Tax News No. 265 January 2019

Tax News No. 265 January 2019

Index of legal movement in relation to business

Topix

Draft of Labour Protect Act. (No. …..) B.E. ……..

 

The meeting of the National Legislative Assembly No.84/2561 was held on 13 December B.E. 2561(2018) and the assembly considered the draft of labour protection Act and agreed to declared it as a law. It is currently in process of proposing to the king for royal approval.  The detail of the laws are shown in this table as follows:

The comparison of the labour protection Act

Old New
Section 9  paragraph1
     Where an Employer fails to pay back a security in money under Section 10 paragraph two, or fails to pay wages, overtime pay, holiday pay and holiday overtime pay within the period prescribed under Section 70, or severance pay under Section 118, special severance pay in lieu of advance notice, or special severance pay under Section 120, Section 121 and Section 122, the Employer shall pay interests to an Employee at the rate of fifteen percent per annum during the default period.
Section 9  paragraph1
       Where an Employer fails to pay back a security in money under Section 10 paragraph two, falis to paying money in case of terminating  the employment contract without  giving advance notice under Section 17/1 , or fails to pay wages, overtime pay, holiday pay , holiday overtime pay and other wages that the employer has to pay under this Act within the period prescribed under Section 70,fails to pay many for suspention of the business by an employer under Section 75, or severance pay under section 118 ,special severance pay in lieu of advance notice, or special severance pay under Section 120, Section 120/1, Section 121 and Section 122, the Employer shall pay interests to an Employee at the rate of fifteen percent per annum during the default period.
Section 13
      Whereas there is a change of Employer in any a business due to a transfer, inheritance, or in any other cases, or whereas an Employer is a juristic person and a change, transfer or merger with another juristic person is registered, all rights due to an Employee from the previous Employer shall continue to be due to the Employee, and the new Employer shall assume all rights and duties relating to such Employee.
Section 13
     Whereas there is a change of Employer, or whereas an employer is a juristic person and registers to change, transfer or merge with another juristic person, which causes an employee to be transferred  to the new employer, such change shall be required to be consent from that employee as well.  All rights due to an employee from the previous employer shall continue to be due to the Employee, and the new Employer shall assume all rights and duties relating to such Employee.
Section 17/1(New)
    Where the employer terminates the employment contract without giving notice to the employee in advance under section 17 paragraph 2, the Employer shall pay wage equaal to amount that the employee should be paid from the date of dismissal until the effective date of the  termination  under section 17 paragraph 2
Section 34
      An Employee shall be entitled to leave for necessary business in accordance with the work rule of his or her workplace.
Section 34
   An Employee shall be entitled to leave for necessary business no less than three working days.
Section 41
     A female Employee who is pregnant shall be entitled to maternity leave of not more than ninety days for each pregnancy.
    And Leave taken under paragraph one shall include Holidays during the period of Leave.
Section 41
     A female Employee who is pregnant shall be entitled to maternity leave of not more than ninety eight days for each pregnancy.
    Maternity leave under this section includes leave of pregnancy checkup.
     And Leave taken under paragraph one shall include Holidays during the period of Leave.
Section 53
    Whereas the work is of the same nature and quality and equal quantity, an Employer shall fix equal Wages, Overtime Pay, Holiday Pay and Holiday Overtime Pay to be paid to an Employee, notwithstanding that the Employee is male or female
Section 53
       An Employer shall fix Wages, Overtime Pay, Holiday Pay and Holiday Overtime Pay to be paid equally to an Employee who works in the same nature, quality and quantity, or jobs of the same value notwithstanding that the Employee is male or female
Section 57/1(New)
     An Employer shall pay Wages to Employee for necessary business leave under section 34 equivalent to Wages of a Working Day throughout the Leave period, but not exceeding three days per year
Section 59
      An Employer shall pay Wages to a female Employee for maternity leave equivalent to Wages of a Working Day throughout the Leave period, but not exceeding forty five days per year.
Section 59
    An Employer shall pay Wages to a female Employee for maternity leave under section 41 equivalent to Wages of a Working Day throughout the Leave period, but not exceeding forty five days per year.
Section 70
       An Employer shall pay Wages, Overtime Pay, Holiday Pay and Holiday Overtime Pay correctly and in accordance with the following time:
   (1) whereas Wages are calculated on a monthly, daily or hourly basis, on the basis of another period of not more than one month, or on a piece rate basis or payment shall be made not less than once a month, unless otherwise agreed upon in favour of the Employee;
   (2) whereas Wages are calculated other than prescribed in (1), payment shall be made at a time agreed between the Employer and the Employee; and
   (3) Overtime Pay, Holiday Pay and Holiday Overtime Pay shall be paid not less than once a month. Whereas an Employer terminates the employment of an Employee, the Employer shall pay the Employee all Wages, Overtime Pay, Holiday Pay, and Holiday Overtime Pay to which the Employee is entitled within three days from the date of the Employee’s termination.
Section 70
     An Employer shall pay Wages, Overtime Pay, Holiday Pay ,Holiday Overtime Pay and other wages that the employer has  to pay under this Act correctly and in accordance with the following time:
   (1) whereas Wages are calculated on a monthly, daily or hourly basis, on the basis of another period of not more than one month, or on a piece rate basis or payment shall be made not less than once a month, unless otherwise agreed upon in favour of the Employee;
   (2) whereas Wages are calculated other than prescribed in (1), payment shall be made at a time agreed between the Employer and the Employee; and
   (3) Overtime Pay, Holiday Pay, Holiday Overtime Pay and other wages that the employer has  to pay under this Act shall be paid not less than once a month.
Whereas an Employer terminates the employment of an Employee, the Employer shall pay the Employee all Wages, Overtime Pay, Holiday Pay, Holiday Overtime Pay and other wages that the employer has  to pay under this Act to the Employee is entitled within three days from the date of the Employee’s termination.
Section 75
     When it is necessary for an Employer for whatever cause other than a force majeure which affects his/her business and causes the Employer incapable to operate his or her business as normal so as to temporarily suspend the business in whole or in part, the Employer shall pay wages to an employee in amount of not less than seventy-five per cent of wages of working days received by the employee before the suspension of business for the entire period which the Employer does not require the employee to work.
       The Employer shall give written notice to the employee and the Labour Inspector in advance prior to the date of suspension of  business under paragraph one for not less than 3 working days.
 Section 75
       When it is necessary for an Employer to temporarily suspend the business in whole or in part. whatever cause which affects his/her business and causes the Employer incapability to operate his or her business as normal which is not force majeure , the Employer shall pay wages to an employee in amount of not less than seventy-five percent of wages of working days received by the employee before the suspension of business for the entire period which the Employer does not require the employee to work
at payable place under Section 55 within the specified payable time.    

