Employer of Record in Tailandia

How does EOR hiring work in Thailand?

An Employer of Record (EOR) in Thailand is a company that legally hires employees on behalf of foreign employers who do not have a legal entity in the country. Foreign employers benefit from the EOR model because it helps them scale into new markets without the administrative burden of a new company setup and without navigating an unknown legal framework. The foreign company remains responsible for managing the employee’s daily work and performance while the EOR, like Rivermate, handles all other aspects.

Thailand labor market: At a glance

The hiring market
Greatest hiring activity:	Strategic regional hub in Southeast Asia; high demand across tech, software development, sales, customer support and business development. Also a major hub for international NGOs, human rights organizations and UN agencies.
Hiring timelines:	Locals (Thai ID holders): about 1 week Foreign nationals (Non-immigrant B & Work Permit): Typically 3 months, with the possibility of faster turnaround under BOI procedures.
In-demand sectors:	Tech and software engineering, digital marketing, sales, business development, regional operations of international organizations.
Recent legislation impacting hiring:	Implementation of Employee Welfare Fund (EWF) effective 1 October 2026. Implementation of Destination Thailand Visa (DTV) for digital nomads and freelancers.

The salary market
Employer tax contributions:	Social Security Fund (SSF): 5% (capped at THB 875/month) Workmen’s Compensation Fund (WCF): 0.2%-1.0% (based on risk assessment) Employee Welfare Fund (EWF): ~ 0.25%
Monthly minimum wage:	Variable by province, up to THB 12,000 / month in Bangkok. Different rules apply for foreign nationals.
Average gross monthly salary:	National Statistics Office: THB 15,853 / month. Local EOR experience: THB 30,000 - 45,000 / month.
Personal income tax rates:	Progressive tax rates applied to net annual income: THB 0-150,000: 0% THB 150,001-300,000: 5% THB 300,001-500,000: 10% THB 500,001-750,000: 15% THB 750,001-1,000,000: 20% THB 1,000,001-2,000,000: 25% THB 2,000,001-5,000,000: 30% THB 5,000,000+: 35% Allowances apply.

What will it cost to hire in Thailand?

Thailand offers competitive talent costs while providing a solid infrastructure and attractive lifestyle, particularly for foreign talent. While a 13th-month salary is not statutorily required, a year-end bonus is customary in many sectors. Standard payroll runs on a monthly cycle in Thai Baht, with payments usually disbursed at the end of the calendar month.

Base salary

The official minimum wage in Thailand is set by the National Wage Committee at the Ministry of Labor. The minimums are set as daily rates across provinces and under the Thai Labor Protection Act, employees contracted on a monthly basis must maintain minimum wages above the 30x daily rate for their province. Below are some daily and monthly minimum wages for the highest-tier provinces:

Province	Daily minimum wage	Monthly minimum wage
Bangkok, Phuket, Chonburi, Rayong, Chachoengsao, Ko Samui, nationwide hotel business of category 2, 3 or 4; nationwide service establishment business under the Service Establishment Act.	THB 400/day	THB 12,000/month
Mueang Chiang Mai, Hat Yai	THB 380/day	THB 11,400/month
Nakhon Pathom, Nonthaburi, Pathum Thani, Samut Prakan and Samut Sakhon	THB 372/day	THB 11,160/month

Provinces not listed above have different, lower rates ranging from a minimum of THB 337/day (THB 10,110 per month) in Narathiwat, Pattani and Yala to THB 359/day (THB 10,770 per month) in Nakhon Ratchasima.

Thailand’s average monthly wage was estimated at THB 15,853 in June 2026 by the National Statistics Office. Our local experts state that the typical range of EOR employees hired through Rivermate ranges between THB 30,000 and THB 45,000 / month, depending on region. It is worth noting that beyond the minimums defined above and the common ranges our team sees in practice, foreign nationals applying for work permits in Thailand are also subject to additional minimum earnings requirements.

Employer contributions

Employers contribute 5% of the gross monthly salary to the Social Security Fund (SSF) which covers healthcare, maternity, pension and disability. The SSF contribution is capped at THB 875 per employee per month based on the maximum salary ceiling of THB 17,500 per month. An identical amount is deducted from the employee.

The maximum ceiling of THB 17,500 was set on 1 January 2026 and it is the first time it was adjusted in about twenty years. Prior to 2026, the ceiling was set at THB 15,000. Employers should be aware that the ceiling will next increase 2029 (to THB 20,000) and then in 2032 (to THB 23,000).

Additionally, employers contribute between 0.2% and 1.0% to the Workmen’s Compensation Fund, which covers workplace injuries.

As of 1 October 2026, employers with 10 or more workers that do not maintain a SEC-approved provident fund must also participate in the newly established Employee Welfare Fund (EWF), where the contribution is set at ~0.25% of wages, subject to certain exemptions. The Fund was originally scheduled to be introduced in 2025 but was postponed to 2026. The rate will be valid until 30 September 2031 when it will increase to 0.5% for each party.

Statutory benefits and premiums

The standard working hours in Thailand under the Labor Protection Act are set at a maximum of 8 hours per day and 48 hours per week (42 in certain high-risk roles). The law caps the weekly overtime at 36 hours per week. Overtime is paid at 150% of the regular rate on a normal working day, and 300% for overtime on a holiday.

