Thailand’s unemployment rate to go below 1%

Thailand's unemployment rate is decreasing gradually with expectation that it will drop to below one percentage point from 1.3% in the past five years.

This was revealed by the Center for Economic and Business Forecasting, the business research arm of the University of Thai Chamber of Commerce (UTTC) which has conducted studies of employment situation in the country.

Dr Thanawat Phonwichai, director of the research center, said  Thailand’s employment rate has risen gradually in line with the economic recovery of the country.

He said during the past five years Thailand recorded a low unemployment rate of only 1.3%.

But he forecasted that  the unemployment is improving gradually as economy recovered.

He said if the economy is fully recovered,  the unemployment rate is likely to drop below one percentage point, considered to be among the countries with lowest unemployment rates.

Meanwhile Thailand is facing labour shortage and the country needs to depend on over three million migrant workers.

Despite the low rate of unemployment, workers still need to adjust themselves as every industry is likely to require workers with more skills in the future when Thailand is moving towards Thailand 4.0 strategy.

The study revealed that when Thailand is gearing to the Industry 4.0 trend, unskilled workers also face high chances of being laid off.

The center looked into industries which workers have high chance of losing their jobs.

It found that unskilled workers in garment industry, farmers and farm workers, whose agricultural product prices will be adjusted at the year-end and small scaled retailers are at risk of becoming unemployed.

At the same time it said  that businesses, which are likely to see growth and demand more employees, are construction businesses, spurred by the governments infrastructure investment, tourism and service businesses and IT businesses.