Thailand Severance Pay Calculator
Estimate your severance pay under Section 118 of the Labour Protection Act.
Estimate only. Not legal advice — confirm with Thailand's Department of Labour Protection and Welfare.
How Thai severance pay is calculated
Thailand runs one of the most generous severance scales in ASEAN. Under Section 118 of the Labour Protection Act B.E. 2541, an employee terminated without cause is entitled to a lump sum based on continuous service — from 30 days' wages for a relatively short stint up to a full 400 days' wages (roughly 13 months) for 20+ years of service, a tier added in a 2019 amendment specifically for long-tenured employees.
The wage used is your latest fixed monthly wage — basic salary plus any regular fixed payments. Overtime, irregular bonuses, and reimbursements are excluded.
The tier table
| Continuous service | Severance entitlement |
|---|---|
| Under 120 days | None |
| 120 days – under 1 year | 30 days' wages |
| 1 year – under 3 years | 90 days' wages |
| 3 years – under 6 years | 180 days' wages |
| 6 years – under 10 years | 240 days' wages |
| 10 years – under 20 years | 300 days' wages |
| 20 years or more | 400 days' wages |
There's no statutory cap on the total payout itself — a long-tenured, high-earning employee can genuinely be owed a substantial sum. Severance pay is tax-exempt up to 600,000 THB.
When severance doesn't apply
- Voluntary resignation — severance is for employer-initiated termination, not quitting
- Dismissal for serious misconduct under Section 119 (dishonesty, intentional damage to the employer, criminal offences against the employer, and similar)
- Fixed-term contracts that simply expire on their agreed end date, in specific project-based or seasonal roles that meet the law's narrow exceptions
Retirement is treated as termination without cause under Thai law, so retiring employees with at least 120 days of service are entitled to severance using the same tier table above.
Separately, if termination is due to workplace restructuring, new technology, or relocation, employers owe an additional 60 days' special notice pay (or 60 days' wages in lieu of notice) — on top of, not instead of, the standard severance above.
FAQ
Does this apply to foreign employees?
Yes — Thai severance law applies equally to Thai nationals and foreign employees working under Thai employment contracts.
What else can I claim after being laid off?
Alongside employer-paid severance, you can register as unemployed with the Department of Employment within 30 days to claim Social Security unemployment benefits — a separate, additional entitlement.