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    Thai Employer Duties: Mandatory Employee Benefits

    Thai employers (including foreign-incorporated subsidiaries) owe statutory minimums on holidays, leave, severance, social security, and workplace safety under the Labour Protection Act + sister statutes. This guide lists the floor.

    6/15/20266 min read read
    LPA
    severance
    SSO
    employer duties

    TL;DR

    Thai employers (Thai or foreign-incorporated) owe a statutory benefit floor under the Labour Protection Act B.E. 2541 (1998), Social Security Act B.E. 2533 (1990), Workmen's Compensation Act B.E. 2537 (1994), and the Skill Development Promotion Act B.E. 2545 (2002). Floor obligations apply regardless of contract; superior employer policies override but cannot fall below.

    The Statutory Floor

    BenefitStandard
    Working timeMax 48 hr/week non-hazardous, 42 hr hazardous
    Daily rest≥1 hr after 5 consecutive hours
    Weekly rest≥1 day per week
    Public holidays≥13 per year (employer can publish list)
    Annual leave6 days after 1 year
    Sick leave30 days/year paid
    Maternity leave98 days (45 paid by employer, balance via SSO)
    Severance (≥120 days, <1 yr)30 days' wages
    Severance (1-3 yrs)90 days' wages
    Severance (3-6 yrs)180 days' wages
    Severance (6-10 yrs)240 days' wages
    Severance (10-20 yrs)300 days' wages
    Severance (≥20 yrs)400 days' wages

    Insurance / Contributions

    • Social Security (SSO): employer 5% + employee 5% of wages (capped).
    • Workmen's Compensation: employer-only (premium rate by industry risk).
    • Provident fund: voluntary; common in larger firms.

    Common Mistakes

    • Treating foreign employees as outside Labour Protection Act — they're inside.
    • Misclassifying employees as contractors to avoid contributions — substance over form.
    • No written workplace rules where 10+ employees (§108).
    • Insufficient annual-leave accrual.

    FAQs

    1. Severance for fixed-term contract?

    Statutory severance still applies on non-renewal; exceptions narrow.

    The Core Statutory Benefits

    Employer duties are set mainly by the Labour Protection Act B.E. 2541 (1998), supplemented by the Social Security Act. Key mandatory entitlements include: payment of at least the provincial minimum wage; working time capped at 8 hours/day and 48 hours/week with statutory overtime premiums; at least 13 paid public holidays a year and paid annual leave (a minimum of 6 working days after one year of service); paid sick leave (up to 30 working days paid per year); and maternity leave of 98 days (with a portion paid by the employer and the balance via social security). Employers must also provide a safe workplace and observe the rules on wage payment and deductions.

    Social Security and Termination

    Employers must register employees for social security and remit both the employer and employee contributions, which fund medical, maternity, unemployment, invalidity and pension benefits. On termination without serious cause, an employee is entitled to statutory severance scaled by length of service (from 30 days' pay after 120 days up to 400 days' pay after 20 years) plus payment in lieu of notice; unfair dismissal can also lead to a Labour Court award. Fixed-term contracts do not avoid severance except in the narrow statutory cases. Common employer failures are under-remitting social security, misclassifying employees as contractors, and treating rolling fixed-term contracts as a way around severance.

    3. Are foreign employees entitled to the same benefits?

    Yes — the Labour Protection Act applies regardless of nationality, so foreign employees working lawfully in Thailand receive the same statutory minimum benefits (a valid work permit is a separate immigration requirement).

    Related Reading

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