US Tariff Saga Hinders Minimum Wage Hike in Thailand
Thailand's plan to raise minimum wage faces delay due to US tariffs and economic concerns.
The Thai government's promise to increase the minimum wage to 400 baht has been put on hold following a delayed decision by a tripartite board.
Concerns over an economic downturn, partly triggered by recent US tariff changes, have led to this postponement.
The meeting, chaired by Labour Ministry's permanent secretary Boonsong Thapchaiyuth, saw employers emphasizing the lack of supporting measures from the government and the significant impact of 36% US tariffs on Thai imports.
Employee representatives agreed that the wage hike should be deferred due to these circumstances.
The next board meeting is expected in May, as industries considered less affected by US tariffs, such as tourism and services, were mentioned as potential candidates for the wage increase.
This development raises concerns over the impact on small and medium businesses, with about 500,000 nationwide potentially affected.
Concerns over an economic downturn, partly triggered by recent US tariff changes, have led to this postponement.
The meeting, chaired by Labour Ministry's permanent secretary Boonsong Thapchaiyuth, saw employers emphasizing the lack of supporting measures from the government and the significant impact of 36% US tariffs on Thai imports.
Employee representatives agreed that the wage hike should be deferred due to these circumstances.
The next board meeting is expected in May, as industries considered less affected by US tariffs, such as tourism and services, were mentioned as potential candidates for the wage increase.
This development raises concerns over the impact on small and medium businesses, with about 500,000 nationwide potentially affected.
