More People In Thailand Become Self-employed

[george]

More people become self-employed

BANGKOK: -- The number of self-employed workers is on the rise as people adapt to new economic conditions, says the National Economic and Social Development Board.

Reporting on Thailand's social conditions in the third quarter, Suwannee Kamman, deputy secretary-general of the NESDB, the government think-tank, said yesterday that the global financial crisis and intense competition from China had put many people out of work, so many of them created their own businesses, particularly as traders and in the hotel and restaurant sectors.

The same effect was seen in other countries in the region.

People in the textile, furniture and cheap electrical home-appliance sectors were hit hard, as the industries were adversely affected by intense completion from other emerging countries, which could produce these products at lower cost. The global economic crisis had worsened the situation, Suwannee said.

Many workers had to leave export sectors to enter service businesses, which largely depend on domestic consumption. Moreover, newly graduated students also prefer to work at home due to the flexible work conditions.

While there are people who can make big money from their own businesses, many others earn very little and are currently not protected by the social security system, she said. Only about 8 to 9 million workers are covered. Most of the 23 million to 24 million farmers and other self-employed people are excluded.

On the bright side, Suwannee said overall employment had improved in the third quarter due to the gradual economic recovery. The unemployment rate was 1.2 per cent of the total work force, improving from 2.4 per cent in January.

The NESDB also is concerned about rising household debt, particularly the rise in informal loans. Suwannee said a recent survey of people indebted with "express cash" services by non-bank institutions and informal sources showed that 33.5 per cent of respondents were obligated to express cash services and 20.3 per cent were to loans from other sources. Low-income earners showed a higher proportion of debts from the informal sources than high-income earners.

The main reason underpinned increasing reliance on express cash is the easy and fast approval process.

Major borrowing purposes were for their daily expenses, education, working capital and for debt settlement.

"The point of concern was the borrowing for instalment payment and debt settlement and students who borrow money to settle debts incurred from gambling and to spend on night entertainment," Suwannee said.

The average loan burden under express cash services was Bt35,090 per head. Most borrowers were able to pay back loans, but 25.8 per cent of them had to borrow again to repay, landing them in a vicious circle of indebtedness.

According to a survey by the National Statistics Office, during the first six months of the year, 61.8 per cent of households were in debt and the average debt per household was Bt214,684, up by 8.5 per cent from the same period the year before.

-- The Nation 2009-12-06

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[JR Texas]

I am seeing this first hand in the very small city I live in........lots of new, (mom and pop) small food/beverage stands going up, as one example.

Also people (e.g., teachers who make little money) supplementing their normal job with a second job (e.g., small food/beverage stand).

People are most definitely hurting where I live.......nobody is starving........no riots in the streets.......nothing like that, just hurting inside.

Also worrying about the future.

As an aside, I am also seeing more domestic violence than in the past........think many Thai males just are frustrated and getting drunk and taking it out on the family.

[dumball]

This whole survey is out of wack , almost 30% re-borrowing to ( ahem) , get out of debt , yeah-yeah , should just look to parents and grand-parents who fell into the same huge hole , but just look at what many of them borrow for , day to day living ? Because they are in low paid jobs ? Most of them use a calculator because thier math is so bad , bur surely , on a calculator , 2+2 does not equate to 5 , but being not able to think because of headaches , they finish up with an even bigger headache !!!!!!!!

[Rainmon]

I've been self unemployed most of my career... from what I understand the job situation back in my home area of Texas USA is still very bad, worldwide I think the worst is yet to come and we will see a double dip recession, just one man's opinion.

[jb5music]

I am seeing this first hand in the very small city I live in........lots of new, (mom and pop) small food/beverage stands going up, as one example.

Also people (e.g., teachers who make little money) supplementing their normal job with a second job (e.g., small food/beverage stand).

People are most definitely hurting where I live.......nobody is starving........no riots in the streets.......nothing like that, just hurting inside.

Also worrying about the future.

As an aside, I am also seeing more domestic violence than in the past........think many Thai males just are frustrated and getting drunk and taking it out on the family.

Yes they probably are frustrated when the family females become self employed in major cities far from the farm. Those good little females and those terrible males!

I wonder what they do in those far away cities for "self employment"? What part of their "self" do they employ?

[Lorin]

I am seeing this first hand in the very small city I live in........lots of new, (mom and pop) small food/beverage stands going up, as one example.

Also people (e.g., teachers who make little money) supplementing their normal job with a second job (e.g., small food/beverage stand).

People are most definitely hurting where I live.......nobody is starving........no riots in the streets.......nothing like that, just hurting inside.

Also worrying about the future.

As an aside, I am also seeing more domestic violence than in the past........think many Thai males just are frustrated and getting drunk and taking it out on the family.

Yes they probably are frustrated when the family females become self employed in major cities far from the farm. Those good little females and those terrible males!

I wonder what they do in those far away cities for "self employment"? What part of their "self" do they employ?

good observation...

