What are the employment requirements for decoration companies in Thailand?
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Thailand has strict employment requirements for decoration companies, and the following are specific regulations:
Localization employment ratio
Technical positions must employ no less than 70% Thai employees.
For every foreign employee employed, 4 Thai employees must be employed simultaneously.
Legal entity restrictions
Foreign construction companies can only exist in the form of joint ventures.
Work permit
All foreigners working in Thailand must first obtain a work permit issued by the Ministry of Labour of Thailand. Foreigners without a work permit are prohibited from engaging in any form of work in Thailand.
Foreigners applying for work permit must be allowed to legally reside in Thailand or enter Thailand with non immigrant visa according to the immigration law. Foreigners holding tourist or transit visas are not allowed to apply.
Job restrictions
Thailand basically takes a positive attitude towards foreigners applying for work permits for investment, business and teaching in Thailand, but strictly restricts foreigners to engage in the following 27 types of work:
Woodcarving work
Driving cars or other non motorized vehicles, except for driving national flights and forklift driving
Auction
Jewelry and Diamond Processing
Beauty and Hairdressing
Handmade Weaving
The work of weaving mats or making utensils using jute grass and bamboo
Handmade papermaking
Lacquerware production
Thai instrument making
Ma Yin inlay production
The production of gold, silver, and copper jewelry and utensils
Stone tool making
Thai Doll Making
Sangha bowl making
Handmade Thai silk production
Buddha statue making
Making paper or cloth umbrellas
Work as a manager or agent, excluding international investment and trade agents
Thai massage
Handmade cigarettes
Tour guide and travel agency work
Individual small vendors
Hand printed Thai characters
Hand drawn silk
Clerical work or secretary
Legal services or legal proceedings, except for arbitration, assistance in work, or agency arbitration proceedings.
Labor quota management
Companies planning to employ foreigners must meet the following conditions before they can employ foreign employees:
Every 2 million Thai baht of paid in registered capital corresponds to one foreign employee quota, with a maximum of 10 people (at the discretion of the Ministry of Labor). A company that has already hired 10 foreign employees must meet one of the following conditions in order to increase the number of foreign employees:
Pay at least 3 million Thai baht in corporate income tax in the previous year
Obtain at least 30 million Thai baht in revenue through export business
Recruit at least 5000 foreign tourists through tourism business in the previous year
Hire at least 100 Thai employees
The Ministry of Labor may grant exceptions (depending on the situation)
Foreign companies operating in Thailand are allowed to hire one foreign employee for every 3 million Thai baht of registered capital.
Non tax incentives
Non tax benefits provided by BOI:
Not limited by the number of Thai employees employed
Allow the introduction of skilled foreign technicians or professionals to work in projects that enjoy investment benefits
The number of work visas and work permits depends on the scale of the project, the reasonable reasons for hiring foreign employees, and the submitted business plan.
Non tax incentives provided by industrial parks:
Allow the introduction of foreign experts and technicians to work in the country, and provide visa and work permit services.
Other regulations
Employers require employees to obtain their consent for overtime work, and must pay employees overtime pay if the maximum working hours are exceeded. Employees are not allowed to work more than a maximum of 48 hours per week.
Employees are not allowed to take paid sick leave for more than 30 working days. If an employee takes sick leave for more than 3 days, the employer may require them to provide a medical certificate.
Employees who have worked continuously for the same employer for at least one year are entitled to no less than six days of paid leave each year in addition to national statutory holidays.
In Thailand, female employees can enjoy a total of 98 days of maternity leave, including holidays (the definition of maternity leave includes a series of prenatal check ups before giving birth), but only 45 days are paid leave.
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