The decision of the National Wage Committee, which was announced this week, also applies to workers in most hotels and entertainment venues across the country, according to Bangkok Post.
The new wage is expected to benefit approximately 700,000 workers nationwide.
It will be a 7.5% increase from the current minimum wage of THB372 in Bangkok and surrounding provinces.
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Kitchen staff work in a restaurant in Bangkok, Thailand in June 2023. Photo by AFP |
The THB400 rate is currently applied only in Phuket, Chon Buri, Rayong, Chachoengsao, and the tourist island of Koh Samui.
The wage increase was supported by a two-thirds majority of the committee members after a three-hour debate, according to chairman Boonsong Thapchaiyut, who also serves as the permanent secretary of the Ministry of Labour.
Boonsong said that the THB400 daily wage would apply nationwide to tourism and entertainment businesses, including hotels rated two stars and above, or those with more than 50 rooms or a restaurant.
“The wage adjustment begins with the tourism and service sectors where employers are less likely to feel financial pressure,” he said.
To help ease the burden on businesses, the Ministry of Labor has partnered with six commercial banks to offer THB30 billion in soft loans. Additional relief measures are also under discussion.
The effect on Thailand’s retail industry, particularly in Bangkok, is anticipated to be minimal, as the capital’s wage constitutes about one-third of the sector’s overall sales, according to an analysis by Finansia Syrus Securities, as reported by Kaohoon International.
Additionally, the majority of major retail businesses in Bangkok are already paying wages higher than the existing minimum wage, it added.
