attracts double pay. Employers must retain attendance and overtime logs.

5. Wages and Payroll Compliance

As of 2025, the minimum wage is THB 400/day (varies by province). Employers must:

• Pay wages monthly or bi-weekly
• Maintain wage and time records for 2 years
• Avoid unauthorized deductions
• Issue payslips when requested
  Penalties for underpayment or unlawful deductions include fines up to THB 100,000.

6. Foreign Worker Regulations and Employer Duties

Employers hiring foreigners must secure a work permit. Salaries must meet nationality-specific thresholds. For BOI-promoted companies:

• Executives: THB 150,000/month
• Managers: THB 75,000/month
• Specialists: THB 50,000/month
  Non-BOI roles require salaries from THB 25,000–50,000. Employers are liable for:
• Work permit renewals
• Reporting changes to employment
• Ensuring proper job assignments

7. Labor Inspections and Enforcement Risks

Inspections focus on contract compliance, work hours, and safety. Violations may lead to:

• Fines
• Suspension of business license
• Deportation of foreign staff
  Employers must maintain lawful payroll and visa practices.

8. How AYP Helps You Stay Compliant

AYP supports your business in Thailand with:

• Legally compliant contracts
• BOI-specific hiring support
• Payroll, tax, and work permit management
• Local representation to minimize audit risks

9. Contact Us

Need to hire compliantly in Thailand? Let AYP handle employment law and HR complexity.

👉 Contact us today.