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Bangkok Post
Bangkok Post
National
PENCHAN CHAROENSUTHIPAN

Better severance pay for long-serving workers

The National Legislative Assembly (NLA) has passed an amendment bill to the labour protection law, giving workers laid off after 20 years of service the equivalent of 400 days’ pay. The new rate is expected to be in force by January or early February next year.

The NLA voted 179 in favour with five abstentions to pass the bill to increase the severance pay from 300 days to 400 days for workers serving over 20 years. The bill will become law after being published in the Royal Gazette.

The severance rates for workers with other working periods remained unchanged. 

The severance rates after the bill was passed are as follows:

- Workers with more than 120 days, but less than one-year employment are entitled to 30 days’ pay;

- Workers with more one year but less than three years employment are entitled to 90 days’ pay;

- Workers with more than 3 years but less than six years employment are entitled to 180 days’ pay;

- Workers with more than 6 years but less than 10 years are entitled to 240 days’; and 

- Workers with over 10 years are entitled to 300 days’ pay.

The bill also increased other social welfare benefits for workers, particularly the duration of maternity leave, which will be increased from 90 days to 98 days.

It sailed through the second and third readings after the NLA took more than one hour to consider it.

Manas Kosol, chairman of the Employees' Labour Development Council, welcomes the changes. He said it showed the government recognised the importance of labourers, particularly those who have worked for over 20 years.   

Long-serving employees deserve better severance packages since they are their last lump-sum payments after retirement or employment termination, said Mr Manas.

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