PUBLISHED: 11 Mar 2025 at 04: 00
Labour Minister Phiphat Ratchakitprakarn is committed to raising the minimum wage to 400 baht global despite fears over its effect on SMEs and prices.
A bilateral income committee may review the plan tomorrow.
Mr Phiphat yesterday addressed a legislative investigation from Senator Tewarit Maneechai regarding impediments to the increase. The walk followed three deferrals of the income revision for all regions.
The secretary reaffirmed his devotion to pushing for the salary raise, using the 2012 pay adjusting model from seven provinces as a reference, especially for the Bangkok Metropolitan area.
But, the wage committee and its subcommittees from 76 provinces concluded that just four provinces– Phuket, Chachoengsao, Chon Buri and Rayong– along with Surat Thani’s Samui district, could utilize the 400-baht minimum wage, starting on Jan 1 this year.
Mr Phiphat emphasised that he was concerned about the current income inequality and does not dispute role for the issue.
He also acknowledged concerns that small and medium-sized enterprises ( SMEs ) would be significantly affected by the wage hike, potentially causing severe economic consequences.
He noted that careful attention is important, adding that the bilateral pay commission is scheduled to hold a meeting tomorrow, a time before its name ends.
The committee will continue its duties until a new one is formed.
” I remain hopeful. I can’t force anyone, but I urge the tripartite committee to consider using pilot provinces as a model and applying the 400-baht wage to specific occupations that have seen economic improvement”, he stated.
If the wage increase is not approved in the first meeting, a second meeting can be convened within 15 days.
Mr Phiphat also mentioned potential measures to mitigate the impact of the wage increase, such as tax deductions for businesses and reductions in employers ‘ contributions to the Social Security Fund ( SSF).
The Labour Ministry previously announced 129 occupations that would be eligible for the new minimum wage of 400 baht, leaving just 13 other occupations still below this threshold.