Thailand: Payroll & Employment Facts
Verified statutory employment facts for Thailand, each with its official source and the date it applies from. This is our reference record. For provider choice and hiring advice, see the Thailand employer-of-record guide and the Thailand country hub.
What is the minimum wage in Thailand?
| National minimum wage |
THB 337 to 400 per day (set by province)
|
|---|
What employer social contributions apply in Thailand?
Rates are a percentage of gross wage, applied up to the annual contribution ceiling.
| Employer social security rate |
5.00%
|
|---|---|
| Pension |
3.00%
|
| Healthcare |
0.00%
|
| Workmen's Compensation Fund |
Not available
|
| Annual contribution ceiling |
180,000 THB
|
| Total employer burden |
5.2 - 6.0%
|
What notice and leave rules apply in Thailand?
Statutory minimum notice the employer must give, by completed length of service.
| Length of service | Employer notice |
|---|---|
| 0+ months | 4 weeks |
| Payment in lieu of notice (PILON) |
Permitted
|
|---|---|
| Minimum annual leave |
6 days
|
| Annual leave includes public holidays |
No
|
| Public holidays per year |
13 days
|
Is 13th-month pay required in Thailand?
None of the following are mandated by statute; they may still arise from a contract or collective agreement.
| Thirteenth-month pay required |
No
|
|---|---|
| Profit sharing required |
No
|
| Holiday bonus required |
No
|
How is severance calculated in Thailand?
| Formula |
Statutory severance pay in Thailand is a tiered lump sum payment based on the employee's length of continuous service. The amount is calculated as a specific number of days of the employee's last rate of wages, with the number of days increasing at set tenure milestones. This is mandated by Section 118 of the Labour Protection Act B.E. 2541 (1998) as amended.
|
|---|---|
| Per-year multiplier |
[{'min_service_days': 120, 'max_service_years': 1, 'multiplier': 30}, {'min_service_years': 1, 'max_service_years': 3, 'multiplier': 90}, {'min_service_years': 3, 'max_service_years': 6, 'multiplier': 180}, {'min_service_years': 6, 'max_service_years': 10, 'multiplier': 240}, {'min_service_years': 10, 'max_service_years': 20, 'multiplier': 300}, {'min_service_years': 20, 'max_service_years': None, 'multiplier': 400}] days of pay
|
| Minimum qualifying tenure |
4 months
|
| Calculation base |
Regular the last rate of wages, including any fixed regular allowances. overtime and other variable payments are typically excluded.
|
Worked example
An employee with 5 years of continuous service and an annual salary of £30,000 is terminated without cause. Convert salary: assuming 1 GBP = 45 THB, annual salary is 1,350,000 THB. Monthly salary: 1,350,000 / 12 = 112,500 THB. Daily wage rate (30-day month): 112,500 / 30 = 3,750 THB. Tenure of 5 years falls into bracket 'at least 3 years but less than 6 years', multiplier 180 days. Severance: 180 days × 3,750 THB/day = 675,000 THB (approximately £15,000).