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  1. #826
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    Quote Originally Posted by Tom Sawyer View Post
    Quote Originally Posted by nostromo View Post
    Quote Originally Posted by Lostandfound View Post
    I just spend a couple of days cleaning some of my condos here as all the workers have buggered off upcountry. Six hours of my time with a vacuum cleaner and bucket etc accomplished more than five workers normally do in a day.

    The Thai cleaners work out more expensive than Uk cleaners. They aren't worth 300 baht a day. Cheaper to fly a Pole in for a month.
    Perhaps you should go into cleaning business, you seem to have a natural gift. And then you will appreciate being paid 300 baht.
    let's start a new business - with a new business plan/model: It's called "hot water" and it works magic when combined with soap!!

    Howzabout - "Thai Hot Water Cleaners" - I reckon we run it for 6 months and Central Group will buy us out at a tidy profit. Then they'll re-employ all those cleaners with the new invention "hot water" and some smug jek will walk around like his fat family figured it all out - justifying his Harvard Business School degree - or he could just open another string of coffee joints. "Sabaii Coffee" or whatever..
    What about better profit margin - this is right nasty, children go sleep - Central Group PLC can arrange someone to burn it all down again citing it was all those reds and democracy bastards and insurance companies will pay.

  2. #827
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    Quote Originally Posted by LooseBowels View Post
    Quote Originally Posted by Lostandfound View Post
    I just spend a couple of days cleaning some of my condos here as all the workers have buggered off upcountry. Six hours of my time with a vacuum cleaner and bucket etc accomplished more than five workers normally do in a day.

    The Thai cleaners work out more expensive than Uk cleaners. They aren't worth 300 baht a day. Cheaper to fly a Pole in for a month.
    Well , carry on doing it then, and let us know how long you last
    Had a very pleasant day polishing floors today. I had an old fashioned upbringing working every weekend as a kid on dad's fishing boat in Ramsgate. I was taught that a job was worth doing for the satisfaction of seeing it done well. The financial and other rewards follow from there.

    Sure it's hard work. But that's what UK cleaners do everyday and why they're mostly worth 6 quid and up an hour. The Thai cleaners work at about 20-25% of the efficiency of the cleaners I used to employ in the UK at 7 quid an hour, running a business letting and managing around 1800 properties in west/central London. With general Thai cost of living it's why they aren't worth 300 b a day - unless employed by a company that knows how to efficiently recruit, accomodate and full time manage them, which means big overhead, thus eating into their value.

    Part of it is sheer bloody laziness on the part of the Thai. If they got wanted to they could be worth more, but most of them are just happy to go with the flow and look for the easy way every time.

    Go to HomePro and you'll see eight clueless sales people, with no product knowledge beyond which line has the greatest commission, unable to speak a word of a foreign language despite 40%+ of their sales being to foreigners. They could be worth so much more than 300 b, either they have no idea or they just don't see any point in trying to be worth it. My guess is a bit of both.

    Just an observation based on what I see here every day.

  3. #828
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    Quote Originally Posted by nostromo View Post
    Quote Originally Posted by Lostandfound View Post
    I just spend a couple of days cleaning some of my condos here as all the workers have buggered off upcountry. Six hours of my time with a vacuum cleaner and bucket etc accomplished more than five workers normally do in a day.

    The Thai cleaners work out more expensive than Uk cleaners. They aren't worth 300 baht a day. Cheaper to fly a Pole in for a month.
    Perhaps you should go into cleaning business, you seem to have a natural gift. And then you will appreciate being paid 300 baht.
    Did that in London in the 1980s already. Evenings spent delivering leaflets around west London, daytimes taking calls and hiring jobcenter lads to help on the bigger jobs. Alot of the carpet and upholstery cleaning work was for flats being let / between tenants so I started a lettings business. Sold it three years ago with eight sales and lettings offices in west/central London for enough to make bloody well sure I don't have to worry about getting up at 6am to clean some other bugger's flat again.

    Seemed a lot more sensible way of living than doing the bare minimum at a snail's pace so I could piss off early if noone was watching to eat som tam and drink lao kao. Each to his own.
    Last edited by Lostandfound; 18-04-2012 at 03:33 AM.

