You are using an outdated browser and your browsing experience will not be optimal. Please update to the latest version of Microsoft Edge, Google Chrome or Mozilla Firefox. Install Microsoft Edge

March 2, 2021

Thai Employment Law: The Employee Committee and the Special Rights of Its Members

Informed Counsel

Maintaining positive employee relations is a top concern for virtually all companies. Many companies in Thailand—especially those located in the country’s industrial estates—have labor unions, while others rely on other non-union pathways for attending to the concerns of employees. In all of these cases, the union or collective group of employees also chooses members of the “employee committee” that is charged with fostering good relations and open communications with the employer through regular meetings dedicated to discussion of workplace matters.

Companies with a workforce of 50 or more employees need to understand the roles of the employee committee and the specific rights accorded to the committee members, which are different from the rights of the other employees. Besides the obvious benefits that this understanding has for relations with their employees, it is also important if an employer takes disciplinary action against employee committee members, as violation of a committee member’s rights could result in the employer facing criminal penalties.

The legal basis for these employee committees is the Labor Relations Act B.E. 2518 (LRA), which stipulates that in any workplace with at least 50 employees, the employees or their labor union of the business establishment is entitled to establish an employee committee. Members are elected (or, in the case of a labor union, appointed) to three-year terms on the committee, with the total number of committee members depending on the size of the workforce, as shown in the table.

Membership Requirements

Among partially unionized workforces, labor unions are generally given precedence when it comes to control of the committee. If a labor union whose members account for more than 20% of the total employees in a workplace, the union gets to appoint the majority of the employee committee members (e.g., four out of a seven-person committee, five of a nine-person committee, etc.). Moreover, if a union’s membership accounts for more than 50% of the employees, it is entitled to appoint all employee committee members. Any labor union appointees would have their term begin on the date of their appointment, regardless of when an election is held for the non-union members of the employment committee.

In a situation where a workplace has multiple labor unions that have appointed separate employee committees, exceeding the number of the employee committee members stated by the LRA, the employer is entitled to refuse to recognize the employee committees.

Employers must meet with their employee committee at least once every three months, or whenever the labor union or more than 50% of employee committee members request it. The topics to be discussed include employee welfare, new work rules, employee complaints, and disputes and compromises in the workplace.

If an employee committee considers that an employer has acted unfairly against or caused excessive trouble for employees, the committee (or the relevant employee or the labor union) may lodge a petition with the Labor Court.

Protection of the employee committee

The LRA requires employers to first obtain permission from the Labor Court before terminating the employment of committee members, reducing their wages, taking disciplinary actions against them, otherwise obstructing them from carrying out their duties, or performing any act resulting in a committee member being unable to continue working.  If an employer breaches the LRA by doing one of these things without permission from the court, the employer (including directors or authorized persons who act on behalf of the juristic person) risks facing criminal penalties, such as imprisonment for up to one month, a fine of up to THB 1,000, or both. These penalties will remain even if the employer later succeeds in obtaining permission from the Labor Court to terminate the employee—a position upheld by the Supreme Court because the offense was committed before the court issued an order, thus constituting a violation of the LRA.

This court order requirement extends to any scenario wherein an employee committee member violates company work rules, and the disciplinary action ultimately taken against that employee depends on both the employer’s work rules and the consideration of the court. This means that even if the work rules state that an offence can be punished by termination, the court may still opt to punish the offender less severely than what the rules would otherwise prescribe, particularly if it considers that the offence is not grievous enough to warrant outright termination. (This position is again supported by Supreme Court precedent.) If, on the other hand, the court does issue an order permitting the termination of an employee, any subsequent termination would not be considered an unfair labor practice, and the employee would not be entitled to submit a complaint to the Labor Relations Committee.

Some employers may also be surprised to learn that even if they close down their business permanently and terminate all employees, they must ask the Labor Court for permission to terminate the employee committee as well. Otherwise, the employer may face the criminal penalties described above.

Consequently, an employer should be aware of the potential risks before considering any type of disciplinary or other action against a member of an employee committee, as it can be construed as a violation of the LRA and punished with criminal penalties accordingly. Some might find this difficult to remember when involved in the thick of a labor dispute, a situation of employee wrongdoing, or simply the day-to-day challenges of running a business with a large workforce, but staying in control and acting prudently—with foresight into legal requirements and consequences—can help employers stay on the right side of the law.

