Employment and labor laws vary from country to country. This guide is intended to provide the most up to date information available. We will update this guide as needed when changes are made to the laws.
Employment Contracts
Employers are legally required to provide formal written contracts for all employees that include salary/wage, termination terms, job title, etc. The contracts must be written in Thai and use the Thai Bhat currency (THB).
Working Hours
By law in Thailand, the maximum number of working hours is eight hours per day, 48 hours per week. On working days, an employer shall arrange a rest period during work for its employees of not less than one hour per day after the employee has been working for no more than five consecutive hours.
Overtime
A total of 36 overtime hours can be worked in a week. Overtime on regular working days is paid at a rate of 150% of the salary. Working normal work hours on a holiday is paid at a rate of 200% salary. Working overtime hours on a holiday is paid at 300% salary. Management roles are generally exempt from overtime requirements.
Public Holidays
Public holidays falling on weekends are moved to another day in lieu.
For the year 2024:
Jan 1: New Year’s Day
Feb 24: Makha Bucha Day
Feb 26: Makha Bucha Holiday (Day Off in Lieu)
Apr 6: Chakri Day
Apr 8: Chakri Day Holiday (Day Off in Lieu)
Apr 13: Songkran Festival
Apr 15: Songkran Festival
Apr 16: Songkran Festival
May 1: Labour Day
May 4: Coronation of King Vajiralongkorn
May 6: Coronation of King Vajiralongkorn Holiday (Day Off in Lieu)
May 22: Visakha Bucha Day
Jun 3: Queen Suthida’s Birthday
Jul 20: Asahna Bucha Day
Jul 22: Asahna Bucha Day Holiday (Day Off in Lieu)
Jul 28: King Vajiralongkorn’s Birthday
Jul 29: King Vajiralongkorn’s Birthday Holiday (Day Off in Lieu)
Aug 12: Her Majesty the Queen Mother’s Birthday Holiday
Oct 13: Passing of His Majesty the Late King
Oct 14: Passing of His Majesty the Late King Holiday (Day Off in Lieu)
Oct 23: Chulalongkorn Memorial Day
Dec 5: His Majesty the Late King’s Birthday
Dec 10: Constitution Day Holiday
Dec 25: Christmas Day
Dec 30: Special Holiday
Dec 31: New Year’s Eve
*Chinese New Year, Christmas Day, and the end of Ramadan are observed in Narathiwat, Pattani, Yala, and Satun provinces only.
*Labour Day is observed by all sectors except the government sector.
*Royal Ploughing Ceremony and Khao Phansa Day are observed by the government sector only.
Annual Leave (vacation)
Paid leave in Thailand is set in the employment contract as at least 6 days of paid annual leave per year after completing one full year of employment. For employees who have not completed one year of service, the employer may provide a yearly leave on a pro-rata basis. A leave carryover policy can be agreed upon in advance between the employer and employee.
Sick Days
All employees are entitled to unlimited sick leave, but the number of days paid sick leave shall not exceed 30 days per year covered by the employer. The employer may require an employee to produce a certificate from a qualified medical professional for a sick leave of three days or more.
Maternity Leave
Employees are entitled to 98 days of maternity leave, paid by Social Security at 100% of the regular salary rate for the first 45 days, followed by 50% of the regular salary rate for the remaining days.
Paternity Leave
An employee’s entitlement to paternity leave is dependent on the sector in which they work. The private sector has no statutory paternity leave, however, employees in the public sector are entitled to 15 days of paternity leave.
Parental Leave
There is no statutory parental leave in Thailand.
Other Leave
Military Leave – Male employees are entitled to leave for military service, during which the employer must continue to give basic pay at a rate equal to normal working days during the leave but not exceed 60 days per year.
Personal Business Leave – Employees are entitled to leave of 3 working days per year to attend to personal matters.
Training Leave – Employees are entitled to take leave for training or skill development where it relates to acquiring skills to improve labor and job effectiveness or testing of educational level as required by the government.
Employee Severance and Terminations
Termination Process
Employment can be terminated in Thailand where there is ‘just cause’, which includes reasons of criminal offense, employee caused willful damage, negligence causing serious damage to employer/put others at risk, employee violated work rules, regulations or orders even with written warning from employer, employee was absent for 3 consecutive days without notice or any justifiable reason or the employee is sentenced to imprisonment.
For termination without ‘just cause’, there is a high likelihood of the terminated worker filing a claim of unfair dismissal with the labor court and the Thai law tends to be more favorable to the worker’s claim. Once employment has been terminated, the employer must notify the Social Security Office. When the termination concerns a foreign worker, the employer must notify the Immigration Bureau and The Department of Employment of the Ministry of Labour. Termination payments, including current month salary, unused annual leave and severance pay must be paid to the employee within three days of the date of termination.
Notice Period
Notice periods within Thailand must be given in advance and in writing. The length of notice is generally for a period of 30 days, although employers can specify longer notice periods within the employment contract, and notice must be given before the date wages are due in order to take effect the following wages due date. Payment in lieu of notice is also possible.
Severance Pay
In Thailand, severance pay is mandatory if applicable and determined by the employee’s length of service. Employees working for fewer than 120 days for the same employer are not eligible to receive any severance payment.
Employees with fewer than 120 days of service are not entitled to severance pay.
Employees with more than 120 days of service but fewer than one year are entitled to 30 days of severance pay.
Employees with service of one year but fewer than three years are entitled to 90 days of severance pay.
Employees with three years but fewer than six years are entitled to 180 days of severance pay.
Employees with six years but fewer than ten years are entitled to 240 days of severance pay.
Employees with service of 10 years but fewer than 20 years are entitled to 300 days of severance pay.
Employees with 20 years or more are entitled to 400 days of severance pay.
Severance does not need to be paid when a worker is terminated for cause.
Probation Period
There is no mandatory requirement to include a probation period, however, it is common to include a period of up to, and no more, than four months.
Payroll Cycle
The payroll cycle in Thailand is generally monthly and is usually paid on the last working day as agreed within the employment contract. The national minimum daily wage in Thailand varies by region within Thailand, ranging from 328 THB (in Narathiwat, Pattani, and Yala) to 354 THB (in Phuket and Chonburi).
Minimum wage for foreign nationals working in Thailand are as follows:
60,000 Baht/month: Canada, Japan and the United States of America
50,000 Baht/month: Europe (including the United Kingdom) and Australia
45,000 Baht/month: Hong Kong, Malaysia, South Korea, Singapore and Taiwan
35,000 Baht/month: China, India, Indonesia, the Middle East and the Philippines
25,000 Baht/month: Africa, Cambodia, Laos, Myanmar and Vietnam
13th Salary
There is no statutory requirement for a 13th-month salary payment in Thailand.
Contributions
Employer Payroll Contributions
VISA
For short-term work activities conducted for up to 15 days, the appropriate work authorization is the Urgent Work Permit (UWP). The UWP may be extended for another 15 days if the urgent work is not completed during the initial 15-day period. Except for visa-exempt nationals, foreign nationals seeking a UWP must obtain a Non-Immigrant B visa before entry. For work activities that exceed 30 days, a work permit is required. The work permit can be granted for one to four years, depending on the company’s status in Thailand. All foreign nationals intending to obtain a work permit, including visa-exempt nationals, must obtain a Non-Immigrant B visa before entry.
VAT
The standard rate of VAT in Thailand is 7% until 30 September 2024 (unless further extended by the government).