  4. #829
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    FTI seeks delay of B300 daily wage | Bangkok Post: breakingnews

    FTI seeks delay of B300 daily wage

    The Federation of Thai Industries (FTI) will ask that the implementation of the new daily minimum wage of 300 baht throughout the country, set for Jan 1 next year, be delayed for two years until Jan 1, 2015.

    The proposal will be made at a meeting tomorrow between the FTI and Labour Minister Padermchai Sasomsap and Somkiat Chayasriwong, the permanent secretary for labour and ex-officio chairman of the Central Wage Committee, said FTI president Payungsak Chartsuthipol.

    Mr Payungsak said the adverse effects of the increase of the minimum wage to 300 baht from April 1 in seven provinces - Bangkok, Nonthaburi, Pathum Thani, Nakhon Pathom, Samut Songkhram, Samut Prakan and Phuket - would also be reported to the meeting.

    The FTI wanted the wage increase to 300 baht per day throughout the country from Jan 1 next year to be delayed until the year 2015, he said.

    Mr Payungsak said the corporate tax on small and medium enterprises (SMEs) should also be reduced by 7 per cent - the same rate of reduction from 30 per cent to 23 per cent enjoyed by large businesses.

    Corporate tax on SMEs earning 100,000 - 1 million baht per year should be reduced to 8 per cent from 15 per cent, and the tax on SMEs earning 1 - 3 million baht per year should be reduced to 18 per cent from 25 per cent, he said.

    The FTI president said there should also be soft loans of between 10 to 20 billion baht for SMEs to purchase machinery, with the interest of only 3 per cent per year for a period of five to six years.

    Sommat Khunseth, secretary-general of the FTI, said since the government has now delayed until 2014 the increase in the minimum salary for state empoyees with bachelor's degree to 15,000 baht per month, it should also defer the miminum wage increase to 300 baht per day throughout the country until the year 2015.
    "Slavery is the daughter of darkness; an ignorant people is the blind instrument of its own destruction; ambition and intrigue take advantage of the credulity and inexperience of men who have no political, economic or civil knowledge. They mistake pure illusion for reality, license for freedom, treason for patriotism, vengeance for justice."-Simón Bolívar

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    Thai-ASEAN News Network - Industry Council to Conclude Wage Hike Impact by End of Month

    Industry Council to Conclude Wage Hike Impact by End of Month

    UPDATE : 19 April 2012

    The Federation of Thai Industries will conclude the impact from the hike of the minimum daily wage on the private sector by the end of this month.

    It proposes the government set up a ten billion-baht fund to help SMEs.


    Federation of Thai Industries, or FTI, acting chairman Payungsak Chartsuthipol said the FTI is gathering information and conducting a survey to assess the impact on businesses from the increase in the daily minimum wage to 300 baht that took effect on April 1.

    Payungsak further said that the survey is expected to be completed by the end of this month. Then, the FTI will propose that related agencies devise measures to minimize the effects of the pay rise in the next few years.

    He noted that it will propose the government set up a ten billion-baht fund to assist SMEs affected by the wage hike.

    The FTI acting chairman spoke of natural disasters, both floods and earthquakes which recently took place in Thailand, assuring that relevant agencies have stepped up measures to deal with the problems and assistance has already been provided for affected residents and tourists.

    Payungsak added he is confident that the incidents will not affect business operators' confidence.

  6. #831
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    and yet in another thread they claim to have trouble finding labour ..........

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    Quote Originally Posted by Mid View Post
    and yet in another thread they claim to have trouble finding labour ..........
    From what I see here a Thai with half a brain and a strong work ethic can earn far more that 300b a day. I'd gladly pay double that for a labourer who actually put in a decent full day's work, but they are almost impossible to find.

    The trouble is the living is too easy for them. They have more than enough to get by - it literally falls off the trees for them - but they aspire to nothing more and many even less.
    Last edited by Lostandfound; 20-04-2012 at 12:17 AM.

