Fund offers discounts for poor

The nine million contributors to the Social Security Fund will be offered substantial savings on a range of products, including natural gas for their cars, from next month.
The Social Security Office (SSO) yesterday launched four projects to cut prices for consumer goods - such as electrical appliances, motorcycles and gas modification for cars - for employees registered with the scheme. Labour Minister Somsak Thepsuthin said the project aimed to help struggling workers cope with the rising cost of living. But academics attacked the scheme on the grounds that it would encourage workers to overspend. Somsak rejected their claims, saying the discounted products were mainly essential items for daily living. "We are not campaigning for them to buy more; we only want to help them to buy [what they need] at a cheaper price," he said. Nine million workers have registered with the scheme, but the ministry expects the figure to hit 15 million in the near future. The discounts would apply from next month and last at least one year, Somsak said. He believed the project would help the overall economic situation. SSO secretary-general Pairoj Suksamrit said the first step would be to help cut workers' daily expenses by providing discounts on consumer products at many department stores. Showing a social security card would entitle the worker to a discount of between 3 and 40 per cent. And 20,000 fund members would be eligible for a Bt10,000 discount on the price of modifying their car to run on natural gas. Then 100,000 motorcycles would be offered at a discount of 10-20 per cent "to help workers reduce their transport costs". For their daily needs, workers would be offered electrical equipment at 10-20-per-cent less, with an instalment plan to help them pay off the goods. Lae Dilokwitthayarat, a Chulalongkorn University academic and well-known labour activist, said the project would encourage low-income workers to spend beyond their means. He said 70 per cent of employees under the social security scheme received a monthly salary of only Bt7,000. They would be seduced by the low prices and find themselves in debt. "The project only benefits people in other groups, not employees," Lae said. But Labour Council chairman Pratuang Saengsang praised the discount project. He said workers in the past would seek pay rises when the cost of consumer goods rose.
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