[begoodboy]

The subprime financial crisis has hit almost every country - from 1st world country to the 3rd world country. No one is spared. Rich getting less richer, but still rich. While the poor are getting much poorer.

Counselors are busy attending to depressed victims of all age groups. Stock markets looks like recovering. Job data looks much better in USA. But still too early to see the light at the end of the tunnel.

[BLUEEYEDTHAI]

The subprime financial crisis has hit almost every country - from 1st world country to the 3rd world country. No one is spared. Rich getting less richer, but still rich. While the poor are getting much poorer.

Counselors are busy attending to depressed victims of all age groups. Stock markets looks like recovering. Job data looks much better in USA. But still too early to see the light at the end of the tunnel.

Job stats looking much better in USA?come on,just how much of Obamas cool-aid have you imbibed?

[JR Texas]

I am seeing this first hand in the very small city I live in........lots of new, (mom and pop) small food/beverage stands going up, as one example.

Also people (e.g., teachers who make little money) supplementing their normal job with a second job (e.g., small food/beverage stand).

People are most definitely hurting where I live.......nobody is starving........no riots in the streets.......nothing like that, just hurting inside.

Also worrying about the future.

As an aside, I am also seeing more domestic violence than in the past........think many Thai males just are frustrated and getting drunk and taking it out on the family.

Yes they probably are frustrated when the family females become self employed in major cities far from the farm. Those good little females and those terrible males!

I wonder what they do in those far away cities for "self employment"? What part of their "self" do they employ?

Not sure what you are implying.......but I know the "working girls" here. The fact that they can make money does not always upset Thai males.......hard to believe but true.

What some farangs don't know is that many of their loved ones (Thais) have Thai husbands and/or boyfriends for life back home.........and they send them money.

Out of the farangs pocket to the husband/boyfriend.......without the knowledge of the farang. But that is off topic.l

No, what I am seeing are "normal families" whose husbands are frustrated and sometimes very angry, especially after a night with booze.

It is not easy to hide these things when at night you hear a wife or daughters screaming at the top of their lungs along with the crazed husband/father threatening all of them.

It is sad.........poverty is sad.

[givenall]

I am seeing this first hand in the very small city I live in........lots of new, (mom and pop) small food/beverage stands going up, as one example.

Also people (e.g., teachers who make little money) supplementing their normal job with a second job (e.g., small food/beverage stand).

People are most definitely hurting where I live.......nobody is starving........no riots in the streets.......nothing like that, just hurting inside.

Also worrying about the future.

As an aside, I am also seeing more domestic violence than in the past........think many Thai males just are frustrated and getting drunk and taking it out on the family.

Yes they probably are frustrated when the family females become self employed in major cities far from the farm. Those good little females and those terrible males!

I wonder what they do in those far away cities for "self employment"? What part of their "self" do they employ?

Well it is for sure the sign of bad time and everyone needs to survive. And self employment is self survival.

Unfortunately the government is putting his head in the sand and tells everyone is going great. I wish they would talk more real and use the mind of unbiased expert (the ones are there to make a buck) to help the people

[Bagwan]

Only 1.2 of the workforce is unemployed? How are they defining 'the workforce'? Motorbike taxi and taxi drivers, those hawking and cluttering up the pavements, the nice ladies in the pay for play business, do they form a part? Is everybody living outside the main towns and cities classified as a farmer and then deemed to be in gainful employment? I doubt that many self employed register their business so becoming liable for tax.

Figures such as this are the product of confused, or unfertile, minds.

[Stumbo]

I am seeing this first hand in the very small city I live in........lots of new, (mom and pop) small food/beverage stands going up, as one example.

Also people (e.g., teachers who make little money) supplementing their normal job with a second job (e.g., small food/beverage stand).

People are most definitely hurting where I live.......nobody is starving........no riots in the streets.......nothing like that, just hurting inside.

Also worrying about the future.

As an aside, I am also seeing more domestic violence than in the past........think many Thai males just are frustrated and getting drunk and taking it out on the family.

Well those right wing fascists b*stards better not start a food stand in Australia or a dozen government departments will descend on them in a frenzy of regulation fury to rightly grind them into the dust and justify their useless blood sucking jobs. So it should be, why don't the unemployed apply for welfare like they are supposed to?

As to Thailand in a freestyle economy there are many options for the motivated, and of course poverty is a great motivator. Seems to me that Thailand will fare much better than the Nanny State Pussy West when the real crash comes as people are still allowed to get out and do what it takes to make a living without having to wait 6 months just to be denied approval by some useless overpaid bureaucrat.

[dumball]

There is only so much opportunity for self employement to afford a living when the majority set up doing the same thing , witness a multitude of these types of operations in the good times , 12 people in a row in the middle of nowhere selling kites ? When 1 enterprising individual sets up a stall and appears to do well , in a short time the available profits are being split between a dozen or so stalls all offering the same items , yeah , I guess you are correct , they will all have a hard time counting the money they are reeling in , thank god there are no controlling bodies on these lucrative enterprises as in the west .

Y-a-w-n , time for a nap .