Understanding Thai Labor Law: Managing Probation and Employee Termination

Dealing with underperforming employees can be stressful, but with the right legal guidance, you can make informed decisions that benefit your business.
At Closer Law, we are committed to helping you navigate Thai labor laws and resolve disputes efficiently.
Introduction
At Closer Law, we specialize in helping businesses navigate the intricacies of Thai labor laws. One of the most challenging aspects for any employer is dealing with employees who do not meet performance expectations, especially during the probation period.
Our goal is to ensure that you can make informed decisions that comply with legal requirements and protect your business.
Probation Period in Thai Labor Law
Under Thai labor law, the probation period is typically set for the first 119 days of employment. During this time, employers have the opportunity to assess the performance and suitability of new employees.
It’s crucial to communicate expectations clearly and provide regular feedback.
Termination During Probation
If an employee does not meet performance standards during the probation period, employers have the right to terminate the employment without the need for severance pay, provided that the termination is justified and communicated in a timely manner.
Proper documentation and adherence to fair practices are essential to avoid potential disputes.
Case Example
Imagine you are running a growing business in Chiang Mai, and you have an employee on probation who consistently fails to meet sales targets despite thorough training and support.
As the end of the probation period approaches, you realize that continuing with this employee may not be in the best interest of your business.
At Closer Law, we would advise conducting a final performance review, documenting the shortcomings, and providing clear reasons for termination. We would also ensure that the termination is carried out respectfully and in accordance with Thai labor laws, minimizing the risk of legal repercussions.
Post-Probation Considerations
For employees who have completed the probation period, termination becomes more complex. Employers must provide valid reasons, such as serious misconduct or inability to perform duties, and may need to offer severance pay based on the length of employment.
Our team at Closer Law can guide you through this process, ensuring compliance with all legal requirements.
Why Choose Closer Law?
Our extensive experience in labor law and dispute resolution makes us the ideal partner for businesses facing challenges with employee management.
We provide:
Don’t let labor disputes disrupt your business. Contact Closer Law today to discuss your case and find effective solutions for managing your team.
Together, we can safeguard your success and ensure your peace of mind.
Contact us today
Contact us to learn more about how we can help you establish and grow your business in Thailand.
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