Companies that grow from five people to fifty within a few years often do not realize that along the way they have already crossed several employee-count thresholds that trigger new legal obligations. They usually find out when a labor inspector comes to inspect, or when a dispute arises with an employee.
This article gathers the most important thresholds in one place. The numbers stated are the main generally applicable criteria. Some matters have additional details depending on the type of business.
From the First Employee
- Register the employer and employees with Social Security and remit contributions every month.
- Pay wages not lower than the minimum wage and grant holidays, leave days, and overtime pay in accordance with the law.
- Withhold and remit withholding income tax for employees whose income reaches the threshold.
- Do not discriminate and you must prevent harassment or sexual harassment in the workplace.
From ten employees
- Work rules in Thai, announced and posted at the workplace. See Work rules: What size company must have them?
- Employee register in Thai, kept at the establishment.
- Documents concerning the payment of wages, overtime pay, and holiday work pay that the employee has signed or for which there is evidence of a money transfer.
From 50 employees
- The Welfare Committee in the Establishment is made up of employee representatives, whose role is to jointly discuss, make recommendations on, and monitor the provision of welfare.
- The Safety, Occupational Health and Working Environment Committee comprises both employer representatives and employee representatives, and the number of committee members depends on the size of the establishment.
- Safety Officers at various levels, in line with the type of business and the number of employees, with some types of business required to have them from a number below this.
From One Hundred People: Employing Persons with Disabilities
The law on the promotion and development of the quality of life of persons with disabilities requires employers to hire persons with disabilities at a ratio of one person with a disability per one hundred employees. A fraction exceeding fifty is counted as one additional person. Employers may choose one of three routes:
- Directly hiring persons with disabilities (commonly called Section 33)
- Paying money into the Fund for the Promotion and Development of the Quality of Life of Persons with Disabilities according to the formula set by law (Section 34)
- Granting concessions, providing space for selling goods, contracting for services, providing internships, or giving other assistance to persons with disabilities instead (Section 35)
The count uses the number of employees as of 1 October of every year, and the required action, together with the report, must be carried out within the deadline for that year. Failure to comply carries an interest burden on the money that must be paid, which increases progressively. A company that has just crossed the one-hundred-person line should therefore plan ahead of the counting date.
How to Count Employees
Generally, all persons with an employment legal relationship are counted as employees, both regular employees and fixed-term contract employees. However, each law has different details. Some matters count legal entities as well, some count separately by establishment, and workers from labour outsourcing companies raise issues of their own. See Outsourced labour and subcontracted workers
Employer side: self-check once a year
- Count the number of employees at every establishment before 1 October.
- Compare against the ten, fifty, and one hundred employee thresholds, then work through whether the required documents and committees are all in place.
- Check whether the work rules, employee handbook, and employment contracts still match the company's current size.
Read more
- Labour law compliance health check for your company
- Hiring your first employee: what obligations does the employer have?
- Work rules: which size of company must have them?
📌 See more: Employment contracts, salary structures and employee handbooks · Labour law advisory for employers
If your company has just crossed the employee headcount threshold and you are not sure what is still missing, consult our team of lawyers. We review the documents and the committees you are required to have, all in a single round.
This article is general information and is not legal advice for a specific case.
