With COVID-19 impacting businesses severely, many entities have experienced difficulties including making decisions to release employees. In this regard there were temporary changes to the Social Security law to alleviate the damage to employees. As of August 2020, we would like to provide some updates as follows:

(1) “Force majeure” standing down benefit is coming to an end

The Labour Ministerial regulation re: benefits for unemployment due to force majeure caused by the spread of pandemic disease specifically included COVID-19 into the definition of force majeure by law for the purposes of the “standing down” policy. Under the standing down policy, employees who do not receive any payment from their employers are entitled to the standing down benefits of 62% of their daily wage for up to 90 days. However, we would like to remind our clients that this benefit will be expired at the end of this month unless there is an extension.

(2) New rate for unemployment benefits aiding the economy

The Labour Ministerial regulation re: benefits for unemployment due to economic crisis B.E.2563 (2020) has also been issued to support the crisis. This regulation introduced new temporary benefit rates for unemployment to 75% of daily wage for a maximum of 200 days, for the terminated employees and 45% of daily wage for a maximum of 90 days for employees who resign. This regulation will remain in effect until 28^th February of 2022.

A further update to the Social Security Act B.E.2533 (1990) amended the funeral allowance for non-work related causes to THB 50,000. This applies to deaths from 27^th June 2020 onwards.

Please contact us at enquiries@southasia-law.com should you require further information.