The cabinet this morning gave a green light to raising the national daily minimum wage by an average of 5%.
Officials say inflation – surging at a 14-year high – not its sagging popularity is to credit for the first increase since 2020, which will be effective Oct. 1.
The newly approved wages are divided into nine geographic zones based on overall economic conditions.
The highest rate – THB354 (US$9.75) – will be earned in Phuket, Chonburi and Rayong provinces, while workers across metropolitan Bangkok will get THB353 (US$9.73). The lowest rate of THB328 (US$9.04) applies to outer provinces such as Yala, Pattani, Narathiwat, Nan, and Udon Thani.
The daily minimum wage is mostly earned in the unskilled labor and service sectors. In 2015, the military government backed off from plans to eliminate the national minimum wage, which was introduced by the administration of Yingluck Shinawatra that it deposed in a coup d’etat.
The last time Thailand saw an increase in the daily minimum wage was January 2020, when the current rates were set.
While consumers are facing economic headwinds, so is the national government, whose popularity is tanking in the runup to elections which must be held next year.
