Thai Unionists 'Laid Off In Wake Of Wage Increase'

[webfact]

Unionists 'laid off in wake of wage increase'

The Nation

BANGKOK: -- Since the Bt300 daily minimum wage was launched on April 1, many businesses have been trying to lay off union activists or limit their roles to prevent them from fighting for workers' rights, a labour leader said yesterday.

"Labour union members have been deemed as hostile [by employers] and some of them have been laid off in many cases, or assigned to non-paying duties or no longer given overtime work, which earns them extra income," said Chalee Loysung, chairman of the Thai Labour Solidarity Committee (TLSC).

Grumbling by workers about not being paid the full Bt300 is commonplace, but only 73 written complains have been received by the TLSC since April 1.

Among the popular ploys used by employers is including welfare benefits in the mandatory Bt300 figure to avoid breaking the law while saving huge extra costs.

Many workers in companies where salaries rise according to seniority and work experience, especially those in electronics plants, were laid off even before April 1, he said.

TLSC counsellors had visited many workplaces reporting such problems to hear directly from aggrieved workers as well as those without labour unions to give advice on how to work on the partial payment problem.

The Pheu Thai-led government should be held accountable for resolving the issues, which stemmed from the Bt300 policy that they promised, he added.

Yongyuth Mentaphao, chairman of the Automobile Labour Congress Of Thailand, said he sees more havoc coming after January 1, when the new wage is due to be extended across the country from the first seven provinces.

Authorities and the Labour Ministry should get fully involved in problem solving, as workers were fighting for their rights alone, he said.

Sattawat Wachirawit, a member of the Thailand Electronic and Appliance Workers Federation, said firms with facilities in many locations would face an internal migration of workers. This would disrupt their operations, defeat cost controls and cause disciplinary concerns.

The labour-intensive garment industry was the worst in terms of unwillingness to pay Bt300 or employing devices to keep the cost down, said Chaloey Chombulan, a member of the Textile Garment and Leather Workers Federation of Thailand.

"Many workers agreed to sign revised contracts that would end up not fully paying Bt300 to them but keep their employers safe from legal action," he said.

The chairman of a local hotel and service industry confederation in Phuket said small to medium-sized hotels were making their staff accept a welfare-padded Bt300 rate without breaking the law. Some of them laid off highly paid staff, claiming a temporary freeze of business to minimise severance payments, and then hired a new set of workers at lower salaries, he said.

-- The Nation 2012-05-15

[GentlemanJim]

Grumbling by workers about not being paid the full Bt300 is commonplace, but only 73 written complains have been received by the TLSC since April 1.

Well maybe that indicates the level of literacy amongst the 300 baht or less a day brigade!

It was a shocking error of judgement to offer 300 baht as a minimum wage so soon! The Government have looked after their own by cutting corporate tax, now they will need to look after the people that voted them in. Next stop.....national bankruptcy!

[necronx99]

"Assigned to non paying duties" ??

[Pseudolus]

"Assigned to non paying duties" ??

I think this means they are being put onto commission only positions such as farang shake downs and extortion.

[Morgo]

Another rant by the anti-union backed Nation group. Just read in The Guardian that a Thai firm C.P.Foods tabled a 2.5 billion pound bid for British frozen food firm Birds Eye. With this sort of money floating around in Thai companies, I find it incomprehensible that Thai firms can't find a miserable 300 baht a day to pay their employees. I am prepared to wager that British employees of Birds Eye are not going to accept a wage of $10 a day.

[geriatrickid]

I am not a fan of large unions. However, I recognize that unions serve an important and valuable role in countries like Thailand, if only the most at risk groups were able to join unions. This article is depressing if one takes into consideration the natuure of unions in Thailand. Approximately 4% of the labour force is unionized. Of that, almost half are in the better paying governmet sector such as the state railways, or at Thai Airways. That means that there just isn't much of a unionized private sector workforce which in turn means that the wage is being used as an excuse to harass union members. I believe a person has the right to work, but I also believe that a person has the right to join a union.

[whybother]

Another rant by the anti-union backed Nation group. Just read in The Guardian that a Thai firm C.P.Foods tabled a 2.5 billion pound bid for British frozen food firm Birds Eye. With this sort of money floating around in Thai companies, I find it incomprehensible that Thai firms can't find a miserable 300 baht a day to pay their employees. I am prepared to wager that British employees of Birds Eye are not going to accept a wage of $10 a day.

Anti-union? Isn't it highlighting that unionists have been laid off?

[Buchholz]

The Pheu Thai-led government should be held accountable for resolving the issues, which stemmed from the Bt300 policy that they promised, he added.

