Employment in Thailand is governed mainly by the Labour Protection Act B.E. 2541 (1998), most recently amended in 2025 to extend maternity and paternity leave, and by the Social Security Act. Here is what employers need to know about leave, pay, tax and ending employment.
The Labour Protection Act sets minimum leave for private sector employees. The Labour Protection Act (No. 9) B.E. 2568, in force since December 2025, extended maternity leave and introduced paid leave for fathers.
At least 6 working days a year after 1 year of service. Employers may allow unused days to be carried forward.
Employees may take sick leave as long as they are actually ill; up to 30 working days a year are paid. A medical certificate can be required for 3 or more days.
Per pregnancy, including prenatal check-ups. The employer pays up to 60 days; the Social Security Fund pays a maternity benefit on top.
Paid leave to support a spouse who has given birth, to be taken within 90 days of the birth.
Set up each Thai leave type in IceHrm with its own accrual, carry forward and approval rules, including pro-rata entitlements for new joiners. Employees see their live balance before they apply, and managers see who is away on a shared calendar. Leave management →
The tripartite Wage Committee sets daily minimum wages province by province. Rates apply to all employees, including those paid monthly.
Depends on the province. Rates in force since 1 July 2025 run from THB 337 to THB 400; Bangkok, Phuket, Rayong and Chachoengsao are at THB 400.
Up to 8 hours a day. For work that is hazardous to health, the limit is 7 hours a day and 42 hours a week.
Overtime and holiday work combined. Overtime needs the employee’s consent in each case, except in limited situations.
Capture attendance and overtime in IceHrm and feed the hours straight into payroll, so overtime and holiday rates reflect what was actually worked. Time & attendance →
Thailand taxes residents’ assessable income at progressive rates, after deductions and allowances. Employers withhold tax from salaries each month and file it with the Revenue Department (form PND 1); individuals file an annual return by the end of March for the previous calendar year.
| Net taxable income | Rate |
|---|---|
| THB 0 – THB 150,000 | 0% |
| THB 150,001 – THB 300,000 | 5% |
| THB 300,001 – THB 500,000 | 10% |
| THB 500,001 – THB 750,000 | 15% |
| THB 750,001 – THB 1,000,000 | 20% |
| THB 1,000,001 – THB 2,000,000 | 25% |
| THB 2,000,001 – THB 5,000,000 | 30% |
| Over THB 5,000,000 | 35% |
Employers contribute to the Social Security Fund and the Workmen’s Compensation Fund. Employee contributions are deducted from pay and remitted by the employer.
Matched by 5% from the employee. Since 1 January 2026 the wage ceiling is THB 17,500 a month, so the maximum is THB 875 each. It rises to THB 20,000 in 2029 and THB 23,000 in 2032.
Paid by the employer only, on annual wages up to a ceiling. The rate depends on the industry’s risk and the employer’s claims record.
Employer-sponsored provident funds are common but not mandatory. Contributions are typically 2–15% from each side.
Build Thai pay the way you already structure it, with your own salary components, deductions and formula columns, such as a capped social security column. Want to know how well IceHrm handles payroll calculations for Thailand? Contact us or see Payroll →
An employer may end an indefinite contract by giving notice, but statutory severance is payable unless the dismissal falls under one of the misconduct grounds in the Act. Dismissals without a fair reason can also be challenged in the Labour Court.
For indefinite contracts, either party must give written notice at or before one pay date so that it takes effect on the next pay date. An employer does not have to give more than 3 months’ notice and may pay wages in lieu instead.
| Continuous service | Severance pay |
|---|---|
| Less than 120 days | Nil |
| 120 days, less than 1 year | 30 days |
| 1 year, less than 3 years | 90 days |
| 3 years, less than 6 years | 180 days |
| 6 years, less than 10 years | 240 days |
| 10 years, less than 20 years | 300 days |
| 20 years or more | 400 days |
Unused annual leave for the year must be paid out on termination, unless the employee is dismissed for one of the serious grounds above. Retirement at the employer’s retirement age, or at 60 if none is set, also triggers severance pay.
Employers must announce at least 13 paid traditional holidays a year, including National Labour Day, chosen from the official public holidays. Buddhist holidays follow the lunar calendar.
If a traditional holiday falls on a weekly day off, employees get a substitute day off on the next working day. The government sometimes declares additional one-off holidays.
Leave groups give each office its own holiday calendar, so the 13 or more days each Thai site announces are applied automatically alongside your other locations. Holiday calendars →
Employment contracts can be written or verbal, but a written contract in Thai (often bilingual) is standard practice. Contracts cannot give employees less than the Labour Protection Act.
The law does not set a maximum probation period, but many employers use up to 119 days because severance pay starts at 120 days of service, and service during probation counts. Fixed-term contracts are allowed; a contract with a genuine fixed end date only avoids severance for specific projects, seasonal or occasional work lasting no more than 2 years, agreed in writing.
Send contracts and work rules for e-signing, store them and work permits on the employee’s record, and track onboarding with task lists so nothing is missed. Documents & e-signing →
This guide is general information to help you plan HR processes, not legal, tax or financial advice. Employment law and rates change regularly and awards, enterprise agreements and state rules may give employees more than the minimums shown here. Always confirm current requirements with the official sources or a qualified adviser.
Configure leave types, accrual rules and public holidays for Thailand, keep employee records and contracts in one place, and run payroll with your own salary components. Want to know how IceHrm handles payroll calculations for Thailand? Talk to us.
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