Section 93
      The Labour Welfare Committee shall have powers and duties as follows:
(5) to issue an order to an Employer to pay a special severance pay or a special severance pay in lieu of advance notice under Section 120
Section 93
     The Labour Welfare Committee shall have powers and duties as follows:
(5) to issue an order to an Employer to pay a special severance pay or a special severance pay in lieu of advance notice under Section 120/1
Section 118
     An Employer shall pay Severance Pay to an Employee who is terminated as follows:
(5) if the Employee has worked for an uninterrupted period of ten years or more, he or she shall be entitled to receive payment of not less than his or her last rate of Wages for three hundred days, or of not less than his or her Wages for the last three hundred days for an Employee who receives Wages on a piece rate basis.
Section 118
     An Employer shall pay Severance Pay to an Employee who is terminated as follows:
(5) if the Employee has worked for an uninterrupted period of ten years but not amount to twenty years, he or she shall be entitled to receive payment of not less than his or her last rate of Wages for three hundred days, or of not less than his or her Wages for the last three hundred days for an Employee who receives Wages on a piece rate basis.
(6) if the Employee has worked for an uninterrupted period of twenty years or more, he or she shall be entitled to receive payment of not less than his or her last rate of Wages for four hundred days, or of not less than his or her Wages for the last four hundred days for an Employee who receives Wages on a piece rate basis.
Section 120
       Where an Employer relocates an establishment to another place and the relocation significantly affects the ordinary way of living of an employee or his/her family, the Employer shall inform the employee in advance of not less than thirty days before the date of relocation. For this purpose, if any employee refuses to work at the new location, the employee is entitled to terminate a contract of employment within thirty days from the date of being informed by the Employer or the date of relocation as the case may be. In this regard, the employee is entitled to a special severance pay of not less than the rate of severance pay for which he/she is eligible under Section 118.
       where the Employer fails to inform an employee in advance under paragraph one, the Employer shall pay a special severance pay in lieu of advance notice in an amount equivalent to thirty days pay at the latest wages rate, or equivalent to the wages of the last thirty days for the employee who receives wages based on a piece rate.
        The Employer shall pay special severance pay or special severance pay in lieu of advance notice to the employee within seven days from the date when the employee terminates the contract.   
        Where the Employee fails to pay special severance pay or special severance Pay in lieu of advance notice under paragraph three, the employee is entitled to lodge a complaint to the Labour Welfare Committee within thirty days from the date of payment of special severance pay or special severance pay or special severance pay in lieu of advance notice.
       The Labour Welfare Committee shall consider and issue an order within sixty days from the date of receiving the complaint.
       When it is determined by the Labour Welfare Committee that the employee is entitled to special severance pay or special severance pay in lieu of advance notice, the Labour Welfare Committee shall issue an order in writing to the Employer to pay special severance pay or special severance pay in lieu of advance notice to the employee within thirty days from the date when the Employer has acknowledged or deemed to acknowledged such order.
       When it is determined by the Labour Welfare Committee that the employee is not entitled to special severance pay or special severance pay in lieu of advance notice as the case may be, the Labour Welfare Committee shall issue a written order and communicate to the Employer and the employee.
          The order of the Labour Welfare Committee shall be final, unless the Employer or the employee appeals against the order to the court within thirty days from the date of acknowledgement of the order. Where the Employer is a party who brings the case before the court, the Employer shall deposit a security with the court in equal to an amount to be paid by the order so as to further the proceeding of the case.
Section120
       Where an Employer relocates an establishment to new place or other the employer’s place , The employer shall inform  the employee in advance by putting the notice publicly in the workplace where the employee can clearly see it for not less than consecutively 30 days before the relocation. The notice should bear the message clear enough to understand which employee will be moved at what time, and to where.
       where the Employer fails to inform by the notice to an employee in advance under paragraph one, the Employer shall pay a special severance pay in lieu of advance notice for the employee who refuses to work at the new location an amount equivalent to thirty days pay at the latest wages rate, or equivalent to the wages of the last thirty days for the employee who receives wages based on a piece rate.     
          if any employee thinks that the relocation significantly affects the ordinary way of living of an employee or his/her family, and refuses to work at the new location, the employee shall inform the employer within thirty days from the date of being informed by the Employer or the date of relocation in case the employer fails to inform by notice under the paragraph and consider that a contract of employment are terminated on the date of relocation. In this regard, the employee is entitled to a special severance pay of not less than the rate of severance pay for which he/she is eligible under Section 118.
     Where the Employer needs to pay special severance Pay in lieu of advance notice under paragraph two or special severance pay under paragraph three to the employee within seven days for the date of the termination of the contract.
      Where the Employer does not agree with the reason of the employee under paragraph three,
The employer   is entitled to lodge a complaint to the Labour Welfare Committee within thirty days from the date of the being informed in writing.

