Thai PM evaluates potential wage increase for civil servants without price hike
Prime Minister Srettha Thavisin yesterday declared that an evaluation was underway to determine the feasibility of increasing wages for civil servants and government employees. However, he dismissed the notion that such a hike would lead to a rise in consumer goods prices.
The prime minister’s comments came in response to inquiries concerning the potential inflationary effects of the proposed wage hike, following a Cabinet meeting. Despite ongoing deliberations, the Thai PM emphasised that an immediate increase in salaries should not be anticipated.
The 61 year old Thai prime minister further noted that the prices of goods have not seen any increase yet, with the Department of Internal Trade overseeing the situation.
An additional point of interest is Pheu Thai’s economic policy pledge to raise the daily national minimum wage to 600 baht and set the minimum monthly salary for individuals with a bachelor’s degree at 25,000 baht. This policy was a central commitment during Pheu Thai’s election campaign, which also promised the creation of 20 million jobs and a digital handout of 10,000 baht.
During the party’s election campaign in December last year, the head of the Pheu Thai family, Paetongtarn Shinawatra, pledged to make the wage guarantee a part of her vision for the nation’s future by 2027, should her party secure the mandate to form the government after the General Election, reported Bangkok Post.
However, Paetongtarn cautioned that a sudden increase in minimum wages would not necessarily enhance economic growth and could potentially raise the cost of business operations. She clarified that the minimum wage would be adjusted when the economy was ready.
Paopoom Rojanasakul, deputy secretary-general of Pheu Thai Party and director of the Pheu Thai Party Policy Center, on February 28, noted that the minimum monthly wage for those with a bachelor’s degree has stagnated at 15,000 baht since the Yingluck Shinawatra administration.
Paopoom predicted that a minimum monthly salary of 25,000 baht by 2027 would uplift state personnel’s income without burdening the Finance Ministry.
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