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    ^
    Because they've been conditioned to 'know' they are only manual labourers. It's a class system - not unlike the UK's. Sure some Sombat from Issan might be able to work hard, use his wits and do better than his brothers and sisters - and many do. But the reality is that the earning band here - even working for yourself - is going to be 6,000 - 15,000 per month, with most falling into the lower end. So even an undergrad from a 'middle class' Thai-Chinese family can't earn much more than that. Kind of zaps any initiative in'it? Wealth in Thailand is gained through only one avenue - a semi-feudal and corrupt patronage system. The chinkier and more connected you are the better. And everyone in that extended family system knows which side their bread is buttered.
    My mind is not for rent to any God or Government, There's no hope for your discontent - the changes are permanent!

  9. #834
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    Minimum wage 'will go national' | Bangkok Post: news

    Minimum wage 'will go national'

    Govt vows to honour B300 pledge next year

    The government insists it will press ahead and raise minimum daily wages nationwide to 300 baht next year.

    But the pay rises will be the last minimum wage adjustment until 2015 when the Asean Economic Community (AEC) is launched, Labour Minister Padermchai Sasomsap said Friday.


    Padermchai: Last raise before 2015

    Mr Padermchai, who met with industry groups Friday to discuss the government's wage policies, said policymakers were trying to accommodate the needs of both employers and employees.

    "Some business leaders have actually proposed raising the minimum wage to 500 to 700 baht a day. But we're not doing that, since it's clear that some businesses simply couldn't adjust," he said.

    "So we're asking to raise rates to 300 baht per day, and after that, we won't have any new adjustments until the launch of the AEC."

    Mr Padermchai said authorities will meet next month to discuss possible mitigation measures for small businesses affected by the wage hike.

    Earlier this month, minimum wages in Bangkok and six other provinces were lifted to 300 baht a day.

    Wages in all other provinces, which currently range from 222 baht in Phayao to 273 baht in Chon Buri, are to be raised to 300 baht a day from the beginning of next year, representing increases of 10 per cent to 35 per cent.

    The wage rises represent a key plank of the Yingluck Shinawatra economic policy platform. Authorities expect that higher minimum wages will help increase spending power among low-income workers, while encouraging companies to invest more in skills training, machinery and productivity improvements to help spur overall economic growth.

    But industry groups have lobbied heavily against the plan, arguing that the wage boost will result in bankruptcies, layoffs and capital flight to lower-cost neighbouring countries.

    Federation of Thai Industries (FTI) secretary-general Sommart Khunset warned that many businesses may have to close due to higher labour costs.

    Larger companies, particularly those in labour-intensive industries, will likely shift their manufacturing bases to lower-cost countries in the region, he added.

    The FTI has drafted a nine-point plan in response to the government's wage policy, including that the increase be delayed by two years to 2015, a call to establish a low-interest loan fund of 10-20 billion baht to help small businesses upgrade their technology and the easing of restrictions on the use of foreign labour.

    Other proposals include a call to lower corporate income taxes for small businesses to 15 per cent to 18 per cent, reduce current payments to a state-run workers' disability fund and bring down taxes for commercial properties.

    Tanit Sorat, an FTI vice-chairman, said the federation also wants the government to separate wage policies from politics.

    "We want a law or ministerial announcement that will stipulate that politics should not use wage policies as part of campaigning and to pressure the private sector," he said.

    "If we change governments again within the next two or three years, and we see another wage policy enacted, the private sector will find it very hard indeed to adjust."

    Small businesses, who represent the overwhelming majority of Thailand's companies, are expected to be among the hardest hit by the wage increases.

    Phumin Harinsut, another FTI vice-chairman, estimated that the wage hikes and subsequent boost in consumer spending could help push economic growth higher by 1.3 to 1.4 percentage points next year.

    Higher growth in turn will help raise tax revenues by an additional 35 to 40 billion baht, which could be used to help finance assistance funds for small businesses.

    Mr Phumin noted that 60 per cent of small- and medium-sized businesses were outside of the corporate tax system and therefore received no benefits from the government's existing tax rate cut.

    The government slashed the corporate tax rate to 23 per cent from 30 per cent this year and will reduce the rate to 20 per cent beginning in 2013.

