Report highlights the economic cost of discrimination against LGBTQI+

According to the report, released on Wednesday at an event co-led by Transtalents Consulting Group and Sasin School of Management, the research — part of a wider Southeast Asia report — combines qualitative and quantitative data to explore several factors impacting economic performance.

The report indicates that depression in the LGBTQI+ community cost Thailand between 5 billion baht and 14.9 billion baht per annum. In Thailand, 11% of the LGBTQI+ community are diagnosed with moderate to severe depression.

Another healthcare cost, relating to HIV/AIDS response, amounts to between 24.4 billion baht and 73.2 billion baht. These costs stem from disability and lost wages, suggesting that increased intervention and prevention efforts could play an important role in strengthening Thailand's economy.

The wage gap between LGBTQI+ people and their non-LGBTQI+ counterparts produces an estimated annual cost of between 22.5 billion baht and 33.7 billion baht. This figure is higher than in neighbouring Philippines, Singapore and Vietnam.

Despite LGBTQI+ wage gaps existing across the region, research from Boston Consulting Group shows that workplace programmes in Southeast Asia supporting LGBTQI+ staff are growing at half the speed of programmes supporting women and other minorities. Currently, Thailand is the only country in the region with legislation banning LGBTQI+ discrimination in the workplace.

LGBTQI+ discrimination can negatively impact consumer export markets, talent attraction and tourism, including LGBTQI+ tourists. Countries with more positive reputations regarding LGBTQI+ rights have realised the economic opportunities for attracting more LGBTQI+ tourists.

Thailand exemplifies this, having launched an LGBTQI+ marketing programme in 2011 with support from the Thailand Tourism Authority (TAT). According to Statista, the tourism industry contributed 1.3 trillion baht in 2022, a significant increase from the previous year.

Stephanie Galera, Open for Business's head for Southeast Asia, said that His Majesty King Rama X's approval of Marriage Equality in Thailand this week was "very good news".

"We hope this supplements mechanisms through which Thailand can both improve the lives of its LGBTQ+ citizens whilst also strengthening a range of its economic indicators. This puts Bangkok in a strong position for hosting events such as WorldPride. There is excellent work being done in Thailand by civil society, business leaders and policymakers, and we hope this report can serve that further," she said.

Nikki Phinyapincha, founder of Transtalents Consulting Group, pointed out that the Rainbow Economy is not just about significant financial growth; it's a movement for economic justice. 

"It unlocks potential and empowers communities that have long been marginalised and deprived of their rightful opportunities," she explained. 

"The announcement of the Marriage Equality Law on September 24, making Thailand the first country in Southeast Asia to enact such legislation, will be a key catalyst in accelerating the development of human capital, society, and the economy on the global stage," she added.

Drew B Mallory, professor of management and organisations and Inclusion Ambassador of Sasin School of Management, highlighted Sasin's collaboration with Thai and international stakeholders this year to create the inclusion toolkit for organisations and business.

"The partnership offers practical strategies for LGBTQI+ inclusion. This report on economic inclusion provides the essential data needed to guide informed decisions behind the strategies that businesses and educators need to drive real change," he said.

Midnight Poonkasetwattana, executive director of APCOM, indicated strong support from various sectors, including the private sector, for LGBTQI+ inclusion and rights during this year's Pride Month in Thailand.

"It is undeniable that Thailand has benefited economically from its reputation as an LGBTQI+ paradise, owing to tourism, the service industry, and the BL series. A more inclusive society is a happier and more productive one. With the recent passage of the LGBTQI+ marriage equality bill by the Senate, it is time for Thailand to embrace and be empowered to include LGBTQI+ as one of its proud soft powers," he said. 

To address these disparities, the experts unanimously agreed that policymakers should consider comprehensive, inclusive policies that prioritise mental health care, wage equality, and workplace diversity. There is also a real opportunity for the private sector to take the lead in implementing LGBTQI+ inclusive programmes, as research shows diverse teams drive innovation and improve financial performance.