Minimum wage rise postponed

The cabinet has postponed the increase in the minimum wage to 300 baht per day from Jan 1 to April 1 to help flood-affected employers.

Deputy government spokesman Chalitrat Chantharubeksa said the cabinet resolved yesterday to delay the wage rise for three months out of regard for the problems of flooded businesses.

''The cabinet has postponed the wage rise to April 1 next year. It will start in seven provinces, and will be in place nationwide from April 1, 2013,'' the deputy government spokesman said.

The first seven provinces are: Bangkok, Nakhon Pathom, Nonthaburi, Samut Prakan, Samut Sakhon, Phuket and Pathum Thani.

The minimum wage rise was a campaign policy of the Pheu Thai Party before the July 3 election.

Deputy government spokeswoman Anuttama Amornwiwat said the minimum wage in Phuket will increase by 79 baht to meet the 300 baht mark from the current 221 baht.

The minimum wage in the seven provinces will be increased by 85 baht from 215 baht.

The rate in the remaining 70 provinces will be raised by 39.5% from the existing rate in April 2012 and later rise to meet the 300 baht mark in January 2013 while seven provinces will maintain the wage at 300 baht.

In 2014 and 2015, the minimum wage will be increased to an equal rate nationwide.

Labour leaders have also urged the government to provide subsidies to flood-hit enterprises with limited cash flows instead of large businesses.

Chalee Loysung, head of the Thai Labour Reconciliation Committee, yesterday said he backed the government's 2,000-baht wage subsidy scheme to help flood-hit enterprises in a bid to prevent them from laying off workers in times of need.