JPC Opposed the plan to increase daily minimum wage to 400 baht

Kriengkrai Thiennukul, chairman of the Federation of Thai Industries (FTI) and chairman of the Joint Private Sector Committee
Kriengkrai Thiennukul, chairman of the Federation of Thai Industries (FTI) and chairman of the Joint Private Sector Committee

The Joint Private Sector Committee opposed the government’s plan to increase the daily minimum wage to 400 baht for workers nationwide in October.

Kriengkrai Thiennukul, chairman of the Federation of Thai Industries (FTI) and chairman of the Joint Private Sector Committee opposed the the government’s plan to increase the daily minimum wage to 400 baht for workers nationwide, expected in October.

The Joint Private Sector Committee (JPC) including FTI. Thai Bankers Association and Thai Chamber of Commerce conducted a statement to voice five topics to the government

Voice five topics to the government

1. JPC agreed to the increasing minimum wages in order to improve better quality of life among Thai workers. However, adjustment the minimum wage should be increas on the requirement of law in Section 87 of the Labor Protection Act, B.E. 2541.

2. Disagree with adjusting the minimum wage to 400 baht equally throughout the country. The government should apply the study and opinions of the Provincial Minimum Wage Subcommittee and the Tripartite committee Board.

3. Adjustment the wages should based on labor skills(Pay by skills). The government should offer incentives for entrepreneurs and workers to focus on the development of upskill and reskill

4. The government should pay attention to opinions from the private sector in adjusting the daily minimum wage. They include opinions of specific provinces and businesses and use the subcommittee mechanism to consider the provincial minimum wage rate.

5. The government should have measures to reduce the cost of living of workers,

such as food, travel, electricity cost, and burden from interest rate cost.

JPC will submit a letter to oppose minimum wage 400 baht 

Mr Kriengkrai said in the next steps, JPC will submit a letter to the Ministry of Labor to oppose the increase in the minimum wage to 400 baht nationwide. To discuss the ministry for a solution to increase wages which should be suitable for competitiveness. To discuss the private sector in each province on the impact and conduct proposals on increasing minimum wage.

The Prime Minister Srettha Thavisin on Tuesday praised the Minister of Labor for the policy to increase the minimum wage to 400 baht nationwide.

He mentioned the case of the Thai Chambers of Commerce throughout the country and Labor-intensive Trade Associations making a statement opposing the increase in the minimum wage to 400 baht all nationwide, coming in October.

“My opinion on the issue of wages is very clear that minimum wage is a foundation of the people and an important mechanism to drive the Thai economy.

Mr Srettha mentioned that I have said the minimum wage was 300 baht in the past ten years and currently up to only 340-350 baht.

“Minimum wage has increased only 10% in the past ten years. My question is how much an increasing of the cost of living in ten years. I would like to praise the Labour Minister for the determination on minimum wage.” Said Mr Srettha.

The Joint Private Sector Committee

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