Myanmar Migrant Workers Cheer as Pheu Thai Pledges 400 Baht Minimum Wage Boost
Today the Ministry of Labour There will be a tripartite committee meeting to raise the minimum wage to 400 baht nationwide. After collapsing twice before, the Pheu Thai government During the time of Prime Minister Settha Thavisin, it has raised the minimum wage twice, the first time, on January 1, it increased the minimum wage nationwide for 17 positions to 330-370 baht per day minimum wage to 400 baht per day only for hotels with no more than 50 employees in 10 tourist provinces and will raise the minimum wage to 400 baht per day on October 1 and increase annually to 600 baht per day in 2027 in response to the political campaign policies In the middle, the Thai economy is growing at a low pace, below its potential. by the traction of the policies of the political party that became the government
The push to raise the minimum wage to 400 baht a day by the then Pheu Thai government Prime Minister Pae Thongthan Shinawatra has received strong opposition today. From industry players across every sector From manufacturing to service sector Why Thai workers don’t get many benefits But there are more than 6.8 million foreign workers in Thailand. will receive full benefits
Thanit Sorat, vice-chairman of the Council of Employers’ Organization give an opinion that The political sector that dominates wage adjustments In the long run is not beneficial to the country. and affect the country’s ability to compete Both Thailand’s investment and exports have grown below their potential. The Thai labor market has 3.342 million legal foreign workers, 70.1% of whom are 2.3 million Burmese workers. These workers have benefited from the increase in the minimum wage. In the short term, this translates into higher income. and followed by inflation and employment in the future will decline This is the third increase in the minimum wage this year. The political sector has set the threshold at 400 baht per day. Next year it will increase to the ceiling of 600 baht without using a wage formula or economic conditions. Politics can campaign for any minimum wage.
Mr. Pipat Rerksahakul, chairman of the Eastern Region Industrial Council Zone 2 (Prachinburi, Sa Kaeo, Chanthaburi, Trat), also opposed it, saying Raising the minimum wage to 400 baht per day will not benefit Thai workers. Because the wage is already more than 400 baht per day. Foreign workers will get all the benefits. and affect investment Eventually, investors will turn to invest in other countries. and may shift production bases. Today Vietnam has become the most attractive country for investment, low wages, cheap electricity and has more free trade agreements than Thailand. There are more people of working age than in Thailand.
Last year, MI Group conducted a research on “Treasure Analysis of Burmese Workers in Thailand” indicates that there are up to 6.8 million Burmese workers who come to work in Thailand, both legally and illegally. Creating an economic value of between 820 and 1.2 trillion baht per year. Distributed along the border and industrial zones There are over 1.85 million registered people, accounting for 67% of the 2.76 million registered foreign workers (in 2024, registration will increase to 3.28 million people) with an income of between 10,000 and 15,000 baht per month Laborers 39%, construction workers 18%, sales workers 15%, farmers 11%, general contractors 9% (now also waitresses)
The most popular leisure activities of Burmese workers are: Shopping and surfing the Internet. Research found that 74% of Burmese workers in Thailand have “shopped online” on Lazada, Shopee, Tiktok.
What is interesting is this Burmese workers in Thailand save up to 44% of their income. About two-thirds of these savings are sent back home to Myanmar for personal use. A third are more men than women, with an average age of 25-34. The goal is to go back and settle into life in Myanmar. By raising the minimum wage from 400 to 600 baht over the next 3 years, 6.8 million Myanmar workers will receive full benefits and thanks to the “Pheu Thai Party” for helping to increase their income, while many poor Thais Ten million people are in debt worth more than 16 trillion baht, 91% of GDP. Who helps the Pheu Thai Party?
“The wind changes direction”
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