EOR Thailand: Employer of Record Services to Hire Without a Local Entity
An Employer of Record Thailand is a locally licensed company that legally employs your staff so you can hire in Thailand without registering a Thai limited company. The EOR runs payroll, handles SSF, WCF and the new Employee Welfare Fund (October 2026), withholds PND 1 income tax, sponsors Work Permits, and ensures full compliance with the Labour Protection Act.
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Introduction
An Employer of Record in Thailand is a locally licensed company that legally employs your workers on your behalf. You direct the work, set the salary, and manage the team day-to-day. The EOR handles the Thai employment contract, monthly payroll, Social Security Fund (SSF) contributions, Workmen's Compensation Fund (WCF) contributions, Employee Welfare Fund (EWF) contributions from October 2026, personal income tax filing with the Revenue Department, Work Permit and Non-Immigrant B Visa sponsorship, and full compliance with the Labour Protection Act B.E. 2541 (1998) as amended by the Labour Protection Act (No. 9) B.E. 2568 (2025). You hire in Thailand in days, not the months it takes to register a Thai limited company.
Quick facts: hiring in Thailand (2026)
Employer of Record (EOR) Thailand 2026
Who Uses an EOR in Thailand?
Companies using an Employer of Record in Thailand typically fall into three groups. The first is regional teams headquartered in Singapore who need a Thai payroll for one to ten staff without registering a separate entity. The second is US and UK companies hiring their first engineer, designer, country manager or sales lead in Thailand. The third is founders and scaleups testing the Thai market for a year or two before committing to a Thai limited company.
EOR Thailand vs. Setting Up a Local Entity: Which Is Right for You?
The short version: if you are hiring fewer than thirty people in Thailand, or you need someone working before quarter-end, an EOR is the route. The Thai 4:1 ratio rule alone — which requires you to hire four Thai nationals before you can apply for a Work Permit for one foreign national — makes a fresh entity slow to scale internationally. If you are committing to Thailand as a customer-facing limited company with local invoicing and BOI promotion, a Thai limited company is the right long-term move. Many of our clients start with EOR and transition once headcount and revenue justify their own entity.
Key Industries Hiring Through EOR Thailand in 2026
Technology and digital services — SaaS, fintech and gaming companies hiring engineers, product and customer-success staff at Bangkok and Chiang Mai under BOI Smart Visa fast-track for digital industries.
Tourism and hospitality leadership — International hotel groups and travel platforms hiring regional GMs, revenue managers and digital marketing leads at Bangkok, Phuket and Koh Samui.
Manufacturing and EV supply chain — Japanese, Korean and European OEMs scaling engineering, quality and supply-chain teams at the Eastern Economic Corridor (EEC) under BOI promotion.
Financial services and shared services — Banks, insurers and back-office operators hiring claims, support and compliance staff at Bangkok's CBD.
Health, wellness and ESG — Medical-tourism, biotech and sustainability firms hiring clinical leads, project managers and certified ESG specialists.
Employment Landscape
Market Overview (2026 Projections)
Thailand anchors Southeast Asia's automotive, tourism and digital-services growth. 2026 GDP is projected at USD 580 billion, growing 3.0–3.8%. The Baht trades at THB 33.0–35.5 per USD. Target industries — EVs, digital, biotech, aerospace — receive Board of Investment incentives via the Eastern Economic Corridor. Tech and shared-services wages sit at THB 45,000–THB 120,000 per month.
Where You'll Be Hiring
Bangkok — The largest talent pool. Strong concentration of finance, professional services, technology and shared-service centres. Most senior management hires sit here.
Eastern Economic Corridor (Chonburi, Rayong, Chachoengsao) — Thailand's manufacturing and EV heartland. Toyota, Honda, BMW, BYD, Great Wall and a deep supplier base operate at scale. Engineering and supply-chain talent is dense.
Chiang Mai — Digital nomad capital and a growing hub for software development, content creation and customer-experience teams. Lower cost base than Bangkok with strong English-speaking talent.
Phuket and Koh Samui — Hospitality leadership and remote-first technology hiring, especially under the LTR (Long-Term Resident) visa framework introduced for high-skilled foreign professionals.