Section 120/1 (New)
      When it is determined by the Labour Welfare Committee under paragraph five that the employee is entitled to special severance pay in lieu of advance notice or special severance pay, the Labour Welfare Committee shall order the Employer to pay special severance pay or special severance pay in lieu of advance notice as the case may be to the employee within thirty days from the date when the Employer has acknowledged such order.
       When it is determined by the Labour Welfare Committee that the employee is not entitled to special severance pay or special severance pay in lieu of advance notice as the case may be, the Labour Welfare Committee shall inform the order to the employer and the employee.
         The Labour Welfare Committee shall consider and issue an order within sixty days from the date of receiving the complaint and inform to the employer and the employee within fifteen days after the order is issued.
        The order of  the Labour Welfare Committee
shall be final, unless the Employer or the employee appeals against the order to the court within thirty days from the date of acknowledgement of the order. Where the Employer is a party who brings the case before the court, the Employer shall deposit a security with the court in equal to an amount to be paid by the order so as to further the proceeding of the case.
       Submitting the order of Labour Welfare Committee shall be applied section 143 mutatus mutandis.
Section 120/2 (New)
    Where the employer appealed against The order of the Labour Welfare Committee to the court within the specified time under Section 120/1 paragraph four and complied with a court judgment or an order of the court, the criminal proceedings against the Employer shall be extinguished.
Section 124/1
  Where an Employer has complied with an order of the Labour Inspector under Section 124 within a specified period or complied with a court judgment or an order of the court, the criminal
proceedings against the Employer shall be extinguished.
Section 124/1
    Where an Employer has complied with an order of the Labour Inspector under Section 124 within a specified period, the criminal proceedings against the Employer shall be extinguished.

