Easily manage employment in Thailand

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.

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.

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

Please note that any severance payment mentioned is not guaranteed and is subject to negotiation between the employer and the employee. The final amount and terms of the severance package may vary depending on the circumstances of the employment termination and mutual agreement between the parties.