Democrats call for union talks

Phaitoon Kaewthong, the Democrat's shadow labour minister, said he would like the government to hold talks with union leaders first because the rally would not bode well for the country.

Labour unions are demanding that the minimum wage be increased to Bt233 a day and that this rate be applied nationwide.

Last week, the government, representatives of employers and labour unions agreed to increase the minimum wage by between Bt2 and Bt11 - depending on the part of the country - effective June 1. The increase was based on the assumption that inflation would hit 5 per cent this year.

Labourers in Chiang Rai will see the highest wage hike of Bt11, from Bt146 to Bt157. Their counterparts in Bangkok and neighbouring provinces will get a wage increase of Bt9, from Bt194 to Bt203. The new wage rates apply to 500,000 unskilled workers nationwide.

However, other labour unions are unhappy with the new rates, saying they do not reflect the higher cost of living and the sharp rise in food and energy prices. They have reverted to the original proposal that the minimum wage be raised to Bt233 throughout the country.

Phaitoon said the new wage rate must be based on the assumption that inflation would rise to 6 per cent this year.

He said if the government failed to reach agreement with the workers, it might lead to political turmoil. Wilaiwan Sae Tia, one of the union leaders, said over the weekend that inflation was climbing to 6.2 per cent, so the minimum wage increase should be at least Bt12. But she said the  unions would fight for the original proposal of Bt233.