RELATED INSIGHTS​ 

January 12, 2024
On December 28, 2023, Cambodia’s Ministry of Labor and Vocational Training (MLVT) issued Notification No. 110/23 on the issuance of work permits for foreign employees, in accordance with the country’s Labor Law and Prakas 195 dated August 20, 2014, on work permits and employment cards for foreign employees. This is a more comprehensive notification than existed previously, as it specifically clarifies the parties that are required to apply for work permits and employment cards. Notification No. 110/23 specifies that the following types of foreign individuals must hold a valid foreign work permit and/or employment card in order to work in Cambodia: A foreign employer whose name is stated in an enterprise’s patent tax certificate must hold a foreign work permit. A foreign employee whose name is stated in an enterprise’s patent tax certificate must hold a foreign work permit and an employment card. Self-employed individuals must hold a foreign work permit and an employment card. Applications for work permits and employment cards can be submitted through the MLVT’s online portal, accompanied by the following required documents: Valid passport; Latest patent tax certificate; Physical examination form; and Photo (4×6 cm) However, foreign shareholders and members of the board of directors as defined in the company’s articles of incorporation who do not have a Cambodian resident visa are not required to obtain a work permit or employment card. For more information on regulations and requirements for foreign employees in Cambodia, please contact Tilleke & Gibbins at [email protected].
December 15, 2023
Tilleke & Gibbins’ office in Yangon provided the Myanmar chapter to the Guide to Restructuring a Cross-Border Workforce from International Employment Lawyer. This global guide, which covers 45 jurisdictions worldwide, examines the issue of workplace restructurings, particularly in relation to the needs of multinational companies. The Myanmar chapter was written by Kyaw Min Tun, an associate in the firm’s Myanmar office. The Q&A-style chapter focuses on key areas related to workplace restructuring, covering each of the following topics in detail: Reduction in workforce; Restructuring or reorganization of the business; Changing terms and conditions; and Areas to watch. A PDF of the Myanmar chapter can be downloaded through the button below. Tilleke & Gibbins also provided the Cambodia, Laos, Thailand, and Vietnam chapters to the Guide to Restructuring a Cross-Border Workforce 2024. To browse the full guide for all 45 jurisdictions, please visit the International Employment Lawyer website.
December 15, 2023
Employment law specialists from Tilleke & Gibbins’ office in Vientiane have provided the Laos chapter to the Guide to Restructuring a Cross-Border Workforce from International Employment Lawyer. This global guide, which covers 45 jurisdictions worldwide, examines the issue of workplace restructurings, particularly in relation to the needs of multinational companies. The Laos chapter was written by associates Naiyane Xaechao and Sayphin Singsouvong. The Q&A-style chapter focuses on key areas related to workplace restructuring, covering each of the following topics in detail: Reduction in workforce; Restructuring or reorganization of the business; Changing terms and conditions; and Areas to watch. A PDF of the Laos chapter can be downloaded through the button below. Tilleke & Gibbins also provided the Cambodia, Myanmar, Thailand, and Vietnam chapters to the Guide to Restructuring a Cross-Border Workforce 2024. To browse the full guide for all 45 jurisdictions, please visit the International Employment Lawyer website.
December 15, 2023
Employment law specialists from Tilleke & Gibbins’ office in Phnom Penh have provided the Cambodia chapter to the Guide to Restructuring a Cross-Border Workforce from International Employment Lawyer. This global guide, which covers 45 jurisdictions worldwide, examines the issue of workplace restructurings, particularly in relation to the needs of multinational companies. The Cambodia chapter was written by Jay Cohen, partner and director of Tilleke & Gibbins’ Phnom Penh office, and Chanvisal Lok, associate. The Q&A-style chapter focuses on key areas related to workplace restructuring, covering each of the following topics in detail: Reduction in workforce; Restructuring or reorganization of the business; Changing terms and conditions; and Areas to watch. A PDF of the Cambodia chapter can be downloaded through the button below. Tilleke & Gibbins also provided the Laos, Myanmar, Thailand, and Vietnam chapters to the Guide to Restructuring a Cross-Border Workforce 2024. To browse the full guide for all 45 jurisdictions, please visit the International Employment Lawyer website.