The Labour Minister brought employee representative under coverage of the compensation fund to meet the Prime Minister before the Cabinet meeting. He reported that the new Compensation Act corresponded with the government and Ministry of Labour’s policy that emphasizes the importance of reducing social disparity, expanding access to government services, enhancing employee benefits and ensuring employer receive fairness.
On January 22, 2019, Labour Minister H.E. Police General Adul Sangsingkeo; Permanent Secretary of Labour, Mr. Jarin Chakkaphark; Social Security Office by Secretary-General, Mr. Ananchai Uthaipattanachep and the ministry’s executives led a new group of employee representatives under coverage of the Compensation Act (No. 2) B.E. 2561, to meet Prime Minister General Prayuth Chan-ocha, to present an exhibition on the enforcement of the Compensation Act (No. 2) B.E. 2561 at Command Building 1, Government Houses, before the Cabinet meeting.
The Compensation Act (No. 2) B.E. 2561 (new version) was amended with upgraded treatment fees and extended coverage to employees to be in line with the government and Ministry of Labour’s policy that emphasizes the importance of reducing social disparity, expanding access to government services, enhancing employee benefits and ensuring employer receive fairness. The Compensation Act (No. 2), BE 2561, has significance in extending protection to government employees, expanding coverage to employees in nonprofit organizations, including the enactment of laws governing the scope of protection of local employees within embassies and international organizations. It also adds the definition of “disaster” to clarify the meaning or nature of the disaster, reduces payments following local law where there is a disaster, as announced by the government. There were increases in medical fees, rehabilitation for work and funeral expenses in the case of an accident, sickness to death or loss, by issuing a ministerial regulation for employees to benefit as follows: The increase in compensation rates from various cases from 60 percent to 70 percent of the monthly wage; increase the duration of compensation for employees with disability to no less than 15 years (formally not exceeding 15 years); increase in the period of payment for cases of death or loss valid for 10 years (formerly 8 years). In addition, it compensates employees who are not able to work from the first day that the employee is unable to work until they can (formerly compensating employees unable to work after 3 consecutive days); increased payment of funeral expenses according to the rate specified in the Ministerial Regulations (previously paid funeral expenses for the employee for 100 times the maximum rate of the daily minimum wage according to the Labour Protection Law). Employers will also benefit from this new version of the Compensation Act which reduced the additional legal amount from 3 percent per month to 2 percent per month and set the additional calculation criteria in cases of employers owing contributions. It specifies that the additional amount must not exceed the amount that the employer must pay (formally did not have a ceiling).
The Compensation Fund (No. 2) B.E. 2561 will result in better life stability for employees, including compensation for lack of income, spanning a sufficient period to sustain living if employees are unable to work or are required to stop work. Employers will benefit from a rate cut, resulting in a stable financial status, strengthening the nation’s social solidarity with stability, prosperity and sustainability.
Source: Ministry of Labour