Latest Amendments to Thai Labor Law
In 2024, Thailand enacted significant amendments to the Labor Protection Act, directly affecting HR and labor management for Japanese companies operating in the country.
Key Changes
1. Increased Severance Pay
Severance pay has been updated based on years of service. Most notably, employees with 20 or more years of service are now entitled to 20 months’ wages (increased from 10 months).
2. Extended Maternity Leave
Maternity leave has been extended from 98 days to 105 days (paid portion remains 45 days as before).
3. Electronic Employment Contracts
Digital contracts with electronic signatures are now formally recognized under Thai law.
Recommended Actions for Japanese Companies
- Review work rules: Update internal regulations to reflect the amendments
- Recalculate severance: Ensure accurate calculations, especially for long-term employees
- Update employment contracts: Consider digitizing contracts
Please contact us if you have any questions.
This article is for general informational purposes about Thailand’s legal system and does not constitute legal advice under Thai law. For specific matters, please consult a Thai-qualified legal professional. Our firm works in collaboration with JTJB International Lawyers’ Thai-qualified attorneys.