4 February, 2020
Further to our client alert issued following the resolution passed by the national wage committee on 6 December 2019 regarding the new minimum wage, the notification of the national wage committee prescribing new minimum wages for unskilled workers was published in the Royal Gazette on 27 December and has already entered into force, with effect from 1 January 2020 onwards.
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The tripartite national wage committee is expected to propose an increase to the minimum wage to the Cabinet to take effect from 1 January 2020 onwards. The proposed increment is applicable to unskilled workers and ranges from 313-336 Baht, depending on provinces, representing an increase of five to six Baht from the current daily wage rate range of 308-330 Baht. The resolution passed by the national wage committee on 6 December 2019 involves ten new wage levels as follows:
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It is expected that the Cabinet will consider and approve the new minimum wage proposal by 17 December 2019, paving the way for it to be legally enacted and effective from 1 January 2020. The national wage committee is also planning to discuss new minimum wages for skilled workers on 9 January 2020. The new wage rates appear to be well received by employers as the raise is relatively minimal.
We will keep you informed of further developments on this issue. Meanwhile, if you have any questions, please let us know.
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