Rest period during normal work. Regardless of who initiates termination, it is important to know when to notify the employee/employer. If the labour court is of the opinion that the employer and the employee cannot work together any longer, the labour court shall fix the amount of damages as compensation to be paid by the employer by taking into consideration the age of the employee, the length of employment of the employee, the hardship of the employee at the time of dismissal, cause of the dismissal and the compensation to which the employee is entitled. " The employer must make a written contract with the employee at the beginning of the employment. Rest period during normal work. An employee who has worked for less than 120 days can be terminated without receiving severance pay. The Thai Labor Protection Act guarantees security of tenure, hence, the employment can only be terminated in cases such as, expiration of employment period, mutual termination of the employment, completion of the agreed work, and in cases where either party notifies the … Retrieved from https://phdessay.com/thai-labour-law-employment-termination/, Thai Labour Law on Employment Termination. Labour Protection Act of 1998. Provident Fund Act of 1987 : 5. 1 Section 49 - Act on the Establishment of the Labour Court and Labour Procedure, B. E. 2522 (A. D. 1979) Besides the payment of severance pay, an employer may be ordered by the labour court, upon the employee's request to t pursuant to Section 49, either to reinstate the dismissed employee or to pay damages to him or her if it is found that the dismissal is unfair Section 49 provides: "In the trial of a case of dismissal of an employee by an employer, if the labour court is of the opinion that such a dismissal is not fair to the employee, the labour court may order the employer to accept the said employee to work at the rate of wage payable at the time of dismissal. Employment / Age Certification. You may announce termination on any day of a month - including the last day of the month - and that counts as the first month, for purposes of notification pay. These laws cover all areas related to employment such as working hours, holidays and leave, notice, overtime, sick pay, and severance, and are applicable to both Thai and foreign employees. Thailand labour law says that employees are entitled to unlimited sick leave but the number of paid sick days is only up to 30 regular workdays per year. Employment law in Thailand refers to the relationship between an employer and his employee, while labor law traditionally refers to the law of the trade or labor unions. Amendments to Thailand's Labour Protection Act (LPA) on May 5, 2019, ushered in significant changes to a variety of labour laws, resulting in … The Thai Labor force is largely non-unionized, so collective agreements do not play a large role in regulating working conditions. PAYMENT OF WAGES ACT, 1936 [4 OF 19361] With State Amendments An Act to regulate the payment of wages to certain classes of 2[employed persons] Whereas it is expedient to. Termination of Employment But no more than three-month notice need be given. These laws also provide the grounds for the dismissal or termination of employees, as well as the provision of severance compensation for workers. The employer can ask an employee to produce a certificate from a qualified doctor for a sick leave of three days or more. © 2020 RSM International Association. A look at the key legal provisions governing the termination of employment in Thailand, including grounds for dismissal, notice requirements and severance pay, among other things. The Thai Labor Protection Act guarantees security of tenure, hence, the employment can only be terminated in cases such as, expiration of employment period, mutual termination of the employment, completion of the agreed work, and in cases where either party notifies the other of his desire to end the employment. From the point of view of the employee, there are significant deficiencies in this. Rest Period. Provident Fund Act B.E. Schedule 3 Terms and Provisions Governing the Distribution ............................................. 59 of the Death Compensation among the family members of the Deceased Employee FEDERAL LAW NO. THAILAND . Labor Relations Act of 1975 : 3. (2017, May 09). Thai Labour Law – Termination of an Employee. The exceptions to which employers are liable for severance pay are stipulated in Section 119 (1) – (6) of the Act. With respect to the termination of the employment on the basis of reorganising the Thailand based business, production line, sales or services due to the adoption of machinery or technologies which result in a reduction of the number of employees, the employer has a duty in compliance with Thai law (Section 121 of the Act) to notify the employee as well as the labour inspector not less than 60 days prior to the contemplated date of termination. Social Security Act of 1990 : 6. The most common case brought before the labor authorities is illegal dismissal or unlawful termination. According to the Labour Protection Act, an employer may not pay severance pay to an employee when employment termination is due to employee’s commission of the following acts: 1. The main reasons why Thailand employers may consider payroll cuts by terminating staff can be summarised briefly as economic, poor performance or misconduct. The Labor Protection Act regulates minimum standards for pay and working hours for employees. September 16, 2006 Worksheet 1 EMPLOYMENT TORTS Employer’s Liability 1. Compensation Fund Act of 1994 : 7. 574/2526 An employee had committed 11 counts of wrongdoings some of which warranted a dismissal by the employer and denied the wrongdoer necessary protection under the labour law. Scholars Unfair Termination 5. We know that every situation is unique, therefore it is essential to seek a consultation with someone who is specialized in Thai Labor Law to fully underst… Thai law allows the employee to refuse to move and become entitled to receive severance pay. 2541 (1998) (“the Act”) applies to all businesses operating in Thailand. 120 days but less than 1 year – 30 days pay, 1 year but less than 3 years – 90 days pay, 3 years but less than 6 years – 180 days pay, 6 years but less than 10 years – 240 days pay. Failure to do so will result in a special severance payment in lieu of the advance notice of 60 days being paid in addition to the normal severance pay. Apparently, the dismissal was also made in reliance on the employee's previous wrongdoings. Table of contents. Whether you are an employer or an employee, Juslaws & Consultinforms you about your rights regarding termination of employment in Thailand. 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