Hire employees
and contractors in Thailand

Capital city
Bangkok
Currency
Thai Baht (THB)
Population size
66,558,935 (2019)
Language spoken
Thai
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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.

  • Capital city
    Bangkok
  • Currency
    Thai Baht (THB)
  • Language 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)
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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.

Thailand Map
Thailand risks illustration

Risks of misclassification

Thailand, like many other countries, treats self-employed individuals or contractors and full-time workers differently and there are risks associated with misclassification.
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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.

Public holidays

Date Holiday Name Extra information
New Year’s Day
Additional special holiday
Māgha Pūjā
Chakri Memorial Day
Songkran
Family Day
Substitution for National Labour Day Actual event is Saturday 1st May 2021
Coronation Day
Wisakha Bucha Day
H.M Queen Suthida Bajrasudhabimalalakshana's Birthday
Substitution for Asarnha Bucha Day Actual event is Saturday 24th July 2021
H.M. King Maha Vajiralongkorn Phra Vajiraklaochaoyuhua’s Birthday
H.M. Queen Sirikit The Queen Mother’s Birthday / Mother’s Day
Additional special holiday
H.M. King Bhumibol Adulyadej the Great Memorial Day
Substitution for Chulalongkorn Day Saturday 23rd October 2021
Substitution for H.M. King Bhumibol Adulyadej The Great’s Birthday/ National Day / Father’s Day
Constitution Day
New Year’s Eve
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 instalments 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.

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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.

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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
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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.
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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

Probation periods

Thai law does not specify a minimum probation period, but employers limit it to 119 days within which new employees can be dismissed without severance pay.

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