Hire employees and contractors in Thailand
Remote’s guide to employing in Thailand.
Capital city
Bangkok
Currency
Thai baht
(฿, THB)Population size
66,558,935
(est. 2019)Languages spoken
Thai
Facts & Stats
The Kingdom of Thailand is a constitutional monarchy with a parliamentary democracy that’s recorded over a thousand years of rich cultural history.
Famous for its monasteries, temples, floating markets, some of the world’s best street food, and unparalleled biodiversity, Thailand boasts even more economically, with Southeast Asia’s second-largest economy, advanced human development rankings, a fully diversified economy.
Capital city
Bangkok
Currency
Thai baht
(฿, THB)Languages spoken
Thai
Population size
66,558,935 (est. 2019)
Ease of doing business
Medium
Cost of living index
49.32 (2021)
Payroll frequency
Monthly
VAT - standard rate
7%
GDP - real growth rate
2.4 (2019)
Grow your team in Thailand with Remote
Remote currently offers contractor payment and management services in Thailand. We are busy building our own entity in the country to provide you with best possible employment solutions for your employees.
Employing in Thailand
Thailand’s Labor Protection Act of 1998 spells out provisions for employee protections and workers’ rights designed to fight inequality and safeguard Thailand’s workforce of 38.4 million. Employees in Thailand enjoy protections against discrimination based on age, religion, sexual orientation, gender expression, and race.
Common questions that could come up during the hiring process include minimum wage, overtime rates, and guaranteed paid time off. Remote can help you offer a complete, competitive, and compliant benefits package to your employees in Thailand.
Minimum Wage
The Thai minimum wage is fixed regionally, ranging from 331 THB to 336 THB per day ($10.13 – 10.28).
Payroll Cycle
For customers of Remote, all employee payments will be made in equal monthly installments on or before the last working day of each calendar month, payable in arrears.
Work Rules
Employers with 10 or more staff must have the work rules prepared in Thai language with a copy to be held at the place of business operations or the employer’s office.
Onboarding Time
We can help you get a new employee started in Thailand fast. The minimum onboarding time we need is only 20 working days.
Our team ensures your employees are onboarded and paid as quickly as possible while keeping your business compliant with all local employment legislation. The minimum onboarding time begins after the employee submits all required information onto the Remote platform. The onboarding timeline is also dependent upon registration with local authorities.
For all non-nationals of the country of employment, the Right to Work assessment (if applicable) will add three extra days to the total time to onboard. There may be extra time required if we need to follow-up on the right to work assessment.
Please note, payroll cut-off dates can impact the actual first day of employment. Remote has a payroll cut-off date of the 10th of the month unless otherwise specified.
Competitive benefits package in Thailand
Remote can help you provide a competitive and compliant benefits package for your employees in Thailand. If you have questions or would like to offer a custom benefit, let us know and we can help.
- Medical insurance plan
- Dental insurance plan
- Vision insurance plan
- Additional paid holidays
- Flexible work schedule
- Pension scheme
- Life insurance
- Other insurance
Taxes in Thailand
Learn how employment taxes affect your payroll and your employees’ paychecks in Thailand.
Employer
3% - Pension contribution
1.5% - Health insurance
0.5% - Unemployment insurance
0.2% - 1% - Work injury insurance contribution
Employee
3% - Pension contribution
1.5% - Health insurance
0.5% - Unemployment insurance
Personal income tax rates
0% - 0 to 150,000 THB
5% - 150,001 to 300,000 THB
10% - 300,001 to 500,000 THB
15% - 500,001 to 750,000 THB
20% - 750,001 to 1,000,000 THB
25% - 1,000,001 to 2,000,000 THB
30% - 2,000,001 to 5,000,000 THB
35% - Over 5,000,000 THB
Types of leave
Paid time off
Employees are entitled to 6 days off annually after working an entire year for an employer, or a prorated number of days for the duration worked, i.e., roughly 1 day per 2 months worked.
Public holidays
There are 16 public holidays.
Sick leave
Remote must allow an employee to take sick leave for as long as the sickness actually lasts and must pay the employee their wage for a day of sick leave at a rate equal to the wage for a normal working day for the entire period of time taken as sick leave, but not exceeding 30 working days each year.
For medical leave of three working days or more, the employer may require the employee to produce a medical certificate from a doctor or from a government medical facility. When the employee is unable to produce a medical certificate from a doctor of first class modern medicine or from a government medical facility, the employee shall give an explanation.
Maternity leave
Female employees are entitled to 98 days of maternity leave, with the first 45 days paid for by the employer, and the rest compensated by the government social security fund.
Pregnant employees can request assignment to less strenuous duties to help maintain their health.
Paternity/Parental leave
Although government employees are entitled to 15 days of paternity leave annually, there are no provisions under Thai employment law for private employees to take time off work for parental or paternity leave.
Education leave
Employees can take unpaid time off work to undergo training related to their work, or to undergo government-mandated skills assessment programs.
Other leave
- Personal business leave: Employees are entitled to three days of business leave annually to enable them to attend to their personal affairs.
- Sterilization leave: Employees can request paid time off to undergo sterilization, if the procedure is certifiably required by a medical practitioner.
- Military service leave: Employees can take up to 60 days off for military exercises, compensated at the basic pay rate.
Employment termination
Termination process
Employee contracts can be terminated if a just cause is established, such as dishonesty, negligence, fraud, or any other work-related offences, without any obligation to make severance payments.
Employees who’ve been employed for less than 120 days can be terminated without cause or any obligation to make severance payments.
Notice period
The employer must ordinarily give advance notice of at least one full payment cycle (i.e 30 days), which is legally required for indefinite contracts; but no more than 3 months, unless the contract/ work rules provide for a longer period.
Severance pay
If an employee is terminated without just cause are entitled to a severance package equivalent to their tenure with the employer.
- 120 days – less than one year: 30 days’ pay
- 1 – less than 3 years: 90 days’ pay
- 3 – less than 6 years: 180 days’ pay
- 6 – less than 10 years: 240 days’ pay
- 10 – less than 20 years: 300 days’ pay
- 20 years and above: 400 days’ pay