The government made the new wage rules.

It's reasonable of the workers to expect their government to enforce the new rules that the government instituted.

Yingluck vows to meet minimum wage deadline

THE NATION

A model of Prime Minister Yingluck Shinawatra is shown at the Labour Day rally organised by workers of the Thai Labour Solidarity Committee and State Enterprises Workers' Relations Confederation. Nationphoto /by Sakol Sandhiratne

BANGKOK: -- The government insisted yesterday it would roll out the Bt300 daily minimum wage to the remaining 70 provinces as scheduled following its launch in seven provinces including Bangkok on April 7, despite employers' complaints and threats of non-compliance.

In her speech at the main May Day event at the Royal Plaza, Prime Minister Yingluck Shinawatra said the government would meet the election promise of a Bt300 wage across the country

It'll be interesting to see how well Yingluck keeps her "vow to speed up improving quality of life for workers" after several huge labor organizations (like above photo) are taking their complaints to the government with reports against employers, who have followed through with their warning (above) about non-compliance.

Just since it's implementation in April, there have already been dozens of complaints over various methods employers have used to circumvent Yingluck's policy, eg. off-setting the expense of previously-provided free items to come up with a 300 baht daily salary and also cases where companies have actually lowered the wages of those workers that had earlier made more than 300 per day in order to pay the added expense of paying 300 to all.

There are also complaints that a number of workers were laid-off just before April start date in order to avoid paying severance monies based on the new rate.

The labor unions are demanding that the Pheu Thai Party follow through with their election promise and rectify all these shortcomings of their scheme.

We'll see what she does.

[Thai at Heart]

The Pheu Thai-led government should be held accountable for resolving the issues, which stemmed from the Bt300 policy that they promised, he added.

The government made the new wage rules.

It's reasonable of the workers to expect their government to enforce the new rules that the government instituted.

Yingluck vows to meet minimum wage deadline

THE NATION

A model of Prime Minister Yingluck Shinawatra is shown at the Labour Day rally organised by workers of the Thai Labour Solidarity Committee and State Enterprises Workers' Relations Confederation. Nationphoto /by Sakol Sandhiratne

BANGKOK: -- The government insisted yesterday it would roll out the Bt300 daily minimum wage to the remaining 70 provinces as scheduled following its launch in seven provinces including Bangkok on April 7, despite employers' complaints and threats of non-compliance.

In her speech at the main May Day event at the Royal Plaza, Prime Minister Yingluck Shinawatra said the government would meet the election promise of a Bt300 wage across the country

It'll be interesting to see how well Yingluck keeps her "vow to speed up improving quality of life for workers" after several huge labor organizations (like above photo) are taking their complaints to the government with reports against employers, who have followed through with their warning (above) about non-compliance.

Just since it's implementation in April, there have already been dozens of complaints over various methods employers have used to circumvent Yingluck's policy, eg. off-setting the expense of previously-provided free items to come up with a 300 baht daily salary and also cases where companies have actually lowered the wages of those workers that had earlier made more than 300 per day in order to pay the added expense of paying 300 to all.

There are also complaints that a number of workers were laid-off just before April start date in order to avoid paying severance monies based on the new rate.

The labor unions are demanding that the Pheu Thai Party follow through with their election promise and rectify all these shortcomings of their scheme.

We'll see what she does.

Wonder what the punishment is for an employer for underpaying? If the punishment is anything like normal Thai law, probably 5,000 baht .......

[trainman34014]

'Only 73 written complaints have been received since April 1st'

Well; chances are that if more Thai's could write properly when they left School there would have been a lot more written complaints !

[hellodolly]

quote

"

BANGKOK: -- Since the Bt300 daily minimum wage was launched on April 1, many businesses have been trying to lay off union activists or limit their roles to prevent them from fighting for workers' rights, a labour leader said yesterday."

What have union activists got to do with it. the Government brought in the law and it should be up to them to enforce it. I would think the activists would be defanged no more need for them. That is providing they are not trying to start up a new union and ask for even more. There is no doubt in any ones mind that the day will come when more is needed but that is not today. And don't even try that nonsense in Some other country they would have to pay more in wages.

There is a lot to do here in the work force but it can not be done today or the export business will disappear. Take it in small steps.

A good example would have been the Democrats idea of 275 baht with a year and a half for business to get used to it before it is implamented. Far less job's lost.

Edited May 15, 2012 by hellodolly

[dksharron]

The head union activist here disappeared 20 years ago.

Unions here do not have the same power as they do in the US, and certainly not Korea.

