Industrial Sector Facing Serious Labour Shortage

[Jai Dee]

Industrial sector facing serious labour shortage

The Ministry of Labour will have a discussion with the Ministry of Education, the Ministry of Industry and other agencies to solve the labour shortage crisis in the industrial sector soon. The officials will lay out the system to deal with this problem, and the meeting will take place on November 17th.

Labour Minister Aphai Chanthanachulaka yesterday met with Deputy Prime Minister and Industrial Minister Kosit Panpiemras and Deputy Minister of Interior Piyabutr Cholvijarn and talked about the labour shortage crisis in the industrial sector of Thailand. During the initial assistance, relevant units such as the Education Ministry will attempt to produce qualified human resources quickly to meet the industrial demand.

Meanwhile, the Industry Ministry will help support the labourers, expand the labour market, and administer the labour welfares.

Mr. Aphai has also assigned the Department of Skill Development to help develop labour skills to the new graduates.

Source: Thai National News Bureau Public Relations Department - 11 November 2006

[Ned]

Blah blah blah. Talk on talk on.

[chownah]

If the wages are high enough then people will be clamouring to get the necessary skills.......I think that there is no shortage of people to fill high paying jobs.

Chownah

[cclub75]

relevant units such as the Education Ministry will attempt to produce qualified human resources quickly to meet the industrial demand.

I really love the way they are writing... It's pure poetry.

As for "quickly" we need to understand "20 years" : the time for a new generation to be formed at school... I guess "industrial demand" will need to be patient.

[PeaceBlondie]

relevant units such as the Education Ministry will attempt to produce qualified human resources quickly to meet the industrial demand.

I really love the way they are writing... It's pure poetry.

As for "quickly" we need to understand "20 years" : the time for a new generation to be formed at school... I guess "industrial demand" will need to be patient.

Exactly. When Thai ministers say "quickly" they mean 90 days. I'd say maybe even 40 years, before the industrial labour supply catches up to the rapidly moving target of skilled technical jobs.

[jomama]

There are some serious problems with these equations.

Thailand is esstentially overpopulated, with a low per capita GDP.

Yet they can't get factory workers (partly because they can't pay them well enough).

Yet true unemployment is high (not counting make-work jobs funded by the government).

Yet Thai products are not competitive on the world market (some countries' products are cheaper, some are better made). Let's see, I can't pay my workers well enough, yet my products can't compete in price (forget quality business service) with other developing countries...hmmm.

* Money is disappearing into some big sinkholes like owners' pockets or vast mismanagement (which is probably the most likely).

* Workers who are truly Thai people (not Burmese or Thai Yai) don't want those jobs; they are too busy being coyote dancers or hopeful movie stars or hopeful racing car and motorcycle drivers. They certainly don't want to get their hands dirty.

I wish people would all quit deluding themselves and just turn the party back up full bore. What keeps the economy primed is tourism, letting the good times roll, and foreign investment into foreign managed things like car and truck manufacturing or technology.

China's only going to get stronger and Vietnam is coming more online; the protected days when Thailand's regional neighbors were closed for business are over, and even with several decades of a head start, Thailand can't compete already.

More soap operas might do the trick. A at least people can watch a decent Thai lifestyle on TV.

[Buckwheat]

There are some serious problems with these equations.

Thailand is esstentially overpopulated, with a low per capita GDP.

Yet they can't get factory workers (partly because they can't pay them well enough).

Yet true unemployment is high (not counting make-work jobs funded by the government).

Yet Thai products are not competitive on the world market (some countries' products are cheaper, some are better made). Let's see, I can't pay my workers well enough, yet my products can't compete in price (forget quality business service) with other developing countries...hmmm.

* Money is disappearing into some big sinkholes like owners' pockets or vast mismanagement (which is probably the most likely).

* Workers who are truly Thai people (not Burmese or Thai Yai) don't want those jobs; they are too busy being coyote dancers or hopeful movie stars or hopeful racing car and motorcycle drivers. They certainly don't want to get their hands dirty.

I wish people would all quit deluding themselves and just turn the party back up full bore. What keeps the economy primed is tourism, letting the good times roll, and foreign investment into foreign managed things like car and truck manufacturing or technology.

China's only going to get stronger and Vietnam is coming more online; the protected days when Thailand's regional neighbors were closed for business are over, and even with several decades of a head start, Thailand can't compete already.

More soap operas might do the trick. A at least people can watch a decent Thai lifestyle on TV.

Well said JM!

[Tony Clifton]

My wife is about to hire to hire Burmese staff. We pay more than big factories, no uniforms, no punch clock, eat when you want, free meals every now and then, days off as you like as long as it's reasonable, some get or will get free rent. Still, we're now down to 5 regular employees plus a supervisor after 5 months while a bout 30to 40 have showed up for a few days or two and never came back, not even for wages earned for that short period. Most that worked at once was 16...

One was fired for stealing from the shop, another quit when we caught her drinking on the job with the husband, came back a few days later to work again but sent her back home.

After discussing all of this at the shop, the apparent reason is the younger and less experienced ones are expecting big baht right from the start. Back to your soap operas.

[Steph1012]

Another problem from the Education system is the non-failure of non performers. There is no incentive for most Thai Sudents to do any work as the qualification is a formality (bit like TEFL!) and many of them (not all) respond by doind nothing.

In semi-skilled work, there are plenty of exam quilifications around but few people up to scratch. The application of the skills in the real world cannot take place as most of the qualifications are sham.

On the wages front, there is a prevalent feeling that when wages are rock bottom, its better to do nothing and have just a bit less than what you could earn in a factory. Many of these people are used to being poor, and can stick it out if you are going to offer them 150baht a day jobs.

Early next year there will be the same shock horror regarding lack of English Teachers and how a lack of English skills is affecting the Tourism sector. Many of our students are walking out with Intermediate English certificates but only early learner standard English. Mind you the Principal, the Kids and the proud parents look happy on awards day.

Tony made a good point, there is good money to had by doing nothing in particular if you look the part.

Edited November 11, 2006 by Steph1012

[mbkudu]

Yet they can't get factory workers (partly because they can't pay them well enough).

"Can't"? I was thinking, 'Won't.'

[Indifferent]

I'd be interested to know more about these 10,000 "special" working visa's proposed for the Burmese (as reported in the BKK Post today).

In theory, there shouldn't be any need for special visa's (get a business visa...then a workpermit...simple ) unless of course it's to make it easier to import slave labour and circumvent bureaucracy. Wonder if farang could apply

But to address the thread.

The real skills (and by that I mean highly educated people that can walk the walk rather than highly educated on paper because they paid thier fee) all go abroad. They get educated abroad and stay there where the pickings are good.

Imagine the situation where a uni student from farang land could spend time in thailand and be capable of getting a job at the end of it. They'd only have to pay them the same as they would earn in a McDonalds in farang land and they'd be happy as punch

It's also unfortunate that some of the older farang who have proper qualifications and years of experience are not valued as potential employees. I'm pretty sure there is a large skilled labour force already in Thailand....it's just a shame their not Thai.