Legal Section - Doing Business
You will find here a series of summaries providing an overview of useful legal regulations, processes and legal issues for Doing Business in Thailand.
Revised investment incentives in EEC
By virtue of the Investment Promotion Act, the Board of Investment (“BOI”) issued BOI Announcement No. 2/2020 on 15 January 2020, revising the investment incentives to be offered to private investors who conduct business in the EEC area, which covers three provinces: Chachoengsao, Chonburi, and Rayong.
Severance pay for employees on daily wages
Employees that receive their wages on a daily basis are entitled to severance pay when their employer terminates their employment, the same as full-time employees.
Overtime hours
Under the Labour Protection Act (“the Act”), an employer generally cannot force an employee to work more than the normal working hours set out in the employment agreement, or on a holiday.
Automatic registration of an employer with the Social Security Fund
After an entrepreneur establishes a legal entity with the Department of Business Development (“DBD”), it is required to register itself as an employer and its employees with the Social Security Office (“SSO”) within 30 days of employment in accordance with the Social Security Act. The current registration process is often inconvenient and cumbersome.
Exemption from remitting minimum capital
A company which must apply for a foreign business licence (“an FBL applicant”) to conduct a business restricted under the lists annexed to the Foreign Business Act, such as engineering and service businesses, must have minimum capital of at least THB 3 million or 25% of estimated expenditures for three years, whichever is greater.