They are organizations, but do not have the same negotiation powers as elsewhere.

The country can increase its wages and still export just fine, the only change will be the super rich here will not be able to continually accumulate profits at the same breakneck speed. It will have to slow down. Super rich Thais do not offshore their money, they invest it where they have an advantage, and that is here. They will not sell up and move to another country,

[BigJohnnyBKK]

Another rant by the anti-union backed Nation group.

But it's a pro-worker rant?

Just read in The Guardian that a Thai firm C.P.Foods tabled a 2.5 billion pound bid for British frozen food firm Birds Eye. With this sort of money floating around in Thai companies, I find it incomprehensible that Thai firms can't find a miserable 300 baht a day to pay their employees. I am prepared to wager that British employees of Birds Eye are not going to accept a wage of $10 a day.

A company's assets and profits have nothing to do with how it compensates its employees; it will always try to keep labor costs as low as possible, except of course for the top-level decision-makers.

[Thai at Heart]

The head union activist here disappeared 20 years ago.

Unions here do not have the same power as they do in the US, and certainly not Korea.

They are organizations, but do not have the same negotiation powers as elsewhere.

The country can increase its wages and still export just fine, the only change will be the super rich here will not be able to continually accumulate profits at the same breakneck speed. It will have to slow down. Super rich Thais do not offshore their money, they invest it where they have an advantage, and that is here. They will not sell up and move to another country,

They do not offshore their money? Not the ones that I have worked for. Hong Kong and Singapore being the favourites. Ever heard of transfer pricing?

[scorecard]

Grumbling by workers about not being paid the full Bt300 is commonplace, but only 73 written complains have been received by the TLSC since April 1.

Well maybe that indicates the level of literacy amongst the 300 baht or less a day brigade!

It was a shocking error of judgement to offer 300 baht as a minimum wage so soon! The Government have looked after their own by cutting corporate tax, now they will need to look after the people that voted them in. Next stop.....national bankruptcy!

...only 73 written complaints...

Also a reflection of the fear that employees have of raising issues in general in this country (and many other countries).

Just recently a friend of my Thai son got fired because she dared to ask about the 15,000 min start salary for new graduates.

Also reminds me of friends of my Thai son - they protested about the quality of teaching at their university (several teachers often didn't turn up / teachers spent most of the class time on their mobile phones / no written materials prepared by the teachers - just listen to me talk off the top of my head (when I'm not on the phone) and make your own notes).

They all failed every subject for the next two semesters, plus none of them ever got a grade above 'C' after their protest.

Edited May 15, 2012 by scorecard

[alant]

Another rant by the anti-union backed Nation group. Just read in The Guardian that a Thai firm C.P.Foods tabled a 2.5 billion pound bid for British frozen food firm Birds Eye. With this sort of money floating around in Thai companies, I find it incomprehensible that Thai firms can't find a miserable 300 baht a day to pay their employees. I am prepared to wager that British employees of Birds Eye are not going to accept a wage of $10 a day.

does this mean birds eye products on Thai supermarket shelves?

[moe666]

The government reaponse will be that they didn't promise that you would actually get it, only that they will institute it

[mca]

'Only 73 written complaints have been received since April 1st'

Well; chances are that if more Thai's could write properly when they left School there would have been a lot more written complaints !

Before denigrating Thais and their ability to write properly it might be worthwhile to note that school doesn't require a capital letter.

[Buchholz]

The government reaponse will be that they didn't promise that you would actually get it, only that they will institute it

Wondering if the new and even further changes to the following labor laws will be enforced to a better degree than the non-compliance with the new wage rules... or if they will also be non-applicable to the worker because employers are allowed to circumvent the rules.

.

[Buchholz]

New work conditions for maids, trawler crews

Housemaids and crewmembers of fishing trawlers will have their working conditions improved if an amendment to a labour regulation bill - approved in principle by the Cabinet yesterday - is passed on.

According to many altered conditions in the bill, those working as domestic maids are entitled to a weekly oneday break, and have the choice of enjoying all national holidays or being paid for them. They will also be granted paid sick leave, and have paid vacations. The bill stipulates no person under 15 can be hired as a domestic.

Strict working conditions enforced on Thai and immigrant crew members working on fishing trawlers are also relaxed on trawlers with fewer than 20 crew members or on trawlers which travel off Thai waters for more than a year in each trip.

Full details of these conditions have yet to be released.