  10. #835
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    FTI'S 9-Point growth plan to be put under review | Bangkok Post: news

    FTI'S 9-Point growth plan to be put under review

    The government will take into consideration the Federation of Thai Industries' nine-point plan formed as a response to the 300 baht minimum wage policy, acting government spokesman Anusorn Eiamsa-ard said.

    Mr Anusorn said the government had thanked FTI president Phayungsak Chatsutthipol for closely working with the administration and taking part in drafting the plan.

    ''The government is willing to listen to the FTI's opinions because the industrial sector has a great role in pushing the economic growth of the country,'' he said.

    One of the FTI's proposals is for the government to delay increasing the minimum wage in 70 provices until 2015.

    It also wants the government to set up a low-interest loan fund of 10-20 billion baht to help small businesses upgrade their technology and ease their difficulties in finding foreign labour.

    Other proposals include a call to lower corporate income taxes for small businesses from 25% to 18 % in the first year, reduce current payments to a state-run workers' disability fund and bring down taxes for commercial properties.

    Mr Anusorn insisted the government would stick to its election campaign pledge to increase the daily wage to 300 baht as it would help increase the country's potential to compete in foreign markets and support workers.

    Mr Anusorn said that apart from the 300 baht wage increase, the government plans to develop the vocational skills of Thai labourers so they can have the chance to work overseas when the Asean Economic Community (AEC) begins in 2015.

    Mr Anusorn also called on domestic businesses to upgrade their operations so that they can be competitive in the AEC, which focuses on the free flow of investment and labour across the region.

  11. #836
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    Workers 'unable to pay bills' despite pay rise - The Nation

    Workers 'unable to pay bills' despite pay rise

    Petchanet Pratruangkrai
    The Nation April 27, 2012 1:00 am

    Despite the increase in the daily minimum wage to Bt300, blue-collar workers' debts have risen this year due to the effects of last year's floods and the rising cost of living, according to a survey by the University of the Thai Chamber of Commerce (UTCC).

    The survey showed the debt burden on Thai working families increased from Bt87.64 billion in 2011 to Bt91.71 billion this year. The debt level this year is the highest since the survey was launched in 2009.

    The UTCC said the increase in the daily minimum wage to Bt300 would encourage the country's economy to grow by another 0.5 percentage point, as Bt70-Bt80 billion will be injected into the economy. Spending by Thai people during Labour Day on Tuesday is expected to rise by 10.53 per cent to Bt1.79 billion this year, it said. "Thai labourers still have inadequate income to cover their daily expenses, despite the government's policy to raise the daily minimum wage to Bt300 on April 1. Although some labourers are satisfied with the higher income, most still feel they cannot cover their daily expenses," said Thanavath Phonvichai, director of the UTCC's Economic and Business Forecasting Centre.

    Thoug PM Yingluck Shinawatra has expressed concern over the high cost of living, the government has not come up with any concrete plans.

    Based on the survey of 1,198 sample workers, labourers' debt burdens have increased this year, most of it owed to banks and loan sharks. Individual workers' average monthly debts have risen from Bt5,263 last year to Bt5,773 this year. The high debts have led to lower savings.

    Thanavath pointed out that Thai workers feel their rising incomes do not cover their daily expenses due to skyrocketing prices of goods and fuel, and interest rate hikes. To solve the problem, workers have to borrow more and draw on their savings.

    Most of the 5 million workers covered by the new minimum wage want their pay to rise further, in line with their spending, Thanavath said.

    A suitable minimum wage for daily workers this year is seen as Bt356.68, the survey showed. Workers also said the minimum wage should be set at Bt435 a day in the first three years after the Asean Economic Community takes effect in 2015, and at Bt546 for the following five years.

    However, workers are also concerned about their employers' cost burden, and about job security, Thanavath said. About 25 per cent of respondents want incomes to rise every year and 16 per cent wanted to see rises every two years. About 15 per cent said they didn't want the minimum wage to rise above Bt300, as they were worried employers would hire cheaper foreign workers.

