FTI argues minimum wage hike would primarily benefit migrants
The Federation of Thai Industries (FTI) is urging the government to reconsider its plan to raise the daily minimum wage to 400 baht nationwide, arguing that the policy would primarily benefit migrant workers rather than stimulate the local economy.
Every year, migrant workers from neighbouring countries remit approximately 100 billion baht to their families back home. The FTI contends that a significant portion of these funds comes from their earnings in Thailand.
If the wage hike proceeds, the FTI believes Thailand will not fully benefit from the policy.
FTI Vice-Chairman Wiwat Hemmondharop reveals that migrant workers tend to spend only half their wages here and send the rest to their families. Culminating in a higher wage that would support the GDP of neighbouring countries
Currently, entrepreneurs in the manufacturing sector pay highly skilled workers between 700 to 900 baht per day.
Wiwat expressed concerns that if the minimum wage increases, wages for highly-skilled workers could surpass 1,000 baht per day in some industries.
Thailand is home to 2.6 to three million workers from Myanmar, Laos, and Cambodia, many of whom undertake dirty, dangerous, and difficult jobs that Thai workers typically avoid.
The FTI reiterated its call for the government to consider workers’ skills and the economic conditions of each province when adjusting wages.
Additionally, they urged the implementation of measures to revive the Thai economy, which faces numerous challenges, including weak purchasing power and ongoing geopolitical conflicts.
As the FTI represents around 15,000 companies in Thailand, another Vice-Chairman of the FTI, Apichit Prasoprat calls for 50% of its members to have better access to financial sources and more help from state economic measures, reported Bangkok Post.
In separate news, hotels are calling for a revision of the property tax calculation based on land appraisal prices and business income to address the uneven recovery within the hospitality industry.
