Part 3 – Labour Relations in Thailand

Introduction: In this third article on labour relations in Thailand we will continue examining important parts of the Labour Relations Act (LRA). In following on from our previous article which looked into various aspects of labour unions such as their formation, powers, authorized roles/activities and membership requirements, this installment will look into unfair practices under the LRA as well as Employer & Labour Federations including their registration, objectives and member participation. Unfair Practices Under the LRA there are a number of types of conduct which are stipulated as being ‘unfair practices’, this part of the Act (chapter 9) helps to ensure that labour relations in Thailand are undertaken in a fair and objective manner. If an Employee or a labour union is planning to or does one of the following: call a rally, files a complaint, submits a demand, files […]

Part 2 – Labour Relations in Thailand

Introduction: In this second article on labour relations in Thailand we will continue examining key aspects and principles of the Labour Relations Act (LRA). In following on from our previous article which looked into employee’s committees, strikes and lock-outs, this second installment will review various aspects of labour unions including their powers, how they are formed, their internal regulations, their membership, authorized roles/activities and other key issues relevant to business owners and workers alike. Labour Unions – Establishment & Registration: To begin with, one should be aware that in order to legally establish a labour union in Thailand there are a number of steps which need to be fulfilled. Chief amongst them being that the union and its internal regulations must be registered with the official registrar at the Department of Labour. When applying to set up a union, at […]

Part 1 – Labour Relations in Thailand

Introduction: In Thailand, the key piece of legislation which governs labour relations in the workplace is the Labour Relations Act (1975) (hereinafter referred to as ‘the Act’). This longstanding law is key to understanding several key aspects of labour relations including settlement of labour disputes, employee’s unions, the right of employees to strike as well as the right of employers to lock-out their employees from the workplace. This first article on this important topic will try to explain certain basic elements and principles of this law as well as its practical application in the workplace. Employee Strikes and Employer Lock-outs: According to this Act a ‘strike’ is defined as a concerted temporary stoppage of work carried out by the employees as a result of a labour dispute’, whereas a ‘lock-out’ is defined as a temporary refusal by an employer to […]

Employment Contracts in Thailand & Things to Consider

Introduction: Arguably, some of the most important legal documents that Companies in Thailand enter into are employment contracts given the legal liabilities and costs they can potentially impose. Employment agreements are also highly important to staff given that they can provide much of the framework for their rights and obligations in their careers. In relation to these types of agreements there are a number of key legal considerations that both employers and employees should be mindful of to ensure that they have a clear and effective contract which minimizes the likelihood of problems developing at a later stage. These various considerations are discussed in more depth below. Clearly Identifying the Parties: One of the most elementary issues which companies and employees alike make is that they fail to adequately identify the parties in an employment agreement. In our experience it […]

Increase VAT rate to 10% in 2008

The VAT rate in  Thai Revenue Code is 10 %,but the finance ministry issued royal decree reduce the rate to 7 % (6.3+local tax 10%) from time to time until now,the last one is  Royal Decree 465 released by the Revenue Department on September 3, 2007,extend the reduced rate of  7 %  until September 30,2008. If no new royal decree issue to extend such rate,then the VAT rate will increase from 7% to 10% on October 1, 2008.There are informal news from the Revenue Department that under the present economic situation,the old 7% VAT rate shoulde be extended to another one year.

Legal Actions in Thailand (Part 1)

The Constitution of Royal Kingdom of Thailand B.E. 2540 (1997) has determined to establish the courts to perform the duties in considering the cases by dividing the courts into 4 categories namely The Constitution Court is a court which has a jurisdiction in making a consideration and decision of the problems which concern the constitutional laws. The Administrative Court is a court which has a jurisdiction in making a consideration and judgment of the cases which concern the administrative agreements and the administrative orders. The Military Court is a court which has a jurisdiction in making a consideration and judgment of the military criminal cases and other cases provided by law. The Court of Justice is a court which has a jurisdiction in making a consideration and judgment of all civil and criminal cases except the cases which the constitution […]

Significant Characters of Marks for Commercial Use

For business operation, nowadays trademarks are used as business symbol to convey to the consumers to recognize the products, origin of products and the owner of products. As times go by, trademarks are widely used for other interests. They are used to communicate the image or the value of business organizations who are the owners of such trademarks as well as communicate status and taste of the consumers who use those trademark products or services. World Intellectual Property Organization has placed the importance of trademarks in playing a significant role in macroeconomics to show the origin and technology for consumers’ creditability. In addition, trademarks play an important role as marketing strategies of business organizations, for example, the use of trademark in promotional advertising and hinder an effort of unfair competitions, market shares expansion and maintenance, product differentiation, new product launch, […]