Employee Benefits in Thailand, 2022 Update – Key Regulations, Statutory Public and Private Benefits, and Industry Analysis

Both employees and employers fund Thailand’s social security system. Old age, disability, survivors, sickness and maternity benefits, and family allowances are offered under voluntary cover for self-employed persons and individuals with at least 12 months of compulsory cover, who then cease to be covered. The Labor Relations Act is responsible for the provision of severance pay, sick leave, paid vacation, statutory holidays, and terms of employment. The workmen’s compensation insurance provides benefits when there is an occupational injury, illness, or death of an insured.

The Thailand Employee Benefits research report provides an in-depth industry analysis, information, and insights of the employee benefits in Thailand, including an overview of the state and compulsory benefits in Thailand, detailed information about the private benefits in Thailand, insights on various central institutions responsible for the administration of the different branches of social security and the regulatory framework of the employee benefits in Thailand.

Key State and Compulsory Benefits in the Thailand Employee Benefits Market

The main state and compulsory benefits offered in Thailand include retirement benefits, death in service, long-term disability benefits, short-term sickness benefits, medical benefits, workers’ compensation insurance, maternity and paternity benefits, and other benefits.

Retirement Benefits

In Thailand, the payment of retirement benefits is governed by the Social Security Act of August 11, 1990, the provident fund, and the social assistance system. The Ministry of Labor is responsible for the general supervision of the program and the Social Security Office (SSO) collects contributions and pays benefits. Employees in both the formal and informal sectors are covered by the system.

The pension system in Thailand is based on three pillars which are the old-age pension scheme and Social Security Fund (SSF) for all private-sector employees and temporary government employees, Government Pension Fund and the National Pension Fund (NPF) for the private sector and central government employees, and voluntary pension.

Death in Service Benefits

In Thailand, the payment of death-in-service benefits is governed by the Social Security Act of August 11, 1990, the provident fund, and the social assistance system. The Ministry of Labor is responsible for the program’s general supervision, and the Social Security Office collects contributions and pays benefits. Employees in both the formal and informal sectors are covered by this system.

Long-Term Disability Benefits

In Thailand, the payment of long-term disability benefits is governed by the Social Security Act of August 11, 1990, the provident fund, and the social assistance system. The Ministry of Labor is responsible for the general supervision of the program and the Social Security Office collects contributions and pays benefits. Employees under both formal and informal sectors are covered under this system.

Key Private Benefits in the Thailand Employee Benefits Market

The key private benefits offered by employers of Thailand are retirement benefits, medical benefits, death benefits, disability benefits, and accidental death and dismemberment benefits.

Retirement Benefits

Thailand has a sustainable pension system with total pension assets under management as a percentage of the country’s GDP. The annual return on investment of retirement savings can be increased by increasing the proportion of assets invested in riskier assets such as equities. The overall performance of Thailand’s retirement system can be improved by increasing both the coverage of employees in occupational pension schemes and the minimum support level offered to means-tested individuals, as well as by improving the government regulations regarding the private pension system.

Death Benefits

In Thailand, employers provide death benefits to their employees through group life insurance plans, group health coverage plans, and group personal accident plans. Employees are provided 24-hour worldwide protection in case of death due to illness or accident. Generally, employers provide death benefits as part of packaged group health products along with accident or life insurance products.

Medical Benefits

In Thailand, employers provide medical benefits to their employees by subscribing to group healthcare insurance plans. Employees are provided worldwide protection. Critical illness benefits are provided as a rider of group life plans. Employers generally provide packaged group health products along with accident or life insurance products. The medical benefits are provided under group life insurance policies as a rider. However, standalone group medical insurance policies are also available.

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Market Report Overview

Scope

This report provides

• A detailed analysis of employee benefits in Thailand.
• A detailed analysis of the key government-sponsored employee benefits, along with private benefits.
• An exhaustive list of employee benefits, including retirement benefits, death in service, long-term disability benefits, medical benefits, workmen’s compensation insurance, maternity and paternity benefits, family benefits, unemployment, social inclusion program, leaves and holidays, and private benefits.
• Highlights of the economic and regulatory situations relating to employee benefits in Thailand.

Reasons to Buy

• Make strategic decisions using in-depth information related to employee benefits in the country.
• Assess employee benefits of the market, including state and compulsory benefits and private benefits.
• Gain insights into the key employee benefit schemes offered by private employers in the country.
• Gain insights into key organizations governing the employee benefits market, and their impact on companies.