Majority SMEs irresponsive to minimum wage policy
Over half of small and medium-sized enterprises, 56.9 per cent, are irresponsive to the government's policy to raise the minimum wage to Bt300, according to a poll.
In the poll conducted during Feb 6-9 by Assumption University, 38.7 per cent said that they would raise the minimum wage without having to lay off any worker. The remaining 4.4 per cent is also ready to follow the policy, but they will need to lay off workers.
Of total 700 respondents, 67.8 per cent believed that the higher wages would increase the productivity.
Yet, among negative factors that would be induced by the policy, they highlighted an increase of foreign workers, relocation to neighbouring countries, a possible drop in foreign investor confidence, lower exports, and a possible drop in economic growth.
Nearly three fourths of the respondents, 72.3 per cent, see the need in boosting efficiency. As measures to cope with higher wage, they also plan to look for new markets and come up with productivity-enhancement programmes. Notably, 48.4 per cent plans to replace workers with machine, 18 per cent to hire more foreign workers, 12.2 per cent to relocate plants to neighbouring countries, 8.4 per cent to introduce new business, and 3.2 per cent to close business.
Most of them, 64.9 per cent, urge the government to implement the policy gradually, starting with companies which are financially ready.
Of all respondents, 62 per cent is in the manufacturing industry.
