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Thailand explores salary reforms amid rising civil service costs


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The Comptroller-General’s Department, the Budget Bureau, and the Office of the Civil Service Commission (OCSC) are actively exploring reforms to salaries and benefits across all government sectors.

 

Patricia Mongkhonvanit, Director-General of the Comptroller-General’s Department, highlighted the urgency of addressing the issue due to the substantial budget allocated for these expenses. She noted that the government’s fiscal health and long-term fiscal burden must be scrutinised.

 

“The annual healthcare budget for civil servants alone stands at around 100 billion baht, excluding pensions, and continues to rise with increasing life expectancy.”

 

The emergence of new diseases and escalating costs of medicine further exacerbate the situation, increasing the need for salary reform.

 

Negotiations on prices or capping expenses are among the measures under consideration, according to Patricia. A thorough review of the entire civil service process, from recruitment to salaries and benefits, is necessary.

 


 

 

 

Ongoing discussions between the Comptroller-General’s Department, the Budget Bureau, and the OCSC are focusing on the long-term impacts and the future recruitment of civil servants.

 

While no final decisions have been made, Patricia stated that several options are being explored, including making salaries competitive with the private sector, aligning compensation packages with those of private companies, or maintaining the current salary system.

 

“We are integrating all options before making a final decision on which package to adopt.”

 

In fiscal year 2023, total expenditure on salaries, pension contributions, and compensation for government personnel amounted to 818 billion baht, marking a 0.78% increase from the previous fiscal year.

 

Over the past six years (fiscal 2018 to 2023), there has been no adjustment to the salary base, and the number of civil servants has increased slightly. In fiscal 2022, the number of civil servants stood at 1,513,722, a 0.21% year-on-year increase.

 

Total welfare expenditure for government personnel in fiscal 2023 reached 514 billion baht, a 7.61% year-on-year growth. Healthcare and pension costs are rising as Thailand transitions to an aged society. Public welfare expenditure amounted to 398 billion baht in fiscal 2023, up by 7.42% year-on-year, reported Bangkok Post.

 

By Ryan Turner

Image courtesy of Bangkok Post

 

Source: The Thaiger

-- 2024-09-23


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If they wish to free up lots of money, maybe a serious fight against corruption.  Then everyone except the corrupt will be a lot happier.

Edited by MarkBR
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19 minutes ago, BangkokReady said:

 

It sounds like they're actually looking for a way to give them less.

 

The Civil Service was/is largely loyal to Prayuth. PTP now rewarding friends and punishing enemies???

Edited by John Drake
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Productivity is the key concept, unfortunately unknown in Thailand as far as I can tell.

 

So, fewer numbers (sack 30% of them or freeze then reduce recruitment by 30%) and require increased USEFUL outputs by adopting concepts of efficiency (input/output ratios) and outcomes, with pay levels set accordingly. Uniforms abolished: Not required in a modern egalitarian society where the job of civil servants is to serve the populace ...

 

Yes, I know, but I'm allowed to dream in my old age. Besides, I know of what I speak. I spent most of my working life in the Canberra federal bureaucracy, and most of that in the Department of Defence. Enough to give anyone nightmares.

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11 hours ago, BangkokReady said:

 

It sounds like they're actually looking for a way to give them less.

One way would be to cut the "benefits" of civil servants which can be awarded to their immediate families?

Why do they wonder why health care is so high?

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Certainly the police (including Immigration) already have to supply their own uniforms, weapons and equipment including some office supplies.

 

With their low salaries, it encourages corruption to supplement their income. Reform would entail much higher salaries similar to what happened in Hong Kong and Singapore. 
 

Better to concentrate on the higher management in education and the civil service who are in charge of the budgets and ensure they spend the money on providing services to the public.

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My girlfriend works for a PTT owned fuel company (filling cars/motorcycles) in Nong Khai. During the floods the boss asked her to work double shifts to cover for people unable to work, which she did. I/she was shocked to learn that the boss  only paid her 300 baht for what was 16 hour shifts. I really feel like complaining but I know in Thailand the owner is a very rich/powerful man and I am afraid that it could effect my visa if I did

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43 minutes ago, Expat68 said:

I really feel like complaining but I know in Thailand the owner is a very rich/powerful man and I am afraid that it could effect my visa if I did

 

Rubbish, tell her to quit, I'm sure you can afford a girlfriend with your money.

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they are the one's getting a real pension right, not like the 600 baht

 

and for what... the little work they do on their desk feeling mighty

 

modernize, digitalize, stop 20 copies of everything and they could reduce the cost

 

was there not a big abuse of healthcare where many go/went to the hospital, to get prescribed useless meds that they resell for profits, on top of it all...

 

 

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59 minutes ago, Expat68 said:

My girlfriend works for a PTT owned fuel company (filling cars/motorcycles) in Nong Khai. During the floods the boss asked her to work double shifts to cover for people unable to work, which she did. I/she was shocked to learn that the boss  only paid her 300 baht for what was 16 hour shifts. I really feel like complaining but I know in Thailand the owner is a very rich/powerful man and I am afraid that it could effect my visa if I did

 

do you mean that owner of the whole country? 

