Pay policy driving local bodies to wall | Bangkok Post: news

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Pay policy driving local bodies to wall

The government's policy of raising the salaries of bachelor's degree holders is driving some local administration organisations to bankruptcy, the Municipality Assembly of Thailand said.

Sombat Chanasit, an executive member of the assembly, said about 80% of local administration staff nationwide will not be paid this month, if the government does not inject more money to cover their pay.

Some organisations' coffers were running dry because government subsidy makes up 10% of their budget.

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Writer: Pakawat Sunpituksaree & Assawin Pakkawan

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  • Discussion 1 : 10/02/2012 at 04:52 PM1

    This is what happens when raises are given as promised in campaigning, yet nothing is thought out in how to pay for them. Praise the current government for starting the bankrupting of all social agencies, and programs. This is just the start.

    With the fallout from the required wage raises, the increase in rice prices from the mortgage scheme, the interferance in rubber prices, increased government debt, and who knows what else will be thought up, there isn't such a pretty picture for Thailand's economic outlook in the next five years. Bankrupcy is a real possibility in all sectors of business, and the government.

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