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    http://www.bangkokpost.com/breakingn...es-life-better

    Poll: Wage hike makes life better

    More than 60 per cent of workers polled recently believed the government’s 300 baht minimum wage policy would make their life better, Bangkok Poll at Bangkok University said on Friday.

    The pollster conducted a survey on “the life of labourers after getting paid a 300 baht daily minimum wage” from April 23 to 26, seeking opinions from 1,180 workers in Bangkok and nearby provinces.

    Bangkok Poll reported that 60.7 per cent of the polled workers said their living standards had improved, 36.5 per cent of them believed there was impovement and 2.8 per cent said it was worsening.

    A total of 79.1 per cent of the respondents said they have received the new wage rate, but 20.9 per cent of them have not got it because their employers have not yet approved the rate.

    Asked whether their working life changed or would change after the higher wage was implemented, 82.4 per cent said no change, 15.4 per cent said they had to work harder and 1.3 per cent said they worked less than before.

    Half, 49.9 per cent of the respondents, did not believe the wage increase would cause problems for manufacturers or force them to close down, 26.9 per cent of them believed employers’ profits would drop, 23.0 per cent said businessed would extra gain more profits, 1.4 per cent said their employer could face a loss and 0.8 per cent said the factory could close down.

    Questioned whether the wage rise would help ease the problem of social inequality, 54.9 per cent of the labourers said yes but 45.1 per cent of them disagreed.

    A total of 93.2 per cent of the respondents backed the 300 baht minimum wage hike nationwide but 6.8 per cent of them opposed.

    The polled workers wanted the government to oversee and improve welfare of labouers, ensure that the employers would abide by the law and improve their quality of life.

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    Thai-ASEAN News Network - Ministry Affirms Aid for Employers over Wage Hike Impact



    Ministry Affirms Aid for Employers over Wage Hike Impact

    UPDATE : 30 April 2012

    The Labor Ministry affirms measures to help out businesses affected by the government's 300-baht minimum wage increase policy. Meanwhile, no complaints have been received by the ministry about employers' refusal to pay the new rate.

    Labor Minister Padermchai Sasomsap said his ministry has not yet received any complaints about employers refusing to raise the daily minimum wage to 300 baht according to the government's policy, which went into effect on April 1 in seven pilot provinces.

    Padermchai noted the wage increase is necessary because the rate has not been adjusted since last August while the cost of living has continued to rise.

    The wage increase did not come without measures to assist employers as the government also reduced the corporate income tax from 30 percent to 23 percent, which went into effect January 1, and cut SMEs' contributions to the Social Security Fund from five percent to three percent.

    In addition, the government is offering soft loans to businesses facing financial difficulties or affected by the wage increase policy.

    Padermchai added their complaints are also welcome so that the ministry can arrange for workshops to come up with further solutions and aid measures.

    Meanwhile, Thailand's unemployment rate has recently dropped from 0.4 percent to 0.3 percent, according the ministry.

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    Factory staff, families still struggling | Bangkok Post: news

    Factory staff, families still struggling


    Many factory workers say they are not much better off financially after the 300-baht daily wage hike, now in its first month of launch.

    The hike simply cannot keep up with the runaway consumer prices, the workers say.

    Despite the wage increase, they still keep their belts tightened just as hard.

    The simple maths of multiplying the 300 baht by 30 days is simplistic, said Suchada Panchana, 44, a factory worker in Om Noi of Samut Prakan.

    Workers do not get paid on their off-days and they work for 26 days in a given month at most.

    Ms Suchada said her wage used to be 215 baht a day before the hike was implemented on April 1. Even with a higher wage, her family is struggling to cope.

    When everything is deducted, her pay comes to around 8,000 baht a month. Her husband earns a little more than she does. His income covers the rest of the family expenses including the monthly instalment for the family's pickup. At the end of the month, the family is left with a small amount of savings.

    ''I jot down the expenses and compare prices of household items to see what are costing more. Our expenses from cooking oil to the electricity bill are between 12,000-14,000 baht a month,'' she said.

    Each day, she gives her children 100 baht each for bus fares and meals. They also have to save up to buy their own school uniforms.

