Multilaw has published the latest edition of How to Hire and Fire, a guide to the rules and regulations governing employment relationships in over 90 jurisdictions around the world. Lawyers at Tilleke & Gibbins prepared the Cambodia, Myanmar, Thailand, and Vietnam chapters of the guide, which covers the following main topics: General principles: Forums for adjudicating employment disputes, main sources of employment law, employees working for foreign companies in Cambodia or abroad for domestic companies, and data privacy. Hiring the employee: Legal requirements for employment agreements, types of agreement, secrecy and confidentiality, ownership of inventions and other IP rights, pre-employment considerations, hiring of non-nationals, hiring specified categories of individuals, and outsourcing and sub-contracting. Maintaining the employment relationship: Changes to the contract, changes in business ownership, social security, accidents at work, discipline and grievances, harassment, discrimination, equal pay, compulsory training obligations, offsetting earnings, maternity and disability leave, insurance, absence for military or public service duties, trade unions, employee strikes, and employers’ liability for actions of employees. Firing the employee: Procedures for terminating employment agreements, instant dismissal, employee resignation, termination on notice, age-related termination, force majeure automatic termination, collective dismissals, termination by agreement, directors and senior officers, rules for companies facing financial difficulties, restriction of future activities, whistleblowers, garden leave, severance payments and tax considerations, allowances, and time limits for post-termination claims. General: Specific matters unique or important to each jurisdiction. Multilaw is a global network of carefully selected, independent law firms consisting of over 10,000 commercial lawyers in more than 100 countries, able to provide expert legal advice in complex environments around the globe. The full guide is available for free on the Multilaw website.

Since July 13, 2021, the Thai government has issued a series of resolutions offering relief measures for persons insured under sections 33 (regular employees), 39 (former employees still paying contributions to the SSO) and 40 (freelancers) of the Social Security Act B.E. 2533 (1990) (the SSA) who have been affected by the COVID-19 prevention measures under the Emergency Decree on Public Administration in Emergency Situations B.E. 2548 (2005), including the business closures required in some provinces. The latest cabinet resolution extends relief measures to SSA-insured persons in 29 provinces designated as maximum control areas (or “dark red” provinces). The provinces are grouped into three categories based on when they received that designation (which, in turn, impacts the duration of the relief which they receive): Two types of relief measures have been announced—one for parties under section 33 of the SSA, and one for parties under sections 39 and 40.   Section 33 (Regular Employees) Monetary assistance is available for Thai nationals insured under section 33 of the SSA (and their employers) engaged in the following business activities: Administrative and support activities Arts, entertainment, and recreation Automotive repair Construction Food and accommodation Information and communication activities Professional activities in science and academia Services Transportation and storage Wholesale/retail Employers must submit an application to the Social Security Office (SSO) through the online portal (www.sso.go.th/eservices) in order for them and their employees to receive the assistance payments. Each qualifying employee receives THB 2,500 per month if they are registered with the SSO within the deadline, while registered employers receive THB 3,000 per qualifying employee, up to a maximum of 200 employees (i.e., THB 600,000), as summarized in the table below.   Section 39 (Former Employees Still Paying SSO Contributions) and Section 40 (Freelancers) THB 5,000 assistance payments are available for Thai employees insured

Ho Chi Minh City has been locked down for months in an effort to fight the challenging fourth wave of the Covid-19 pandemic. We explore the various options available to employers to cut labor costs, as well as government relief measures to support both workers and employers.

With the latest wave of COVID-19 continuing to have a serious impact on Thailand, many businesses have been looking for ways to survive. Some have temporarily reduced employees’ wages, while others have resorted to a complete or partial halt to operations. In these unprecedented circumstances, it is vital that business owners understand the legal criteria and steps for implementing a temporary cessation of operations in Thailand, as outlined in this article. Any business can apply for a temporary cessation of operations under section 75 of the Labor Protection Act (LPA) if there is a necessity and a significant cause, such as the business being unable to operate as usual, and if the necessity is not considered force majeure under Thai law. (If it is deemed force majeure, an employer may be able to withhold all wages—more on this below.) If these criteria are met, the employer can choose whether to seek temporary cessation of operations on a whole or partial basis, depending on the actual situation and necessity. The employer then has to inform a labor inspection officer and the employees at least three business days in advance of the intended cessation of operations. Once this is done, operations may be halted, but the employer must pay employees at least 75 percent of their wages, calculated based on the rate on their latest working day, and these payments must continue throughout the entire cessation period. “Necessity” and force majeure Though the LPA does not indicate what qualifies as a “necessity” allowing an employer to call for a temporary cessation, past rulings from the Supreme Court provide some guidance on this issue. For instance, reduced purchase orders from customers and financial difficulties faced by the employer can amount to a situation of “necessity.” Additionally, the situation has to be significant