Thailand’s minimum wage hike stalled as panel faces quorum issue

MONDAY, SEPTEMBER 23, 2024

Approval of the proposed 400-baht daily minimum wage by October 1 has been delayed due to a lack of quorum in the 15-member Wage Committee

The tripartite Wage Committee has indefinitely suspended its meetings due to a lack of quorum, delaying the approval of the government’s proposed 400-baht daily minimum wage nationwide by October 1.

Phairoj Chotikasatien, permanent secretary for the Labour Ministry and chairman of the panel, said the 15-member committee cannot proceed because one member has been disqualified as he retired.

The Bank of Thailand announced that since Methee Supapong had resigned, he could no longer represent the central bank.

Despite opposition from employers and businesses, the government promised the wage hike nationwide by October 1. However, the panel missed its September 20 meeting due to the quorum issue, and the rescheduled meeting on Tuesday has also been cancelled.

Thailand’s minimum wage hike stalled as panel faces quorum issue

Phairoj said on Monday that a meeting can only be held after a new BOT representative has been appointed to the panel. He expects BOT to take at least 15 days to nominate a representative.

He said that the law requires the panel to have a quorum of 15 members and all decisions must be backed with a two-thirds vote.
Phairoj added that he is set to retire at the end of this month, and will hand over the chairmanship to his successor.

Meanwhile, groups like the Employers’ Confederation of Thailand have voiced strong opposition, warning that a nationwide 400-baht daily minimum wage could be a timebomb for the Thai economy.

Thailand’s minimum wage hike stalled as panel faces quorum issue

Thanit Sorat, vice president of the confederation, said in an article published online that the wage panel should adhere to its earlier principles of considering and approving daily wages based on location and type of business.

He added that a nationwide wage increase would particularly hurt businesses still recovering from the effects of the Covid-19 pandemic.