Population
68.9M
Currency
Thai Baht (THB)
Languages
Thai
Capital
Bangkok
Cost of Living
38.62
(US 69.92)
Time (UTC)
UTC +7
Government
Constitutional Monarchy

Hire in Thailand without an entity and fully compliant with local labor laws

Thailand, whose name means "Land of the Free," has a well-developed infrastructure, a free-enterprise economy, and investment-friendly policies. Many of the country’s 1,430 islands are well-known for their appearances in Hollywood blockbusters. 

Thailand is the world's 50th-largest country and is approximately 74% of the land area of Texas.

Get to know Thailand

The Southeast Asian country offers a tropical climate and spectacular landscapes. Thailand attracts millions of tourists to her mountains, hills, plains, white sand tropical beaches, and a long coastline along the Gulf of Thailand and the Andaman Sea. 

Thais are known for their hospitality and stopping visitors on the sidewalk simply to welcome them to the country. A frequently-shared phrase, "mai bpen rai," roughly translates as "no worries" or "no problem" and perfectly conveys Thailand's relaxed culture. 

Thailand is the only Southeast Asian country never colonized by a European power. Exports account for more than 70% of GDP, giving Thailand a strong position in the global economy.

The World Bank classifies Thailand as a upper-middle economy with the following trade agreements and alliances: 

Trade Agreements:

  • APEC - Asia-Pacific Economic Cooperation
  • ASEAN - Association of Southeast Asian Nations
  • RCEP - Regional, comprehensive economic partnership

Alliances:

  • ADB - Asian Development Bank
  • Non-Aligned Movement
  • G20 - Developing Nations
  • UN - United Nations
  • UNESCO
  • WTO - World Trade Organization

“Must know” if you’re hiring in Thailand without an employer of record

Entity requirements
Mandatory hiring contracts & clauses
Different compliance risks for full-time vs. contractor employees
Mandatory probationary periods
Allowable working hours & overtime wage laws
Timecard and attendance records
Required employer payroll, labor insurance, and tax payments
Discrimination protection
Notices & termination regulations

Budgeting for Thai employees

Hiring remote Thai professionals is smart and economical, assuming you’re fully compliant with local tax, labor, and wage laws.
Employee Classification–Full-time vs Contractor

Full-time Employee

  • Performs work at the place and times as agreed with the employer
  • Fixed salary or a minimum guaranteed salary 
  • Controlled by management
  • Works with the materials put at their disposal by the employer
  • Exclusivity

Independent Contractor

  • Works independently
  • Freely determines the place of the performance of the services
  • Paid for the result of the work done
  • No minimum guaranteed income
  • Employer has no right to take disciplinary actions
  • No exclusivity
Employment Contracts

A written employment contract must include essential clauses:

  • Names of parties entering into the agreement 
  • Hiring agreement
  • Description of the work to be performed
  • Duration 
  • Wages and other compensation to be paid
  • Effective date of the contract
  • Signatures of all parties
Probation Period

Three to six months

Standard Working Hours & Overtime
  • Seven hours per day
  • 42 hours per week
  • 36 hours maximum overtime per week
Payroll Frequency

Monthly

Wages & Bonuses
  • Minimum daily wage = $8.72 - $9.36 
  • Differs across provinces

USD equivalent median salaries

  • Data Scientist - $53,104 USD
  • Electrical Engineer - $20,479 USD
  • Hardware Engineer - $73,010 USD
  • IT Manager - $44,563 USD
  • Mobile Developer - $33,907 USD
  • Product Manager - $26,736 USD
  • Project Manager - $36,949 USD
  • QA Engineer - $20,238 USD
  • Software Engineer - $36,981 USD
  • System Administrator - $36,363 USD
  • UX Designer - $31,511 USD
  • Web Developer - $45,781 USD
Payroll Taxes & Employer Contributions
  • 3% Pension
  • 1.5% Health insurance
  • 0.5% Unemployment
  • 0.2% - 1% Work Injury
Benefits
  • Life-death coverage
  • Disability 
  • Medical treatment (health insurance)
  • Maternity benefits
  • Old age benefits
  • Child allowance
  • Workers' compensation

Medical Treatment Benefits

  • Medical examination expenses
  • Medical treatment expenses
  • Lodging, meals and treatment expenses in the hospital
  • Medicine and pharmaceutical expenses
  • Cost of ambulance or transportation for patient
  • Other necessary expenses

Paid leave

Maternity 

  • 90 days

Paternity 

  • 15 days

Vacation/PTO days

  • 15 days

Sick Days

  • 30 days

Additional Leave

  • Bereavement leave
  • Military leave

Additional Benefits

  • Life insurance
  • Wellness benefits
  • Flexible scheduling
  • Home office

Holidays

Thailand celebrates 19 national (public) holidays and multiple observances a year. Some have fixed-dates according to the Gregorian calendar. Others are based on the Lunar calendar and thus observed on different dates each year. 

 

The most important fixed date holidays are:

  • New Year’s Day (January 1)
  • Labour Day (May 3)
  • Thailand Constitution Day (December 10)
  • New Year’s Eve (December 31)

The most important Lunar calendar holidays are:

  • Makha Bucha (February)
  • Visakha Bucha (May)
  • Asalha Puja (July)
Termination & Severance

Notice period

  • Three months

Severance pay

  • One year = 30 days’ wage
  • Two - three years = 90 days’ wage
  • Three - six years = 180 days’ wage
  • Six - 10 years = 240 days’ wage
  • 10 - 20 years = 400 days’ wage

Non-compete Agreements

  • The court will evaluate whether the firm has a legitimate interest and if the non-compete agreement is required to safeguard it.

A few fun facts about Thailand

  • Bangkok's official name is one of the longest in the world: Krung Thep Mahanakhon Amon Rattanakosin Mahinthara Ayuthaya Mahadilok Phop Noppharat Ratchathani Burirom.
  • Thailand is home to the world's smallest mammal, the bumblebee bat, and the world's largest fish, the whale shark. 
  • Thai people rarely cook at home, the kitchens in their small apartments typically only include a sink and fridge for essential items
  • It’s illegal to leave your house without underwear on or step on any Thai currency.
  • The Thai alphabet contains 76 letters – 44 consonants, and 32 vowels!

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