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A COMPLETE GUIDE [2026]

Employer of Record (EOR) in Thailand

Employer of Record


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Quick facts

Currency: Thai Baht (THB)

Minimum wage: THB 330–370/day (varies by province)

Standard payroll frequency: Monthly

Public holidays: 16 national holidays (varies yearly)

13th month salary: Mandatory

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Introduction: EOR in Thailand

Thailand has become one of Southeast Asia’s most attractive destinations for international hiring, thanks to its growing digital economy, skilled workforce, and competitive labor costs. Expanding your team in Thailand can open the door to regional growth opportunities, but requires adherence to local labor laws, payroll regulations, strict payroll obligations, and compliance with the Labour Protection Act of 1998 and other labour laws.

Using an EOR Thailand solution allows companies to hire employees without setting up a local entity. Through an EOR, your team members are legally employed in Thailand while you retain full control over their day-to-day work. The EOR handles employment contracts, employee documentation, payroll, taxes, benefits, and compliance—so you can focus on scaling your business efficiently.


What is an Employer of Record in Thailand?

An EOR Thailand acts as the legal employer for your workforce, handling contract generation, employee documentation, payroll, taxes, and compliance with Thai labor regulations. This structure enables companies to hire quickly and compliantly without establishing a local entity under the Foreign Business Act.

This model enables businesses to hire Thai employees quickly and compliantly, without establishing a subsidiary or navigating complex incorporation processes. The EOR assumes liability for legal obligations, including termination process, severance packages, and adherence to the Labour Protection Act of 1998, while your business retains operational control over day-to-day management and performance management.


How to hire via Employer of Record in Thailand

Hiring through a Thailand EOR is a straightforward process that eliminates the administrative burden of local compliance. This streamlines onboarding and reduces exposure to HR and legal intricacies.


This model allows you to operate in Thailand with full legal protection while giving your employees a seamless local experience.

  • Provide employee details and role requirements.

  • Background check is conducted to verify candidate qualifications and legal eligibility.

  • Contract generation is handled by the EOR in line with Thai labor regulations.

  • Employees are onboarded with payroll administration, social security registration, and employee benefits setup.

  • Ongoing payroll processing, tax filings, and compliance are managed, ensuring alignment with Thailand’s fiscal year and employee taxes obligations.





Employment laws in Thailand

Thailand’s labour laws are comprehensive, covering working hours, overtime pay rates, leave entitlements, probationary periods, and the termination process. Companies must comply with the Labour Protection Act of 1998—enforced by the Ministry of Labour—or risk fines, disputes, and reputational damage. These laws are designed to safeguard workers’ rights while providing flexibility for employers. 

Working hours and overtime

  • Standard workweek: 48 hours (max. 8 hours/day).
  • Overtime: Up to 36 hours/month, paid at 1.5x or 3x for holidays.

Probation period

  • Typical probation: Up to 119 days

Leave entitlements

  • Annual leave: Minimum 6 days after one year of service
  • Public holidays: 13–16 days annually
  • Sick leave: Up to 30 paid days per year
  • Maternity leave: 98 days (45 paid by employer)
  • Paternity leave: 15 days (for civil servants, varies by employer)

Termination, notice and severance

  • Notice period: 1 pay cycle unless serious misconduct applies. Termination requires notice in accordance with contract and Labour Protection Act.
  • Severance: Ranges from 30 to 400 days’ wages depending on service duration.

120 days to <1 year = 30 days

1–3 years = 90

1–3 years = 90

3–6 years = 180

6–10 years = 240


10–20 years = 300


20+ years = 400

Severance pay doesn't apply to employees terminated with cause.

Employers must comply with statutory employee taxes and contributions to Thailand’s social safety net.

In addition, understanding business culture in Thailand, workplace hierarchy, and performance management expectations is critical. Companies should align HR policies with local norms to attract talent and mitigate risks from skills shortages and high unemployment rates in certain regions.


Legal risks and barriers in Thailand

Foreign employers hiring directly without a registered Thai entity may face compliance risks if their employment arrangements are not structured under Thai law. Misclassification of contractors or mismanaged payroll filings can result in penalties or retroactive tax liabilities.


A reputable Thailand EOR mitigates these risks by:

  • Ensuring locally compliant employment contracts.
  • Managing payroll and contributions in line with Thai Revenue Department standards.
  • Assuming employer liability for legal compliance.
  • Keeping employment records and filings up to date with Thai regulations.

With EORs, these risks are absorbed and managed to keep your workforce compliant while you retain operational oversight.


