400 baht minimum wage taking effect this year: PM
PRIME MINISTER Paetongtarn Shinawatra said today (Sep. 24) her government intends to implement a 400 baht minimum within this year after the tripartite wage committee failed to reach a conclusion on hiking it on Oct. 1 as planned, Naewna newspaper said.
Speaking at Government House after cabinet meeting at around noon Paetongtarn said increasing the minimum wage was clearly her government’s policy but it has to listen to the tripartite wage committee’s conclusion.
The government is pushing the committee to quickly decide on this issue, she added.
Asked whether there could be a delay because business operators were against the hike, she replied: “This issue has to be discussed first, but there will be no delay. I think all three sides have to discuss the details. Another thing is the law, it must be in accordance with the law.”
While wanting to implement the wage hike as soon as possible, Paetongtarn added that she has to look into the obstacles but the intention is to implement it within this year.
The minimum wage is currently between 330 baht and 370 baht, depending on the region.
The government will next week discuss the inflation target and strong baht with the central bank, Finance Minister Pichai Chunhavajira said today (Sep. 24), as the government pushes for an interest rate cut, a Reuters report published by CNA said.
The plan to seek the review, first reported by Reuters, follows months of government pressure on the Bank of Thailand to cut the rate from a decade-high 2.50 percent, in a bid to boost growth of an economy that has been struggling since the pandemic.
A review of the 1 percent to 3 percent inflation target range, which has been in place since 2020, could raise the chance of a rate cut long sought by former premier Srettha Thavisin, who was dismissed from office last month by a court order.
Inflation in August came in at 0.35 percent.
Southeast Asia’s second-largest economy is expected to grow 2.6 percent this year from an expansion of 1.9 percent last year, behind regional peers. The government is hoping its raft of stimulus measures could trigger a rebound, including a 450 billion baht ($13.66 billion) handout and raising the daily minimum wage.
CAPTION:
Prime Minister Paetongtarn Shinawatra is accompanied by some ministers in briefing the press at Government House today (Sep. 24). Photos: Naewna
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