Why Singapore-headquartered companies hire here
Many Singapore-headquartered companies use an Employer of Record in Thailand to hire engineering, customer-success, digital marketing and country-manager roles in Bangkok and Chiang Mai. The EOR sponsors the Non-Immigrant B Visa and Work Permit through the Department of Employment, manages Social Security Office registration, and handles the 4:1 Thai-to-foreign ratio in its own pre-existing employee base — none of which the Singapore parent entity can do directly. This keeps the Singapore entity clean while you build a Thai team.
Laws & Compliance
Thai employment is governed primarily by the Labour Protection Act B.E. 2541 (1998), substantially modernised by the Labour Protection Act (No. 9) B.E. 2568 (2025) which took effect from December 2025. Industrial relations and unfair dismissal claims fall under the Labour Relations Act B.E. 2518 (1975) and are heard by the Labour Court. Workplace safety obligations sit under the Occupational Safety, Health and Environment Act B.E. 2554 (2011). Tax administration runs through the Revenue Code, enforced by the Revenue Department, with overall labour policy set by the Ministry of Labour. Social security is administered by the Social Security Office (SSO).
Critical Compliance Framework (2026)
The Labour Protection Act (No. 9) B.E. 2568 (2025) is the most consequential update for foreign employers in over a decade. The most important changes are below
What an EOR Thailand Partner is legally Responsible For
When an Employer of Record is the legal employer in Thailand, the EOR carries direct responsibility for the Thai-language employment contract, monthly statutory contributions to SSF, WCF and (from October 2026) EWF, monthly personal income tax withholding (PND 1) and remittance, Work Permit and Non-Immigrant B Visa sponsorship and renewal, statutory leave administration, payslip issuance under the Labour Protection Act, retention of employment records for the statutory period, response to any Department of Labour Protection and Welfare inspection, and conduct of any termination in line with the LPA. Your company directs the work and pays the EOR a fee.
Payroll & tax
Thai payroll runs through four statutory bodies. The Social Security Office (SSO) administers the Social Security Fund (SSF) for retirement, healthcare and unemployment, and the Workmen's Compensation Fund (WCF) for work-related injury. The Revenue Department collects personal income tax through monthly withholding (PND 1) and annual filing (PND 91). From 1 October 2026, employers also contribute to the new Employee Welfare Fund (EWF), administered by the Department of Labour Protection and Welfare. Where applicable, employers in target sectors with the relevant headcount also contribute to the Skills Development Fund. An Employer of Record registers with all of these on your behalf.
Employer Statutory Contributions (2026)
The 2026 SSF and EWF Changes (in Plain English)
Two payroll rule changes hit employers in 2026, and an EOR Thailand partner applies them automatically.
SSF wage ceiling — January 2026. The ceiling for SSF contributions rose from THB 15,000 to THB 17,500 per month. The contribution rate stays at 5% each side, but the maximum amount each party pays each month moves from THB 750 to THB 875. For employees earning above THB 17,500 a month, their monthly contribution increases by THB 125; the employer pays an extra THB 125 on top.
Employee Welfare Fund (EWF) — launches 1 October 2026. This is the single biggest payroll change in Thailand in 2026. The EWF was created in the original 1998 Labour Protection Act but never funded. From 1 October 2026, it becomes operational. Both employer and employee contribute 0.25% of monthly wages. Funds accumulate to an employee account and are payable on resignation, retirement, or death, or as a severance backstop where the employer is unable to pay. Companies must register with the Department of Labour Protection and Welfare and remit monthly.
Minimum Wage (2026)
Thailand operates a province-by-province minimum wage. As of 2026, daily rates range from approximately THB 337 in lower-cost provinces to THB 400 in Bangkok, Phuket and selected industrial provinces, as set by the Wage Committee and published by the Ministry of Labour. An Employer of Record applies the correct provincial rate based on where the employee is engaged and adjusts SSF contributions to match.
Personal Income Tax (PIT) Rates
Thai personal income tax is progressive up to 35%. The first THB 150,000 of net assessable income is tax-free. Employees file annually (PND 91), with monthly tax withheld by the employer (PND 1) and remitted by the 7th of the following month. Bands are administered by the Revenue Department under the Revenue Code. Non-residents (in Thailand fewer than 180 days in a tax year) are taxed at progressive resident rates on Thai-sourced employment income but lose access to most personal allowances. An Employer of Record calculates PND 1 each month, files PND 91 at year-end on the employee's behalf, and issues the 50 Tawi withholding certificate.