Work permits and visas in Thailand

Foreign employees must hold a valid non-immigrant B visa and a work permit to work legally in Thailand. Sponsorship generally requires a local legal entity.

While EORs can employ Thai nationals directly, global EOR providers like HireGlobal can coordinate work permits and visa sponsorship through trusted in-country partners for international hires.


Public holidays in Thailand

Thailand observes numerous national holidays tied to cultural and religious events. Employers must account for these when scheduling payroll and leave.

Key holidays include:

  • Songkran Festival (Thai New Year); April 13–15 
  • Coronation Day; 04 May
  • King Maha Vajiralongkorn’s Birthday; 28 July
  • National Day; 5 December




Payroll & compensation in Thailand

Payroll and taxes in Thailand

Payroll in Thailand involves multiple statutory contributions, both from employers and employees.

Employer Contributions

Employee Contributions

  • Social Security: 5% of salary (capped at THB 750/month)
  • Personal income tax: Progressive from 0% to 35%

Payroll Cycle

  • Monthly, with salaries due by the last working day of the month.

13th Month Salary

  • Not legally required but commonly offered to attract talent.

Supporting foreign workers with compliant HR and payroll management

When hiring foreign workers in Thailand, staying compliant with local labour laws and the Personal Protection Act is critical. An Employer of Record handles all payroll processing, including monthly payroll, social security, and provident fund contributions. They also manage benefits administration and oversee employees during the probationary period, helping HR teams maintain smooth operations and ensure full HR compliance. By outsourcing these responsibilities, companies can focus on growth while providing foreign workers with secure, legally compliant employment and minimizing risk from regulatory or administrative errors.


Benefits and compensation in Thailand

In addition to statutory benefits, many Thai employers offer enhanced packages to stay competitive, especially in professional and technology sectors.


Mandatory benefits include:

Common additional benefits:

  • Health insurance
  • Meal and travel allowances
  • Retirement savings contributions
  • Annual bonuses

Providing flexible benefits can help employers attract top Thai talent in a competitive hiring market.




Business structures & comparisons

Establishing a local entity or subsidiary in Thailand

For companies planning a long-term physical presence in Thailand, setting up a subsidiary offers full control but requires navigating complex registration steps.


Steps to incorporate a subsidiary in Thailand:

1

Reserve a company

Name with the Department of Business Development (DBD).

2

File a Memorandum of Association

And register the company.

3

Deposit initial capital

Typically THB 2 million for foreign-owned entities

4

Register for VAT

Corporate income tax.

5

Enroll for employer contributions

With the Social Security Office

Benefits of a subsidiary:

  • Long-term presence and brand credibility.
  • Ability to sponsor foreign work visas.
  • Direct control over HR policies and payroll operations.

For faster entry, a Thailand Employer of Record provides a compliant alternative that eliminates months of setup time.


EOR in Thailand vs. contractors vs. local entity

When expanding into Thailand, companies can hire through an EOR, manage your contractors via Contractor Management service, or establish a local entity.

FactorEmployer of Record (EOR)Local entityContractor
Setup time
1–2 weeks
3–6 months
Immediate
Compliance
EOR assumes liability
Client assumes liability
Limited protection
Payroll & benefits
Fully managed by EOR
Self-managed
Not applicable
Cost
Monthly per-employee fee
High setup & admin
Per-contract basis
Flexibility
High
Lower
Highest

EORs balance speed, compliance, and scalability—making them ideal for testing new markets or scaling quickly.




Cost of an Employer of Record: Thailand

Thailand EOR costs are typically charged as a monthly fee per employee (e.g., HireGlobal charges a flat fee of $399 per worker per month; HireGlobal Pricing), with some providers charging from $599+ or 10–15%+ of salary. Costs cover payroll, benefits management, and local compliance.




Sources


Employer of Record Thailand:
Hire compliantly for just $399 with HireGlobal


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Free consultation, no obligations.


Frequently asked questions

Hiring typically takes 1–2 weeks once employment terms are finalized.

No, it’s not legally required but often provided as an annual bonus.

The standard workweek is 48 hours, with overtime paid at premium rates.

HireGlobal can support visa and work permit processing through licensed local partners.

Employers must register for social security, provide paid leave, and ensure payroll tax compliance under Thai law.


Hire confidently and stay compliant with
HireGlobal Employer of Record Thailand


With HireGlobal Employer of Record in Thailand, you can hire quickly, pay compliantly, and avoid the risks of going in alone.


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Free consultation, no obligations.


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