THAILAND Trends and Developments Contributed by: Nam-Ake Lekfuangfu, Theeranit Pongpanarat and Panitan Pruksakasemsuk, Baker McKenzie (Bangkok)
The general shifts in working culture towards greater flexibility amidst economic uncertainty and the inter - play of factors affecting the traditional legal paradigms are putting pressure on employers. Rapid technologi - cal progress, workforce redesign trends focusing on a flexible workforce, and the emergence of Environ - mental, Social, and Governance (ESG) considerations have led to a changing environment for business oper - ations. These ongoing trends have been exacerbated by geopolitical tension and inflation, driving strategic business restructuring and downsizing. Along with domestic demographic change driving the need to embrace an ageing workforce, these are some of the key trends and developments shaping the employ - ment landscape in Thailand. Inclusion, Diversity and Equity Marriage Equality Law On 18 June 2024, the Thai Senate passed the act amending the Civil and Commercial Code, commonly known as the Marriage Equality Law, making Thailand the first country in Southeast Asia to enact a law con - cerning marriage equality. The law became effective on 22 January 2025. The Marriage Equality Law aims to ensure that all indi - viduals, regardless of their biological sex, are granted the same fundamental rights in marriage under the Civil and Commercial Code. Gender-neutral language has been used to replace gender-specific terms such as “ a man and a woman” and “husband and wife”, using instead “two individuals” and “spouses” respec - tively. The law also specifies that spouses who legally register for marriage will be entitled to rights and sub - ject to obligations under any laws and regulations that establish the rights and obligations of a husband and a wife or spouses, regardless of whether the terms used in other laws are changed to align with the Mar - riage Equality Law. Given the above, employers may consider revisiting their existing employment regulations, policies and benefits to take into account the amendments under this law, including using gender-neutral language where appropriate and revising certain benefits that are originally offered only to “husband” or “wife” of employees to simply their “spouse” to include all
legally married spouse, regardless of any specific sex and gender. Increased attention to ESG considerations The changing legal and regulatory landscape with increased attention to the “S” in ESG is posing multi- jurisdictional compliance risks to businesses, com - pounded by growing media scrutiny and pressure from stakeholders on companies to conduct business responsibly. Companies need to ensure not only their own compliance with local labour laws but also their compliance with international human rights standards. Under the Thai Constitution, human rights are funda - mental and observable in government-level policies, which provide protection, safety, and good occupa - tional health for workers. Thailand’s Labour Protec - tion Act prescribes a minimum standard for workers as the main piece of legislation for labour protection. There is also a specific legal framework on maritime labour which has been adopted since 2015, in accord - ance with the Maritime Labour Convention 2006 of the International Labour Organisation (ILO), to ensure that the maritime-related workforce is treated fairly. In addition, the Thai government, in cooperation with the United Nations Development Programme (UNDP), published Thailand’s 2nd National Action Plan (NAP) on Business and Human Rights in 2023, which primar - ily focuses on improving and addressing urgent and important human rights issues caused by business activities. The plan covers the period from 2023 to 2027. However, there is currently no specific legislation which imposes obligations on Thai companies to con - duct HRDD. Nonetheless, the private sector, particu - larly those heavily involved with exporting and indus - tries such as fisheries, has been actively working with the government in monitoring human rights issues in their supply chains on a voluntary basis for some time. Non-government organisations also play a vital role in monitoring and publishing related reports. Despite an absence of legal requirements for HRDD, some companies, including their suppliers, may be required by their customers to conduct their HRDD to ensure their entire operation and supply chain fully
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