The Labour Ministry is calling for the government to increase its contribution rate to the Social Security Fund (SSF) from 2.75% to 5%, in line with countries with advanced social security programmes.
Labour Minister Phiphat Ratchakitprakarn said he attended a meeting on Wednesday with three subcommittees involved in the management of SSF investments.
They were the investment management subcommittee, the risk management subcommittee and the alternative asset investment advisory subcommittee.
Ministry officials who attended the meeting included Aree Krainara, secretariat to the Labour Minister, and Marasri Jairangsee, secretary-general of the Social Security Office.
During the meeting, he suggested enhancing the efficiency of SSF's investments.
He proposed raising the government's contribution rate from the current 2.75% to 5%, matching the rates of employees and employers.
This adjustment aims to generate more investment capital, aligning with the standards of countries like Sweden and Estonia, he said.
He said he also suggested that the wage ceiling for calculating contributions be increased to ensure the fund's long-term sustainability and ability to provide enhanced benefits.
Since 1991, the ceiling has been fixed at 15,000 baht, which no longer aligns with the current economic conditions, he said.
So, the Labour Ministry will increase the ceiling in three stages, he said.
The ceiling will be revised to 17,500 baht from 2026 to 2028, to 20,000 baht between 2029 and 2031 and to 23,000 baht from 2032 onwards, he said.
Ms Marasri said benefits tied to the wage ceiling, such as income replacement, sickness, disability, unemployment, maternity leave allowances, death benefits and retirement pensions, have been limited for individuals earning more than 15,000 baht per month due to the unchanged ceiling.
So, it is appropriate to lift the wage ceiling for contribution calculation to ensure that fund members receive improved benefits that are more consistent with the current economic conditions, she noted.
Mr Phiphat said he also proposed that workers of certain professions be given the option to extend their retirement age beyond 55.
This would allow individuals to continue working and gain benefits from the prolonged investment returns.
In addition, he said he recommended broadening the fund's investments by increasing portfolio exposure to riskier assets, international assets and alternative investments.
A particular focus was placed on low-cost, diversified index funds to maximise returns.
He emphasised that all investments must comply with international standards and build trust among stakeholders while highlighting workforce development and incentives as critical to achieving strong fund performance.
