Thailand Raises Wages To Fight For Labor, Or Cause Pfer Of Production Base.

Thailand

The pfer to 300 baht led to an overall wage increase in the business sector, an increase in wages and wages, and operators' competition for skilled workers in the labour market, and reduced training for workers.

This situation may lead the shoemaking and textile industry to pfer production bases to border areas or neighbouring countries.

The Thailand footwear industry association, Chang Chung Ning, said that after the implementation of the policy of 300 baht wage per worker, it was right.

Because the footwear industry is a labour intensive industry, more than 50% of the domestic and foreign workers are in the industry. Wage raising measures cause chain reaction. Due to the shortage of skilled workers in the market, operators should increase the daily wages of skilled workers to avoid the loss of skilled workers.

It takes time for workers to improve their skills, but there are no relevant measures to support the actual operation of operators.

He points out that the shoe industry acknowledges that

The shortage needs more reliance on foreign labor to maintain production, raising the daily wage to 300 baht without considering the proficiency of the workers, which is equivalent to a new standard for workers to pay for the remuneration, and the industry needs to increase wages for skilled workers at all levels.

The industry does not want to criticize the government's policy of adjusting wages to workers, but it hopes to have corresponding training measures for skilled workers and provide appropriate support to operators in related industries, such as assisting operators to open up foreign markets, developing gold aid providers, and developing labor skills. Instead, the government emphasizes that operators should rely on their own strength to make adjustments.

Poor Ning revealed that if the domestic situation has not improved, the shoe industry operator's final solution is to shift the factory to the border area, such as the border area near Burma or neighbouring countries, because Burma starts to open up the country. After a certain period of time, the Burma workers in Thailand will return to domestic development in large numbers, Thailand operators or no longer rely on foreign workers, which will lead to the Thailand shoe industry or only the functions of middlemen.

Wang Luo, vice president of the Thailand Industrial Association, said that after the 7 national government took the lead in implementing the daily wage of workers to 300 baht policy, it found that many industries had a chain reaction to raise their daily wages to different posts.

If the daily wages of skilled workers do not correspond to a certain extent, it will not be possible to stimulate the workers with the minimum day salary to improve their own working skills.

If operators want to improve their mechanization level, they will increase investment, but it may be the best way for labor-intensive industries to pfer factories to neighbouring countries in the end.

The big city government Association, Chang pacheng, revealed that at present, many factories in big city government have posted notices to recruit large numbers of workers after song and Kok Festival, because nearly 100 thousand of them have been forced to stop work and unemployment due to the recent recovery from the devastating floods in some big cities.

However, at present, the overall situation is that factories have not yet fully recruited workers. The machinery and equipment for replacing flood losses have not yet been pported, and some factories have closed their original plants to build new factories elsewhere.

There is also labor shortage in the labour market. Part of Thailand workers are one of the reasons for job picking.

If the government does not reform the education system, it will increase the dependence of domestic factories on foreign workers, and eventually some factories will move to neighboring countries.