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39 minutes ago, watchcat said:

 

Rubbish, tell her to quit, I'm sure you can afford a girlfriend with your money.

Not all Thai girls are lazy sponging off their rich foreigners, she liked working there until this happened 

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Too many staff ffs!!! If I ran the Immigration department I could do it on a third of the Budget. Firstly put all expats and foreign workers etc. on a Thai ID card with all their information on a microchip to save the mountains of continuous photocopies etc. as well as stopping 90 day reporting. Make people responsible for updating info when required.

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You can't reform government jobs until you stop those applying for them paying to get into those jobs.

 

I know a girl who just finished Uni, she applied for a teaching job, was told her salary would be 10,000 baht per month after the Principal took 5,000 baht for himself.

 

A guy I know who got into the Police force, had to pay 100k baht.

 

Corruption is rife.

 

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40,813,511 is, according to Wikipedia, the total workforce of Thailand in 2023 (I don't know though, where the 11 at the end came from). The bureaucracy itself is 1,513,722 and clocks 3.71%. 

Now, instead of looking for more money one might want to see, what do these 1,5 million work, are they really necessary? Little I know but if you rid the immigration bureau of the TM30 and TM47 stipulations, you will save thousands of FTE (full time equivalent).

If you get any non-Thai to sign a form, that Thailand will not cover the alien's back in case of health care or financial bottlenecks, then you can facilitate all this ranigaxoo on the yearly visa extension drama. Instead, screen the applicant for criminal issues online and a bank book without extra letters from the very same date and take it from there. Charge THB 15,000 for a one-year visa with automatically includes are multi-reentry facility. 

Department of Land Transport; be more stringent in the issuance of a first-time driving license and re-introduce the lifelong validity - as in the past = another hundreds if not thousands of "civil servants" drop off the payroll. As roadworthiness can be done by appointed third-party services, do the same with tax payments and mandatory government insurances. Bill the vehicle owner for roadworthiness check, tax and insurance and, once paid, send him the tax sticker and a voucher for a free roadworthiness check-up anywhere the owner chooses. Non-compliance results in getting the vehicle impounded for a month against a fee of, say, THB 10,000. 

But yeah, if there is no will then there is no way. The biggest problem is the implementation, as usual. And now, before everybody cries foul again; no need to fire anybody. Uust to not replace retirees or those who resign and within a short time you're getting a fantastic saving - in those  particular departments alone. 

If the government would have to run like the private industry, they would have been there LONG time ago already. 

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18 hours ago, Gottfrid said:

But of course they need more, while the regular worker have to fight years to get 400 baht per day.

It's a total disgrace. They got an enormous pay rise, they get endless benefits, preferential rates, pensions etc etc. And all they do is .... NOTHING! I think a 400,000 plus army of paper shuffling, ethically challenged, uniformed for no reason, government lackeys. Freeze their pay. Scrap their benefits. Take away their ridiculous uniforms.

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3 hours ago, retarius said:

MY adopted son just got a job in the civil service. The benefits are incredible, not only the pensions but the healthcare for the whole family including the parents for life!!!!!!!

 

Did he pay to get the job? 

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28 minutes ago, bradiston said:

It's a total disgrace. They got an enormous pay rise, they get endless benefits, preferential rates, pensions etc etc. And all they do is .... NOTHING! I think a 400,000 plus army of paper shuffling, ethically challenged, uniformed for no reason, government lackeys. Freeze their pay. Scrap their benefits. Take away their ridiculous uniforms.

That´s what I meant too, as "But of course they need more" was sarcasm. That means we agree, and I was pointing out that non-government employees need their raise up to 400 baht a day instead. That´s also why I put a +1 on your post 🙂 

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17 hours ago, stoner said:

how about a drastic cut to the military. ok i know. i'll show myself out now and put my straight jacket back on. 

🤣 Yeah, but it´s the thought that counts, and it was a lovely dream. 😉

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7 minutes ago, Gottfrid said:

That´s what I meant too, as "But of course they need more" was sarcasm. That means we agree, and I was pointing out that non-government employees need their raise up to 400 baht a day instead. That´s also why I put a +1 on your post 🙂 

I was also in complete agreement with your post, Gottfrid. I get irony too, which most don't.

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15 hours ago, hotchilli said:

One way would be to cut the "benefits" of civil servants which can be awarded to their immediate families?

Why do they wonder why health care is so high?

 

Hey now, don't kill the golden goose, I am covered under my wife's health insurance....I like my freebees! 😉

 

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Re including making salaries competitive with the private sector, aligning compensation packages with those of private companies, or maintaining the current salary system.

 

Really, if they go that route, they better all be performance based pay.

 

Um, can't see the government workforce here being held to that standard of deliverables.

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