Bt300 wage hike impact must be balanced: TMB
Greater collaboration between the government and business operators to address the impacts from the Bt300 wage hike is necessary, said TMB Bank's research
TMB Analytics estimated that the blanket wage hike in 70 provinces are hurting business operators in the Northeast and the North more than those in other regions. Their operating cost are rising by nearly 3 per cent, against 2 per cent in other regions. Phayao, Uttaradit, Kamphaengphet and Nan are the most affected in the North, while in the Northeast they are Nakhon Phanom, Buriram, Mukdahan and Ubon Ratchathani.
"The wage hike should proceed accordingly with a review on business operators’ productivity... The government also needs short-term relief measures to ensure fast adaptation," the research house said.
Business operators are urged to focus more on product quality and reduce the costs of energy, raw materials and logistics. The government, meanwhile, should expand their access to job training as well as analysis on market competition. In particular, short-term relief measures should primarily concern the energy and raw material costs. Meanwhile, workers themselves need to learn new things to match the higher pay.
"The economic condition would be a crucial factor. Once the economy prospers, consumers and invstors will spend. This will lessen the impact. Once we can achieve a balance, the Bt300 wage hike should not pose too a heavy burden," it noted.