    Ms Suchada said she spends 50 baht a day on breakfast and lunch at the factory. Since the wage hike took effect, the factory has cut back on overtime, which accounted for 25% of a worker's earnings.

    Saengdao Lunsorb, 43, a garment factory worker, said the 300-baht wage does not help, as expenses still exceed her income. She initially turned to loan sharks who charge her 20% interest a month.

    Labour Minister Padermchai Sasomsap said the government was working on curbing the rising costs of living.

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    Hard to see how anyone could 'feel' the effects of something a day or a month after it happened. But of course, as we know, the idea is to deride the rise in minimum wage and promote the industry/Democrat/Chink view.

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    Thai economy is "Tight"...not as in Virgin but as in there are more jobs than people ...Reason is the employers are not paying enough and the only people likely to take up the jobs are immigrants...

    A minimum wage of 300 baht makes sense...reduces the short term profit made by the greedy but increases the productivity and overall profit in the long run...as well as GDP from internal revenue as well as exports and other benefits I can't be bothered to write about...

    Basically when someone has been through the internal education system and treated like "pond life"..as in made to work 5 days a work + 2 Saturdays a month for 11 hours a day...and gets paid less than 300 baht per day...they either leave the Country or find a more profitable way to live....

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    Quote Originally Posted by StrontiumDog
    His income covers the rest of the family expenses including the monthly instalment for the family's pickup.
    Why does the family need a pickup?
    The family is living beyonds its means. Give them more and they will probably just go out and increase their debt.
    I don't know how to educate people to save for their purchases rather than just borrow.

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    Quote Originally Posted by StrontiumDog
    Each day, she gives her children 100 baht each for bus fares and meals.
    get them a bicycle and take their school lunches from home.

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    Higher living costs eat up hike in daily wage - The Nation

    Higher living costs eat up hike in daily wage

    THE NATION May 1, 2012 1:00 am


    The Labour Ministry will monitor the cost of living over the next three months to determine if any additional adjustment is needed to the minimum daily wage.

    From April 1, workers in seven provinces have already earned at least Bt300 a day thanks to a significant hike pushed by the Pheu Thai-led government and approved by the Central Wage Committee.

    And the daily minimum wage will soar to Bt300 in 70 other provinces from next January.

    However, a recent survey suggests workers have not really benefited from the significant wage hike because product prices have also jumped.

    "I have already signed an order instructing provincial labour chiefs to survey the cost of living in their respective provinces within three months," permanent secretary at the Labour Ministry Somkiat Chayasriwong said. This should |be done within three months.

    "In July, we should obtain information to determine how to tackle problems relating to the cost of living."

    The Bank of Thailand said yesterday inflation was expected to be 3.7 per cent over the next 12 months, up from 3.5 per cent in February.

    ENERGY PRICE THE PROBLEM?

    However, Somkiat yesterday sought to downplay growing criticism that the government policy to raise the daily minimum wage had pushed up the cost of living.

    "The main factor behind the soaring cost of living is the increasing energy price," he said.

    Somkiat said when the energy price rises, the electricity price, bus fares and transport costs climb too.

    "But on the bright side, the increased wage has eased the expense burden on workers," he said.

    Somkiat said workers would be suffering more if the daily minimum wage had not increased significantly.

    He said the move to push for a Bt300 a day minimum wage took into account the fact workers have struggled with soaring costs in the past. "Their debt problems have accumulated over years."

    While the Central Wage Committee planned to not raise the daily minimum wage for two years after the rate reached Bt300, the committee would review the plan if needed. "If the cost of living has drastically changed, a review is possible," he said.

    Thailand Development Research Institute (TDRI) labour-development research director, Dr Yongyuth Chalamwong, said the current wage-hike policy could endanger many businesses and make workers uncomfortable.

    The policy, after all, also involved two years of no wage hikes afterward.

    "It won't be really fair to workers because the cost of living will keep rising," Yongyuth said.

    He believed it would be better if the government gradually increased the wage as that would mean employers had more time to adjust.