Section 125/1 (New)
     Where the Employer brings the case to the court within the specified time under Section 125 and complied with a court judgment or an order of the court, the criminal proceedings against the Employer shall be extinguished.
Section 144
 Any Employer who violates or fails to comply as follows shall be penalized with imprisonment of not more than six month, or a fine not exceeding one hundred thousand baht, or both.
(1)Section 10, Section 24, Section 25, Section 26, Section 37, Section 38, Section 39, Section 39/1, Section 40, Section 42, Section 43, Section 46, Section 47, Section 48, Section 51, Section 61, Section 62, Section 63, Section 64, Section 67, Section 70, Section 71, Section 72, Section 76, Section 90 paragraph one, Section 118 paragraph one or Section 118/1 paragraph two.
(2) Section 120,section121 or section 122 in case of failures to pay special severance pay in lieu of an advance notice or special severance pay
Section 144
      Any Employer who violates or fails to comply as follows shall be penalized with imprisonment of not more than six month, or a fine not exceeding one hundred thousand baht, or both.
(1) Section 10, Section 17/1 ,Section 23 paragraph two, Section 24, Section 25, Section 26, Section 37, Section 38, Section 39, Section 39/1, Section 40, Section 42, Section 43, Section 46, Section 47, Section 48, Section 51, Section 57/1, Section 61, Section 62, Section 63, Section 64, Section 67, Section 70, Section 71, Section 72, Section 76, Section 90 paragraph one, Section 118 paragraph one or Section 118/1 paragraph two.
(2) Section 120,section120/1,section121 or section 122 in case of failures to pay special severance pay in lieu of an advance notice or special severance pay
Section 145
      An Employer who fails to comply with Section 23 shall be penalized with a fine not exceeding five thousand baht
Section 145
      An Employer who fails to comply with Section 23 paragraph one or paragraph three shall be penalized with a fine not exceeding five thousand baht
Section 146
      Any Employer who fails to comply with Section 15, Section 27, Section 28, Section 29, Section 30 paragraph one, Section 45, Section 53, Section 54, Section 56, Section 57, Section 58, Section 59, Section 65, Section 66, Section 73, Section 74, Section 75 paragraph one, Section 77, Section 99, Section 108, Section 111, Section 112, Section 113, Section 114, Section 115, Section 117, or fails to give an advance notice under Section 120, Section 121 paragraph one or Section 139(2) or (3), shall be penalized with a fine not exceeding twenty thousand baht
Section 146
     Any Employer who fails to comply with Section 15, Section 27, Section 28, Section 29, Section 30 paragraph one, Section 45, Section 53, Section 54, Section 56, Section 57, Section 58, Section 59, Section 65, Section 66, Section 73, Section 74, Section 75 paragraph one, Section 77, Section 99, Section 108, Section 111, Section 112, Section 113, Section 114, Section 115, Section 117, or fails to give an advance notice under Section 121 paragraph one or Section 139(2) or (3), shall be penalized with a fine not exceeding twenty thousand baht

Section 151 (paragraph2)
     Any person who fails to comply with an order of the Labour Welfare Committee issued under Section 120 or an order of the Labour Inspector issued under Section 124 shall be penalized with imprisonment of not more than one year, or a fine not exceeding twenty thousand baht, or both.
Section 151 (paragraph2)
      Any person who fails to comply with an order of the Labour Inspector issued under Section 124 shall be penalized with imprisonment of not more than one year, or a fine not exceeding twenty thousand baht, or both.
Section 155/1
      Any Employer who fails to submit or provide a report form on conditions of employment and working conditions under Section115/1 and, after receiving a warning letter of the Labour Inspector, fails to submit or provide the report form within fifteen days from the date of receiving the warning letter shall be penalized with a fine not exceeding twenty thousand baht
Section 155/1
   Any Employer who fails to submit or provide a report form on conditions of employment and working conditions under Section115/1 shall be penalized with a fine not exceeding  twenty thousand baht.

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