Contributor
Sorrawis Wimonkulwanich
Legal Manager
Effective July 1, 2025, Bangkok has raised minimum daily wage to 400 baht, up from the previous rate of 372 baht. This marks a key step in the Thai government’s push to improve worker welfare and stimulate economic growth, particularly in tourism and service sectors.
Who will benefit from this?
The new 400-baht minimum wage applies to:
- All Thai and foreign employees in Bangkok area
- Employees of hotels with more than 50 rooms or rated two stars and above
- Entertainment venues nationwide (e.g., karaoke bars, cocktail lounges)
Previously, only select provinces—Phuket, Chonburi, Rayong, Chachoengsao, and Koh Samui—had
adopted the 400-baht rate. Other areas ranged from 337–380 baht per day.
What the Change?
Thailand’s National Committee approved the increase by a two-thirds majority. Their focus: tourism and hospitality sectors, where businesses are considered better equipped to absorb the added costs.
Expected Impact on Workers
Around 700,000 workers will benefit from this wage hike. Advocates say it will:
- Boost incomes and reduce income inequality
- Increase consumer spending, especially in labor-intensive industries like hotels, restaurants,
and entertainment - Help businesses attract and retain skilled staff, amid labor shortages in post-pandemic
recovery
Concerns From Businesses
Not everyone welcomes the change. Many small and medium-sized enterprises (SMEs) have raised
concerns.
Key points from business groups like the Federation of Thai Industries (FTI) and Thai Chamber of
Commerce include:
- Rising costs could lead to layoffs, business closures, and higher prices for consumers
- The increase comes during a time of economic stagnation, high household debt, and global
uncertainty - They’ve proposed a delayed or targeted approach, tailored by region or sector, instead of a
one-size-fits-all policy
What’s Next?
The government is preparing support measures for affected businesses, especially SMEs. These may
include:
- Low-interest loans
- Access to advisory services and tools to ease compliance
The long-term success of this wage policy will shape future debates around Thailand’s labor laws and
economic direction.
Minimum Wage Comparison Table
Area | Previous Minimum Wage | New Minimum Wage (from July 1, 2025) |
Bangkok | 372 baht/day | 400 baht/day |
Key Sectors (All provinces)
|
| 400 baht/day |
Need Help Navigating the New Wage Policy?
The minimum wage increase presents both opportunities and challenges. Our legal team is ready to
support your business through this period of change, providing expert guidance tailored to your industry
and scale. Together, we can navigate the complexities of the new wage policy to ensure sustainable
growth and resilience in Bangkok’s evolving economic landscape
