Business leaders want outdated laws scrapped but concerned over wage hikes
Industry leaders are looking forward to the removal of outdated laws to make it easier for them to do business as promised by the Move Forward Party during its election campaign, but they are worried that implementation of wage hikes would hit small and medium-sized enterprises (SMEs) hard.
The business leaders said they welcomed the formation of a coalition government led by election winner Move Forward Party, and hoped the next administration would take office soon to start driving Thailand’s economy to stability and sustainability.
Kriangkrai Thiennukul, president of the Federation of Thai Industry (FTI), said although PM candidate Pita Limjaroen is young and inexperienced, he must be given a chance to run the country as the next prime minister now that his Move Forward Party has won the highest number of MPs.
Kriangkrai is also a member of the joint working committee of the FTI, the Thai Chamber of Commerce (TCC) and the Thai Bankers Association (TBA).
He said the business sector would like to see a new government formed soon to restore local and foreign investors’ confidence in the kingdom.
If the government formation is delayed, foreign investors might move their production bases elsewhere, Kriangkrai added.
He said the joint committee of the FTI, the TCC and the TBA would like the next government to address six major issues – competitiveness, ease of doing business, digital transformation, human resource development, SMEs, and sustainability.
He said the joint committee would seek a chance to meet the next government to coordinate work between the private sector and government to drive the country’s economy efficiently.
Kriangkrai said the Move Forward-led coalition has policies that would meet the demands of the business sector, including reduction of power bills and oil prices as well as crackdown on corruption.
In particular, the business sector would urge Move Forward to eliminate about 1,000 pieces of outdated laws, which would make it easier to do business and improve Thailand’s global competitiveness.
He added that the business sector would also welcome the creation of a digital administration.
Kriangkrai, however, voiced concerns on the plan to hike the minimum wage by the next government.
Move Forward had promised during its election campaigns that the daily minimum wage would be raised to 450 baht within 100 days of its taking office, while the Pheu Thai Party, a key coalition partner, promised to raise the daily minimum wage to 600 baht by 2027.
Kriangkrai warned that if the next government would raise the daily minimum wage without taking into account inflation rates of the provinces, the government would have to come up with measures to help SMEs or they would go bankrupt.
The next government must urgently enact the budget bill and enforce its economic policies, which would have to be synchronised with the policies of all coalition partners, he said.
“The private sector expects Thailand to be run by an elected government with transparency and stability during the next four years,” Sanan said.
He said the chamber would be willing to work with the next government for the benefit of the country.
Meanwhile, Charlie Loysung, an adviser to the Thai Labour Relations Committee, said said labourers had started asking about the promise of a wage hike.
He said if the Move Forward government failed to keep its promise to raise the daily minimum wage to 450 baht within 100 days, it would lose credibility.
Move Forward also has promised to liberalise the making of liquor to help small producers compete against large makers.
Kriangkrai Pattanaporn, deputy director-general of the Excise Department, said his department would be ready to respond to the liberal liquor policy of Move Forward.
“The department is ready to take up the policy and compile a list of pros and cons for the next government to deliberate on,” he said.
Meanwhile Achirawat Wansrisawad, president of the Thai Craft Beer Association, said he hoped that Move Forward would keep its promise of liberalising liquor and beer making within 100 days of taking office.
He hoped the next government would ask the Finance Ministry to issue new directives to allow communities to make their own whisky and all kinds of liquor soon.
Meanwhile, the tourism sector is hoping that the next government would stimulate tourism within 100 days of taking office.
Chamnarn added that the council also hopes to see the next government make tourism a national agenda with cooperation from all concerned ministries.
He said earlier medium and large businesses in major tourism provinces, such as Phuket, Krabi, Chiang Mai and Chonburi, stood to gain from tourism stimulus packages.
He said his council hopes the next government would issue measures that would benefit local people in second-tier provinces as well.