The following summarizes premiums and key benefits that employers must plan for in Thailand:

• Annual leave: a minimum of 6 working days of paid annual leave is granted after the first year of service is completed. It is common market practice to provide more than the statutory minimum (around 10-15 days).
• Public holiday: The number of public holidays varies each year (usually 16-19 are officially gazetted). By law, employers must grant at least 13 traditional holidays per year, fully paid.
• Sick leave: Up to 30 days of paid sick leave per year. Medical certificates are required for sick leave longer than 3 days.
• Maternity leave: a total of 120 days of leave (increased from 98 days recently), paid by the employer at a 100% rate for the first 60 days, covered by the SSF thereafter.
• Spousal childbirth leave: 15 days of fully paid leave.

Additional benefits

While not mandatory, certain voluntary benefits have become common industry practice in Thailand. These include provident funds (voluntary retirement schemes with contributions anywhere from 2% to 6%), group health insurance (providing access to private hospitals which are not in scope of statutory healthcare access), annual bonuses or 13th-month payments or remote work allowances.

Calculate employment costs

What hiring in Thailand really looks like

Easier to navigate	More challenging to navigate
🟢 Highly attractive lifestyle for international talent and regional operations	🔴 Strict statutory enforcement of severance pay
🟢 Low payroll tax burden and capped contributions	🔴 Complex work permit rules and restricted occupations reserved for Thai citizens
🟡 Flexible remote-work arrangements across provinces	🟡 Registration of employees with specific public hospitals for statutory healthcare

Thailand offers foreign businesses a cost-effective and strategic base in Southeast Asia. However, managing ongoing compliance requires careful attention to local labor laws as well as a number of mandatory administrative steps (such as hospital registrations). Additionally, cultural nuances around business relationships and adherence to local cultural sensitivities must also be taken into account.

What employers must know about hiring foreigners in Thailand

Foreign nationals cannot work legally in Thailand on tourist or business visas. While foreign nationals from many countries can enter Thailand visa-free for short-term business meetings, seminars, conferences or trade shows, taking up employment is not allowed. Local authorities actively enforce rules against illegal employment and visa overstays.

Foreign employees generally require an appropriate non-immigrant visa, commonly Category B, as well as a work permit. It should be noted that local companies are subject to strict foreigner-to-local employee quotas (one foreign employee per four permanent Thai employees) as well as minimum capital requirements.

A separate route includes applications submitted by entities holding the Board of Investment (BOI) license. The license, which provides investment promotion privileges, is issued to legal entities that contribute to the Thai economy (Rivermate included). This special status waives the usual headcount quotas and allows streamlined sponsorship of qualified foreigners.

For dual nationals, it is very important to maintain consistent use of a single passport in the application process as all immigration registrations are tied to a single passport.

Certain occupations cannot be performed by foreigners because they are “reserved” for Thai nationals only. These include legal services, traditional Thai massage, tour guiding, civil engineering, etc. Foreign employers are advised to verify the job role eligibility for a work permit with Rivermate prior to extending employment offers.

Compliance risks that employers must know about

Probationary periods

While there is no statutory minimum or maximum probationary period defined by Thai law, the standard Thai market practice for the probationary period in the country is 119 days. The reason for this particular length is the fact that from day 120 and onwards, statutory severance entitlements begin so employers looking to evaluate an employee’s work typically choose to make the evaluation decision before that moment is reached.

Terminations

When no cause exists for termination, at least 30 days of notice (or payment in lieu) is given,but the actual period is tied to wage-payment dates and can be extended. In cases of termination with cause, the dismissal must meet statutory grounds, which must also be communicated during the separation.

Employees terminated without a cause who have had at least 120 days of continuous service are also entitled to statutory severance pay. Severance is calculated based on their final wage rate and depends on length of service. The table below summarizes the severance requirement:

Service Duration	Severance Requirement
120 days - 1 year	30 days of wages
1 year - 3 years	90 days of wages
3 years - 6 years	180 days of wages
6 years - 10 years	240 days of wages
10 years - 20 years	300 days of wages
20 years +	400 days of wages

Benefits of hiring employees through an EOR in Thailand

Setting up a new entity in Thailand may take anywhere from 2 to 12 months and involves multiple steps, including registrations with the Department of Business Development, opening of a bank account, and application to the Board of Investment. It should be noted that a foreign-majority company may be subject to certain service activity restrictions unless a Foreign Business License is held. Using an EOR like Rivermate is an immediate alternative which allows foreign employers to onboard both local and expat team members in a faster and more cost-effective manner.

Ready to hire in Thailand?

Hiring in Thailand involves balancing competitive talent acquisition with strict local statutory compliance. If you are ready to expand your team or hire a candidate in Thailand, talk to a Thailand Hiring Expert today.

Sources:
Notification of the Wage Committee on Minimum Wage Rate (No.14)
Labor Protection Act
Thailand Average Monthly Wage
Ministry of Labor update on EWF
Ministry of Labor scheduled increase of the social security contributions’ ceiling
Income Table - Immigration Bureau Order No. 12/2568
Maternity leave changes