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In brief

Further COVID-19 relief measures were announced this week by the government to provide financial support to employers and employees affected by the continued rise in COVID-19 infections, in addition to those that had already been put in place, including those mentioned in our previous newsletter update (link). The additional measures include:

  • Reduction of the contribution rate to the Social Security Fund (“SSF“) – On 18 May 2021, the Cabinet approved in principle the draft Ministerial Regulation regarding the Contribution Rate to the SSF (“Ministerial Regulation“). According to the Ministerial Regulations, the monthly contribution rates of the employers and the employees to the SSF will be reduced from 5% to 2.5% of wage applicable for the period between 1 June 2021 and 31 August 2021 (i.e., three months).
  • Reduction of the contribution rate to the Skill Development Promotion Fund (“Fund“) – On 7 May 2021, the Ministry of Labour issued the Notification regarding the Contribution Rate and Method for Collecting the Contributions to the Fund to Alleviate the Hardship of Business Operators Affected by the COVID-19 Outbreak (“Notification“).

Generally, if an employer who has at least 100 employees does not comply with certain skill training requirements under the law, they will have to contribute money to the Fund. The formula to calculate the contribution amount is as follows:

  • Minimum wage base x number of employees that the employer fails to fully comply with the legal requirements x number of months that the employer has at least 100 employees x 1% (“Contribution Rate“).

According to the Notification, effective from 1 January 2021 onwards, the Contribution Rate is reduced from 1% to 0.1% for 2021.

  • Extension of the contribution filing deadline to the Fund – Generally, the employer who has at least 100 employees and has a duty to pay a contribution to the Fund must submit the contribution filing to the Fund within March every year. Under the Notification, the contribution filing deadline to the Fund for the year 2020 is extended from within March 2021 to within July 2021.

Apart from the above measures, it is expected that additional COVID-19 relief measures may be announced in the near future to alleviate the impact of the prolonged COVID-19 situation. We will keep you posted on further developments on this matter.


Suriyong Tungsuwan joined Baker McKenzie in 1982 and became a partner in 1993. He is active in the areas of corporate and commercial law, mergers and acquisitions, real estate and property development, labour, employment, executive transfers, and trade regulations and customs.


Nam-Ake Lekfuangfu is a partner of the Labour and Employment practice group in Bangkok. Over 10 years of experience, his extensive legal expertise, combined with insights on industrial knowledge and practices have contributed to him being named a “Next Generation Lawyer for Labour and Employment” in Thailand by Asia Pacific Legal 500 in 2019. Mr. Lekfuangfu was lead lawyer for a wide range of employment matters involving high profile clients. He assists clients on employment and immigration work, ranging from day-to-day advice to complex matters, such as advising on employment trends impacting employers globally, including global mobility, the use of a modern workforce, and addressing the gender pay gap.


Theeranit joined Baker McKenzie in 2013 and is active in the Corporate and M&A and Labour and Employment practice groups. He focuses on labour law and trade regulations. Theeranit has advised and assisted various multinational companies on a wide range of issues that concern labour and commercial and trade laws.


Ketnut Pukahuta is an Associate in Baker McKenzie Bangkok office.

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