General

Thailand plans to allow more foreign workers to enter the country from next month to fill the labor shortage. The labor shortage has caused damage to Thai manufacturers and poses a risk to the country’s economy that has just begun to recover from the epidemic.

u3000u3000 It is reported that the Thai government allows illegal workers currently in Thailand to register before the end of this month to assess how many people can enter from neighboring countries such as Myanmar, Cambodia and Laos. Labor Minister Suchart Chomklin said that he expects to count about 100,000 people, while the total number of shortfalls is estimated to be about 300,000.

u3000u3000 He said that before the outbreak, there were about 2.5 million foreign workers in Thailand. Since the beginning of the epidemic, at least one-fifth of foreign workers have left Thailand.

u3000u3000Thailand is facing a dilemma. On the one hand, it needs foreign workers to support the economic recovery that has just begun. On the other hand, it has to face the risk of a rebound in the epidemic caused by many foreign workers' infections due to limited vaccination opportunities. Thailand’s economy shrank by 6.1% last year, the largest contraction in more than 20 years; it is expected to grow by about 1.2% this year.

u3000u3000The Thai government uses foreign workers to promote economic growth

u3000u3000 The Federation of Thai Industries stated that manufacturing requires at least 500,000 foreign workers, mainly in the construction and food industries. Thai Union Group Pcl, which owns the Chicken of the Sea and John West seafood brands, announced that its profit in the third quarter fell by 5.8% year-on-year due to supply chain disruption and labor constraints during the epidemic.

u3000u3000 The Thai government plans to bring in more workers based on the memorandum of understanding with neighboring countries. These workers will be required to isolate for up to 14 days and pass RT-PCR testing. Suchart said that the Prime Minister of Thailand asked the Ministry of Health to allocate 500,000 doses of vaccine to these workers.

Thanavath Phonvichai, President of the University of the Thai Chamber of Commerce, said: “We are facing a labor shortage because many Thais are unwilling to engage in heavy jobs, and these job vacancies are filled by foreign workers. It is necessary to bring them in. Otherwise, the agricultural and manufacturing industries. Production will fall short of the target and will harm the economic recovery."