Mobile Labour Project launched in Uthai Thani

(30/03/2013)

On March 29, 2013, Secretary to the Minster of Labour opened a technical seminar on the 300 baht daily minimum wage policy at Uthai Thani Provincial Office of Social Security in Uthai Thani province. The seminar is part of Ministry of Labour’s Mobile Labour Project to promote SME operators’ understanding about wage laws and help them access to the government’s measures designed to reduce impact of the new minimum wage policy. During the visit to Uthai Thani, he also visits Bangkok Rubber Saharattana Ltd. and Thai SC Tec Ltd. in Nong Chang district.

Mr. Sanga Tanasanguanwong, Secretary to the Minster of Labour, said the Ministry of Labour’s Mobile Labour Project is aimed to promote SME operators’ knowledge on minimum wage, help them access to the government’s measures designed to reduce impact of the new minimum wage policy and enhance their capability and competiveness to help them comply policy. A technical seminar on the 300 baht daily minimum wage policy is also held to give local operators an opportunity to explain their problems and express their opinions on the government’s assistance measures so officials can evaluate the situation and correctly solve the problem. This provides a platform for SMEs operators to exchange views with government officials and jointly work out solutions to prevent layoff and shutdown business. Under the project, Ministry of Labour’s officails will also visit local workplaces.

Mr. Sanga said there are 643 SMEs in Uthai Thani province; most of them run retail, wholesale, service/hotel, restaurant and canteen business. Considering from its gross provincial product, the province’s economy relies largely on its agricultural, retail, wholesale hotel, restaurant and canteen businesses. Last year, the minimum wage in the province stood at 234 baht.

Mr. Sanga said Ministry of Labour’s local agencies has visited 65 firms to give them advice about the government assistance measures and get first-hand information about their problems and what kind of assistance they want from the government. Most of the firms comply with the new minimum wage policy.

Mr. Sanga said there is no major difference in employment situation in the province between 2012 and 2013. According to Uthai Thani Provincial Office of Development Business, a total of 20 new firms were registered this year while only seven firms had laid off their employees. This reflected that the 300 baht daily minimum wage policy does not affect the provincial economy.

Meanwhile, Mr. Nopnoi Thongprapaipak, human resource manager of Bangkok Rubber Saharattana Ltd said the company produces shoe parts for PAN Group, ECCO Company and Timberlan Company, which export shoes. The company has two factories and 643 employees. It fully complies with the 300 baht daily minimum wage policy. It initially has to adjust its cost by cutting unnecessary expenses on water and electricity bills and to improve quality and quantity of its products to increase its competitiveness for survival.

Mr. Apichart Dangbua, owner of Thai SC Tec Ltd. said the company came into existence two year ago. It produces electronic and camera parts for Nikon for example. Its parent company is in Nawanakhon Industiral Estate. It chose to open a production base in Uthai Thani province because there are sufficient workers to support its productions to match customers’ demand. At present, the company has 264 employees, who need to receive skill training to enhance their performance. Cleanness and discipline are among the company’s core management principle. The company fully complies with the 300 baht daily minimum wage policy.

Minister of Labour and Ministry of Labour’s executives have so far launched the project in 14 provinces, namely Phayao, Lanpang, Songkhla, Ratchaburi, Kanchanaburi, Roi Et, Maha Sarakham, Nong Khai, Nakhon Phanom, Sakon Nakhon, Surin, Mukdahan, Bueng Kan and Sisaket. In overall, the employment situation in the country continues to expand, reflecting that the 300 baht daily minimum wage policy has not severely affected business operators.

Nonetheless, the government and Ministry of Labour have kept monitoring the situation and provided assistances to SMEs that are affected by the policy through its provincial support centres and ad hoc support centres.

The two institutes are tasked to coordinate with relevant agencies in giving SMEs assistance on skill development, migrant workers arrangement, tax and finding credit sources as required.