The government will go on the offensive in its push for a large daily wage hike for workers next year after this year's modest rise, according to government spokesman Chai Wacharonke.
The government was left disappointed after it failed to encourage the tripartite committee on regulating the daily minimum wage to agree to increase wages. The committee agreed to a hike of only between 2 and 16 baht, or an average of 2.4%. The rate has reportedly irked Prime Minister Srettha Thavisin. Critics have also described the latest hike as a pittance.
However, the wage committee on Wednesday affirmed that it would go ahead with the modest hike decision, initially reached on Dec 8, despite Mr Srettha's strong objection.
While the wage committee has the authority to independently decide on any adjustments to the daily minimum wage rates, the government must express its opinion on what the proper amount should be, Mr Chai said.
More importantly, adjustments are limited to once a year, so a review of the regulations should be made, he said.
The spokesman said the premier was right to say that the baseline 2-baht hike in the southern border provinces was nowhere near enough to even buy half a boiled egg. Mr Chai said he believes that the entire cabinet agrees with Mr Srettha on this point.
Citing findings from a study, Mr Chai said that the suitable amount for a worker and their family is 560 baht per day. Many workers are now struggling to supplement their income, he said. Some hold down two jobs, leaving little quality time for family members, he added.
The daily minimum wage was lifted to 300 baht a decade ago and increased since have not exceeded 20%, said Mr Chai.
"Would you find it acceptable if your children who have graduated with an overseas degree get hired and paid a starting salary of 30,000 baht, and 12 years later they barely earn 36,000 baht a month?" he asked.
Employers who insist they won't be able to keep their business afloat if they were forced to raise the daily minimum wage are clearly incapable of having a business at all, he said.
"These businesses need to adjust to changes around them, and not ask their employees to sacrifice for them," Mr Chai said. "It's totally not right."
He also downplayed fear that a wage hike would result in capital flight and relocation of manufacturing bases to other countries.
Business management isn't all about keeping the labour cost as low as possible, he said. It involves other key factors, including the efficiency of logistics and the transport system, he said.
"Why are business operators in Malaysia and Singapore still able to keep their businesses going while paying far higher wages to their workers?"