Affordable Southeast-Asian market with low statutory leave but steep tenure-based severance to plan for.
Before you hire in Thailand
Thailand carries its own employment rules, statutory costs and termination exposure. Get the wrong setup and it means back-pay, penalties and misclassification claims. Here is the complete snapshot, free, so you can plan before you ever talk to us.
Figures reflect current Thailand statutory baselines, reviewed for 2026 and benchmarked against leading global employment providers. Statutory rules change through the year, so we confirm the exact, current numbers for your specific hire.
What to look for
Each of these shifts your cost, timeline and legal exposure. We walk you through all of them, and handle them for you, so nothing turns into a surprise later.
Gracemark handles employment, payroll, benefits and compliance in Thailand, and 180+ other countries, through one accountable partner. Vendor-agnostic guidance, backed by our own delivery engine.
"They gave us the exact Thailand numbers in a day and had our first hire compliant within the week, no portals, no runaround."
โ A Gracemark client, global expansion lead
FAQs
To hire in Thailand, most U.S. companies either open a local entity or use an Employer of Record (EOR). EOR Gracemark handles Thailand employment, payroll, benefits and compliance through one accountable partner.
Employer cost in Thailand is ~5% social security (capped). That is on top of gross salary, plus statutory items such as vacation and social contributions. Gracemark provides an exact quote for your role and salary band.
The current minimum wage in Thailand is Province-set (~เธฟ337โ400/day). Statutory floors change through the year, so Gracemark confirms the exact figure for your hire.
Notice period in Thailand is 1 pay period. Termination complexity is rated high. Getting termination and severance wrong is one of the most expensive mistakes in Thailand, plan it before the first hire.
Statutory annual leave in Thailand is 6 days min (after 1 yr). Parental leave is 98 days maternity. Sick leave is 30 days/yr paid. Public holidays: ~16.
Time to hire in Thailand is typically 2โ3 weeks (EOR) through an EOR, versus 3โ6+ months to open an entity. That is why most first hires in Thailand go through an EOR.
Misclassification risk in Thailand is rated high. Full-time, exclusive, day-to-day contractor arrangements are the most exposed, penalties include back-pay, statutory benefits and fines. Gracemark advises on when a contractor, EOR employee or entity hire is defensible.
Last reviewed: August 2026 ยท Gracemark Global
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