    Yongyuth recommended three options for authorities to consider. One was in line with a suggestion by the Federation of Thai Industries (FTI), which suggested the daily minimum wage of Bt300 should take effect across the country in January 2015. For provinces where the daily minimum wage was already above Bt300 by then, it should be adjusted up - in line with the consumer price index (CPI), which the Commerce Ministry compiles every year.

    WAGE ADJUSTMENT CALLED FOR

    Two other options recommended by Yongyuth also call for adjustment to the daily minimum wage based on the CPI. Without such adjustment, no matter how much the wage rate soared, it was possible remaining workers would become poorer.

    Although there's much debate about true benefits of the government policy to provide the Bt300 daily minimum wage, Prime Minister Yingluck Shinawatra plans to highlight it today - Labour Day. "We have already raised the daily minimum wage to Bt300 in seven provinces. We are going to ensure the same rate for other provinces by 2013," she said.

    The National Congress of Thai Labour and the Thai Labour Solidarity Committee are set to hold separate rallies and seminars to mark Labour Day. They are preparing to call attention to workers' grievances, especially soaring product prices.

    More than 40 per cent of the labour force say they are facing greater hardship than last year after being affected by the great flood and the rising cost of living, according to the latest survey by a Suan Dusit Poll. The poll was conducted between April 25-30 and involved 1,440 workers in major provinces around the country.

    Asked how their living conditions compared to 2011, 44 per cent said they faced more hardship as a result of last year's flood and the higher cost of living; 32 per cent said living conditions were about the same; and 24 per cent said things had improved following a wage rise and promotion.

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    Development think-tank warns wage hike flawed | Bangkok Post: news

    Development think-tank warns wage hike flawed

    The government's minimum wage policy could have a drastic impact on the economy and workers alike, Thailand Development Research Institute economists have warned.

    Yongyuth Chalamwong, a labour expert at the TDRI, said hiking minimum wages to 300 baht nationwide from January will be "a massive aftershock" as the wage rise affects businesses operating across the country.

    The wage rise was implemented in seven pilot provinces, including Bangkok, last month.

    Those workers will face a loss of purchasing power and income if their wages are frozen and not adjusted further to cope with inflation, he said.

    The government has said that once daily minimum wages are raised to 300 baht nationwide, no further increase will be made until after the launch of the Asean Economic Community in 2015.

    But Dr Yongyuth said the wage policy is flawed, as businesses were given insufficient time to cope with the pay rises, which amount to an increase of as much as 40%.

    Workers, on the other hand, are also at a disadvantage if wages are frozen for two years without consideration of inflation.

    The TDRI estimates that real wages, after adjusting for inflation, will actually be just 293 baht per day for workers in Bangkok, 290 baht for workers in Nakhon Pathom, 292 baht for workers in Nonthaburi, 289 baht for Samut Prakan and Phuket and 287 baht per day for Samut Sakhon.

    Dr Yongyuth suggested the government consider phasing in the minimum wage increases, starting with hikes of 27 to 55 baht for 18 provinces in 2013 and followed by raises of 56 to 78 baht for the remaining 52 provinces in 2014.

    At the same time, workers in Bangkok and other provinces already receiving wage hikes would still receive wage adjustments in line with living expenses.

    "This option is the minimum necessary to ensure workers receiving the 300-baht minimum wage don't become poorer than before," Dr Yongyuth said. "Each province will have wages hiked in line with inflation. At the same time, it eases the burden for the private sector."

    Another option would be a one-time hike of 40% in minimum wages, followed by annual adjustments in line with inflation. This approach would result in Ang Thong becoming the last province to reach the 300-baht level in 2022, with Lampang boasting the highest wages at 564 baht and Bangkok having a minimum wage of 431 baht.

    A third option, favoured by the Federation of Thai Industries, would delay the 300-baht policy to 2015 but maintain annual adjustments in line with inflation. Dr Yongyuth said businesses, particularly small firms, would have added time to adjust to rising labour costs.

    Finance Minister Kittiratt Na-ranong said the global increase in energy prices and massive liquidity pumped into the economy by central banks across the world would have an upwards impact on prices.

    The government would try to constrain inflation by encouraging fair competition in the market, and target subsidies as necessary to consumers.