-- The Nation 2012-05-15

[JVichitt]

Another rant by the anti-union backed Nation group. Just read in The Guardian that a Thai firm C.P.Foods tabled a 2.5 billion pound bid for British frozen food firm Birds Eye. With this sort of money floating around in Thai companies, I find it incomprehensible that Thai firms can't find a miserable 300 baht a day to pay their employees. I am prepared to wager that British employees of Birds Eye are not going to accept a wage of $10 a day.

I've read articles about a CP executive who wants the minimum wage to go even higher than 300/day.

Minimum wage increases won't hurt these giants. Increases will instead decrease the profit margins of smaller enterprises that operate on low profit margins. These smaller businesses are going to go under while monolithic companies extend their market share. These dangers don't affect the politicians connected to mega-rich industrialists, but they will probably destroy the entrepreneurial middle class and cause a surge in un/underemployment.

[Rosco911]

What a lot of people fail to see is the wage rise has caused for many companies internal problems. For example our cleaning lady has just received 2000 THB per month rise. The Thai staff that already receive more than the minimum wage are angry saying its unfair and she does deserve the rise. Our accounts department (Thai staff) are saying that the welfare payment we give of 40THB per day and 40THB per day traveling allowance should be taken into consideration.

Although Thai culture shows that Thai's will always back Thai's it is not the case when one receives money and the others do not.

[KKvampire]

Thai companies screwing their Staff all the time, and also treating them bad when they are employed with the attitude of "If you dont like it we get someone else" Harks back to the Thatcher days in the Uk 1980s

[givenall]

What a surprise. Force unjust wage increase condition without any productivity improvement to the business and hope they will continue business as usual, think again

[KKvampire]

What a surprise. Force unjust wage increase condition without any productivity improvement to the business and hope they will continue business as usual, think again

Unjust wage increase? These companies are making huge profits on the backs of cheap labour , Their profit margins are huge because the Labour costs are so small.

[lujanit]

Unjust wage increase? These companies are making huge profits on the backs of cheap labour , Their profit margins are huge because the Labour costs are so small.

Care to back that statement with credible and verifible references?

[billd766]

Thai companies screwing their Staff all the time, and also treating them bad when they are employed with the attitude of "If you dont like it we get someone else" Harks back to the Thatcher days in the Uk 1980s

You mean in the "good old days" when the unions thought they had the right to run the country and companies and stating if they didn't get at least a 25% pay rise they would walk out..... and they did?

Ask any of the rank and file how much money it cost them in the miners strike and where the UK mining industry is today and the same goes for the UK motor industry thanks to "Red Robbo.

Then ask the workers if all their union leaders only lived on strike pay too.

I am not against unions provided they are properly led and do the job they are there for which is to help and protect the workers and not as the UK used to be "thinking that they were above the law and rules didn't apply to them.

Edited May 15, 2012 by billd766

[belg]

when all those promises were made, and the government formed, where was the opposition to fight the approval of this sudden wage hike, that WILL hurt the country, when businesses will start moving to much lower salary countries ???

another shot in the foot.

did people suddenly start to be more productive and competitive with the major salary increase ? I guess we can ask the farang companies employing people for their advice...

i tought companies came to thailand because of the one thing they posses: cheap (mostly) unskilled workers

who benefits from driving up the unemployment ?

same people who voted blindly this party into government with false promises will end up in costing their livelyhood in the long term

[Unkomoncents]

What a surprise. Force unjust wage increase condition without any productivity improvement to the business and hope they will continue business as usual, think again

Unjust wage increase? These companies are making huge profits on the backs of cheap labour , Their profit margins are huge because the Labour costs are so small.

True, but there are a lot of "hidden" costs associated with doing business in Thailand. I'm not sure that the profit margins always come out to be so big, especially if you aren't particularly well-connected.

[kerryk]

when all those promises were made, and the government formed, where was the opposition to fight the approval of this sudden wage hike, that WILL hurt the country, when businesses will start moving to much lower salary countries ???

another shot in the foot.

did people suddenly start to be more productive and competitive with the major salary increase ? I guess we can ask the farang companies employing people for their advice...

tought companies came to thailand because of the one thing they posses: cheap (mostly) unskilled workers

who benefits from driving up the unemployment ?

same people who voted blindly this party into government with false promises will end up in costing their livelyhood in the long term

You did know that Thailand has no unemployment? Thailand imports workers from Burma. Australia wants to import skilled construction labor from Thailand? Ford has just opened a new plant in Thailand that will produce 500,000 new cars per year.

No one has ever starved in Thailand. Thais are not real energetic. Work that is not fun is not liked very much.

The reason so many women and men go to work in bars is because work in bars is fun.

Thais like to have fun. Sanook. Dance and sing and drink and stuff. Just thought I would mention that.