2026 PIT Bands (Resident)
Working Hours & Leave Entitlements
Working hours, overtime, leave entitlements and public holidays in Thailand are set by the Labour Protection Act B.E. 2541 (1998), as amended by the Labour Protection Act (No. 9) B.E. 2568 (2025). The Department of Labour Protection and Welfare enforces the standards.
Working Hours and Overtime (2026)
The standard work week is 48 hours, capped at 8 hours per day. Hazardous work (chemicals, radiation, heavy machinery) is capped at 7 hours per day and 42 hours per week. A minimum 1-hour break must be given after 5 consecutive hours of work. Weekly rest of at least 1 day is mandatory.
Overtime requires employee consent except in emergency or industry-specific exceptions. Rates are 1.5× the ordinary hourly rate on a working day, 2× on a rest day for hours within the standard daily working time, 3× for hours beyond the standard working time on a rest day, and 3× for any work on a public holiday.
Leave Entitlements
Public Holidays 2026
National public holidays in Thailand include New Year's Day, Makha Bucha Day, Chakri Day, Songkran (three days), Labour Day, Coronation Day, Visakha Bucha Day, HM Queen Suthida's Birthday, Asanha Bucha Day, HM the King's Birthday, HM Queen Mother's Birthday, Anniversary of the Passing of the late King, Chulalongkorn Day, HM the late King's Birthday, Constitution Day, and New Year's Eve. Where a holiday falls on a weekend, a substitute weekday is granted. An Employer of Record applies the official Bank of Thailand holiday calendar to wage processing.
Work Permits & Visas
To hire a foreign national in Thailand, the employer sponsors a Non-Immigrant B Visa through the Royal Thai Embassy in the candidate's country of residence, and a Work Permit through the Department of Employment on arrival. High-skilled hires in target industries can also use the BOI Smart Visa or the Long-Term Resident (LTR) Visa. When you use an Employer of Record in Thailand, the EOR is the registered sponsor — your overseas company does not apply directly.
How EOR Thailand Handles Work Permit Sponsorship
The EOR is the registered employer with the Department of Employment, holds the four Thai-to-one-foreign staff ratio in its own pre-existing employee base (so your hire isn't blocked by it), prepares and submits the Non-Immigrant B Visa support letter and Work Permit application, manages the Immigration Bureau entry process, and renews the Work Permit on schedule. If the employee brings dependants, the EOR also coordinates Non-Immigrant O Visa applications for spouse and children.
Visa and Work Permit Categories
The 4:1 Thai-to-foreign ratio is the most common reason a fresh entity cannot hire foreign staff at speed. An EOR side-steps this constraint because the EOR's existing Thai workforce already satisfies the ratio.
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Termination & Employee Exit
Termination in Thailand requires a legitimate reason and proper procedure. Wrongful or unfair dismissal claims go to the Labour Court under the Labour Relations Act B.E. 2518 (1975), which can order reinstatement, back-pay, or damages. Notice periods and severance pay are set by the Labour Protection Act B.E. 2541 (1998), as amended by the Labour Protection Act (No. 9) B.E. 2568 (2025), and enforced by the Ministry of Labour. An Employer of Record absorbs this legal exposure on your behalf, manages the notice period, calculates statutory severance correctly, and documents the exit in line with the law.
Notice Period Requirements
Thailand uses a "one pay period" minimum notice rule. For monthly-paid employees, that means notice must be given at or before one pay date so the termination takes effect at the next pay date — typically 30 days. The contract can specify a longer notice period, but it cannot be shorter. Either party may pay salary in lieu of notice.
Severance Pay (Statutory)
Severance pay applies when an employee is terminated for reasons unrelated to misconduct, including redundancy or business closure. It does not apply where the employee resigns or is dismissed for cause set out in the Labour Protection Act.
Less than 120 days of continuous service does not attract statutory severance, but the employer must still respect the contractual notice period.
Legitimate Grounds for Termination
Thai law recognises termination for misconduct (after written warnings, except in cases of grave misconduct), poor performance (after documented coaching and review), redundancy or business closure (with proper severance), and frustration of contract. A particular feature of Thai law is that even legitimate termination may attract "compensation for unfair termination" at the Labour Court if procedure was poor. An Employer of Record manages the documentation trail, the warning process, and the severance calculation end to end.