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    120,000 SMEs to go under | Bangkok Post: news

    120,000 SMEs to go under

    The new 300-baht minimum wage could prove fatal for up to 120,000 small and medium-sized enterprises in the next 18 months, research suggests.

    Kiat-anan Luankaew, director of Durakij Pundit University's research centre, said 10-15% of SMEs, or between 80,000 and 120,000, are at risk of closing down following the introduction of the 300-baht daily pay rate.

    He said the study focused on SMEs in the seven provinces with the highest costs of living where the new wage has been adopted. The seven provinces are Bangkok, its five neighbour provinces, and Phuket.

    Based on the study's findings, the wage hike has raised production costs by 16.2% on average.

    Mr Kiat-anan said consumer goods prices have increased by 13.8% on average, which is 2.4% below the production costs. SMEs must find ways to meet the difference, he said.

    SMEs' sales volume fell to 9.2% from 13.7%, while costs shot up to 52.2% from 41.1% between the first and second quarter, the study found.

    It saw that operators are adjusting by increasing efficiency and regulating costs. However, rising electricity costs are likely to worsen the situation and many SMEs may opt to downsize their businesses.

    About 45% of the operators will consider replacing manual labour with machinery, while 36% will increase working hours for workers. About 15.5% will switch to productivity-based pay models.

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    PM vows to speed up improving quality of life for workers

    PM vows to speed up improving quality of life for workers

    วันอังคาร ที่ 01 พ.ค. 2555



    BANGKOK, May 1 -- Prime Minister Yingluck Shinawatra on Tuesday vowed to speed up improving the quality of life for Thailand’s workers while promising that the Bt300 minimum wage would cover all provinces nationwide within the coming year.

    In her televised Labour Day address, the premier thanked workers for playing a crucial role in the nation's economic and social development.

    She said the government has implemented various measures to help improve the ability of workers to cope with the rapid change of the economy and society that results from internal and external factors.

    The government wants workers to have suitable welfare, better safety, and good occupational health and environment in the workplace, she said.

    To ensure security and a better quality of life, she said the Bt300 minimum wage has been implemented in seven provinces and will cover all provinces by the end of 2013.

    The premier said that so-called white factory and industrial estate projects have been implemented as part of measures to prevent drug use in the workplace, the government has also encouraged companies to observe the higher labour standards and develop improved welfare for workers.

    The government also supports establishing a labour relations plan to effectively help end the conflict between employers and employees with fairness and within the legal framework.

    She said the government has supported skill training for workers, particularly language skills, to prepare Thai labour for implementation of the ASEAN Economic Community in 2015. (MCOT online news)

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    Quote Originally Posted by StrontiumDog
    Thailand Development Research Institute
    Enuff said.

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    Related to this issue, and at risk of sounding like a flaming Socialist, there is something wrong about the following, IMHO.

    This applies to both Mexico and Thailand.

    The whole notion of High end resorts on their respective coast charging customers Western prices, but paying local wages. If the input is one currency, the output should be as well.

    I got a chuckle out of these fat-cat resort investors and owners complaining about needing to up the salaries of their staff by a few measly Baht, while they charge Western levels for their services.

    Some Thai's around here said, if they don't like it, leave as they threatened.

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    Quote Originally Posted by Calgary View Post
    Related to this issue, and at risk of sounding like a flaming Socialist, there is something wrong about the following, IMHO.

    This applies to both Mexico and Thailand.

    The whole notion of High end resorts on their respective coast charging customers Western prices, but paying local wages. If the input is one currency, the output should be as well.

    I got a chuckle out of these fat-cat resort investors and owners complaining about needing to up the salaries of their staff by a few measly Baht, while they charge Western levels for their services.

    Some Thai's around here said, if they don't like it, leave as they threatened.

    A 30 m2 room at the The Westin Hilton Head Island Resort & Spa will run you USD 309 a night.

    A 50 m2 room at the The Westin Siray Bay Resort & Spa, Phuket will run you USD 122.

    Seems you don't know anything more about the ecomonic fo the resort business than you do about Thai politics.

    TH

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