The Cost of Hiring a Full-Time Employee in Thailand

1. Introduction

Hiring in Thailand offers access to a dynamic and cost-effective workforce, especially in industries such as manufacturing, services, and technology. Employers must consider not only the base salary but also statutory contributions, leave entitlements, and compliance requirements. This guide outlines the total cost of hiring a full-time employee in Thailand.

2. Average Gross Monthly Salaries

Typical monthly salaries in Thailand vary across roles and industries:

• Entry-level/clerical: THB 15,000 – 25,000
• Mid-level professionals: THB 30,000 – 60,000
• IT and Engineering: THB 50,000 – 100,000
• Managers/Executives: THB 100,000 – 250,000

Thailand has a national minimum wage ranging from THB 328 to THB 354 per day, depending on the province.

3. Statutory Contributions and Employer Taxes

Employers in Thailand are required to contribute:

• Social Security: 5% of monthly salary (capped at THB 750)
• Provident Fund (if implemented): typically 2% to 15%
• Workmen's Compensation Fund: 0.2% to 1% of annual wages depending on risk

These are submitted monthly to the Social Security Office.

4. Other Mandatory Costs

• Annual Leave: Minimum 6 days after one year of service
• Public Holidays: 13 days mandated by law
• Sick Leave: 30 days per year (fully paid)
• Maternity/Paternity/Childcare Leave:
  • Maternity: 98 days (45 days paid by employer, remainder funded by social security)
  • Paternity: No statutory entitlement in private sector
  • Childcare and shared parental leave are not mandated but can be provided voluntarily

5. Optional & Market-Driven Benefits

To attract skilled talent, employers often provide:

• Group medical insurance and accident coverage
• Bonuses (often performance-based or 13th-month salary)
• Meal, transportation, or phone allowances
• Training and upskilling programs

These are not legally required but enhance competitiveness in the Thai job market.

6. Hidden & Overlooked Costs

• Recruitment and onboarding expenses
• Equipment and software licenses
• Translation of contracts for legal compliance
• Leave accruals and unused leave payouts
• Penalties for late submissions or underpayment to SSO

7. Advisory Notes for Employers

Employers must register employees with the Social Security Office within 30 days of hiring. Proper employment contracts in Thai language are advised for enforceability. Failure to comply with labor laws can result in administrative fines or lawsuits. Monitor wage revisions as the government reviews minimum wage regularly.

8. How AYP Helps You Manage Cost Efficiently

AYP supports your Thailand hiring by managing all statutory contributions, filings, and local labor law compliance. We handle employment contracts, leave tracking, and cost transparency—so you can focus on business growth.

9. Contact Us

Hiring in Thailand? Reach out to AYP to simplify compliance and cost management.