Social security contributions reduced for employees and employers
Monthly contributions to the social security system will be reduced substantially for employees and employers from May to July to help them cushion impacts from the ongoing Russia-Ukraine crisis, Labour Minister Suchart Chomklin said on Thursday.
This measure would benefit about 24.2 million people, helping them to save as much as THB34.5 billion in total, he said.
The Social Security Fund is expected to spend a total of THB33.8 billion in compensation for the lost contributions, according to the labour minister.
During the three months, some 500,000 employers in the social security system will have their monthly contributions reduced from 5 per cent to 1 per cent of base monthly salary of THB15,000, in order to help them cut their costs.
About 11.2 million employees under Article 33 of the Social Security Act will be required to contribute only 1 per cent of the base salary, down from 5 per cent.
About 1.9 million employees under Article 39 will get their monthly contribution cut from 9 per cent to 1.9 per cent.
Another 10.6 million employees under Article 40 will get their monthly contribution reduced by 40 per cent.