Bangkok: The Federation of Thai Industries (FTI) has raised concerns over the new draft Labor Protection Act, urging its review due to potential impacts on the economy, employment, and competitiveness. The Joint Standing Committee on Commerce, Industry, and Banking (JSCCIB) has submitted a letter to the government and Mr. Charat Kumkhainam, a Member of the House of Representatives and Chairman of the Special Committee on the Consideration of the Draft Labor Protection Act, requesting a thorough review of the draft.
According to Thai News Agency, the draft of the Labor Protection Act was considered by the House of Representatives on 24 September 2025, where the principles of two drafts were accepted. A special committee was established to review the draft in detail before presenting it to the House of Representatives for further consideration. The committee is expected to deliberate within 15 days. The FTI stresses the importance of aligning actions with the economic situation and the country’s readiness to maintain competitiveness and investor confidence.
The FTI supports enhancing workers’ quality of life in line with international standards, including appropriate working hours and leave rights. However, it warns that reducing working hours from 48 to 40 per week and increasing holidays could raise labor costs, particularly affecting SMEs. This might lead to business closures and layoffs, with a potential impact on workers’ income. The FTI advocates for a clear quantitative assessment of these impacts and appropriate mitigation measures, noting Thailand’s economic structure and reliance on manual labor.
The FTI also highlights the need for compliance with Article 77 of the Constitution, which mandates comprehensive consultation and impact analysis from stakeholders. The organization notes a lack of sufficient quantitative data, which could directly affect relevant groups.
To address these concerns, the FTI proposes several guidelines to balance labor protection with maintaining competitiveness. These include retaining the existing Labor Protection Act of 1998, establishing a transition period for adaptation, linking legal changes with technology and skill development policies, increasing legal flexibility, offering economic incentives for workforce upgrades, and ensuring private sector representation in the special committee.
The FTI underscores the importance of reconsidering the draft Act, emphasizing that improving workers’ quality of life should coincide with maintaining economic and employment stability for sustainable benefits.