Special allowance of 600 THB for 300 000 low ranking civil servants

The cabinet yesterday approved a special monthly allowance of an average 500-600 baht, or a 6% increase, to help low-ranking government employees make ends meet, effective retroactively from May 1 this year.

Deputy Prime Minister and Finance Minister Surapong Suebwonglee said the special cost-of-living allowance will benefit about 300,000 low-ranking officials below C5 level _ covering employees in the civil service, police, soldiers, staff in the education sector and other permanent employees.

An official whose monthly income is 7,700 baht would receive a new total income of 8,200 baht, for instance.

According to Mr Surapong, the allowance would cost the government about 340 million baht.

According to Mr Surapong, the government is also now preparing to study the possibility of increasing the wages of state officials who work for public services.

Previously in March, the cabinet approved a 4% salary increase for state enterprise employees. (Bangkok Post)

It’s difficult to say that such a decision is wrong… Can you imagine to live yourself with…7 700 THB (154 euros) per month ? Indeed average wages of employees are very low (read here).

But it’s a lie to make people believe that it’s possible to fight inflation by… increasing wages.

Increasing wages in such inflationary context is like adding gasoline onto a fire.

Anyway. We shall repeat that, for political reasons, the thai government will do nothing serious or imaginative about the economy… and will only take short term “boost” decisions.

2 Responses to “Special allowance of 600 THB for 300 000 low ranking civil servants”

  1. 1 thaichris 15 May 2008 at 12:44 pm

    Another sample of thai governements knowledge of mathematics.

    ‘According to Mr Surapong, the allowance would cost the government about 340 million baht.’

    … per month ? per year ?

    If you calculate 600 THB x 300’000 employees = 180 million bath. Does that mean, that they pay the allowance only for 2 month ? Or, if this is the figure oper month, do they spend the other 160 million for other puposes, maybee ‘self-allowance’ ?

    Maybee they should spend the money in order to teach math at governement offices ?

  2. 2 thaicrisis 15 May 2008 at 3:07 pm

    It’s per year.

    Other version by Nation

    “The pay increase will cost the government Bt68 million a month, or Bt340 million for all of fiscal 2009.”

    Now, I know what you’re going to say
    600 THB x 300 000 people x 12 months 340 millions ! But 2,1 billions.

    … I have no answer to this “accounting mystery”.

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Thailand Crisis

Coup, Economic slowdown, Terror In the South... The situation is worsening in Thailand. Bumpy road like often before.

But this time, it's different.

The key to understand the present turmoil is the inevitable... succession of King Bhumibol.

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