Why AYP
AYP Group is the Employer of Record partner of choice for companies hiring across Asia-Pacific. Our Thailand advantage rests on three things our clients tell us they don't get elsewhere.
Transparent, predictable pricing. EOR Thailand from $488 per employee per month, with no hidden setup fees and no surprise compliance charges. You see the full cost before you sign.
One partner, one contract, all of APAC. If you hire in Thailand today and Singapore, Vietnam, Malaysia, the Philippines or Indonesia next quarter, it's the same contract, the same account team, and the same monthly invoice. No procurement loop for each new country.
We're licensed to operate as the legal employer in Thailand, registered with SSO for SSF and WCF, with the Revenue Department for PND 1 withholding, with the Department of Employment for Work Permit sponsorship, and prepared for the Employee Welfare Fund go-live in October 2026. Compliance is not a feature — it's the whole product.
Legal Disclaimer: This guide provides general information about Thailand employment regulations and EOR services. Specific legal advice should be obtained from qualified professionals. Employment laws and regulations are subject to change.
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We're here to help
An Employer of Record in Thailand is a locally licensed company that legally employs staff on your behalf. You direct the work and manage the team day-to-day. The EOR holds the Thai employment contract, runs payroll, makes SSF, WCF and (from October 2026) EWF contributions, withholds PND 1 personal income tax, and ensures compliance with the Labour Protection Act. You hire in Thailand without registering your own Thai limited company.
EOR Thailand from AYP starts at $488 per employee per month. The fee covers the local employment contract, monthly payroll, statutory contributions to SSF, WCF and the new Employee Welfare Fund, PND 1 personal income tax withholding and remittance, Work Permit and Non-Immigrant B Visa sponsorship for foreign hires, and ongoing compliance with the Labour Protection Act. There are no separate setup fees and no per-filing surcharges.
The Employee Welfare Fund is a new statutory savings and severance backstop scheme that goes live on 1 October 2026. Both employer and employee contribute 0.25 percent of monthly wages. Funds accumulate to the employee's account and are payable on resignation, retirement, or death. An Employer of Record registers your workforce, calculates contributions, and remits monthly to the Department of Labour Protection and Welfare from the launch date.
From January 2026, the wage ceiling for SSF contributions rose from THB 15,000 to THB 17,500 per month. The contribution rate stays at 5 percent each side, but the maximum monthly contribution per party rose from THB 750 to THB 875. For employees earning above THB 17,500, the change adds THB 125 a month on each side. An Employer of Record applies the new ceiling automatically.
Thai employees require SSF contributions of 5 percent each side capped at THB 17,500 wages, WCF at 0.2 to 1.0 percent depending on industry risk grade paid by the employer only, and from October 2026, EWF at 0.25 percent each side. Personal income tax is withheld monthly via PND 1 on a progressive scale up to 35 percent. The EOR calculates, deducts and remits each one each month.
Thai law requires an employer to have four Thai nationals on payroll for each foreign Work Permit holder. A new entity cannot hire its first foreign worker until it has hired four Thai nationals first. An Employer of Record already employs a wider Thai workforce, so the ratio is satisfied at the EOR level, which means foreign hires can begin Work Permit processing without that pre-condition slowing them down.
An Employer of Record manages termination in line with Thai employment law, including notice of one pay period, statutory severance pay scaling from 30 to 400 days based on tenure, and full documentation. The EOR carries the legal employer position, which means it absorbs Labour Court exposure on your behalf when terminations are handled correctly.
Singapore-headquartered regional teams use an Employer of Record in Thailand to hire engineers, country managers and shared-services staff in Bangkok, Chiang Mai or the Eastern Economic Corridor without setting up a separate Thai limited company. The EOR holds the local employment contract, sponsors Non-Immigrant B Visas and Work Permits for non-Thai hires, satisfies the four-to-one Thai staff ratio, and handles SSF, WCF, EWF and PND 1 filings. Your Singapore entity stays clean while you build a Thai team.
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We're here to help. Whether it's pricing details, country-specific compliance, or how we compare to other EORs, let's talk.
