Bangkok:The Cabinet has approved a significant overhaul of the Social Security Act, introducing extensive changes aimed at increasing coverage and flexibility for insured individuals. The new draft law extends the age limit for insured persons under Section 33 to 65 years, up from the previous 60 years.
According to Thai News Agency, the Cabinet's approval was announced by Lieutenant Colonel Patthadarasmi Thongsalooykorn, Deputy Spokesperson for the Prime Minister's Office. The proposed amendments, suggested by the Ministry of Labour, are designed to align with current societal needs, particularly accommodating an aging population and enhancing protection for insured individuals. The existing Social Security Act, which has been in force since 1990, was deemed outdated and inconsistent with modern requirements.
Key changes include the option for insured persons, after contributing for 15 years, to choose between a lump sum payment or a monthly pension upon reaching 55 years of age. Additionally, retirement funds can now serve as collateral for loans in specific circumstances, such as natural disasters. The amendments also enhance payments for illness, childbirth, and disability, with disability compensation increased to 70% and child allowance benefits extended for six months post-employment.
Furthermore, the draft enables pensioners to continue receiving healthcare benefits by paying contributions, with government support. It also modifies penalties for non-compliant employers, shifting from criminal penalties to fines.
The Cabinet also acknowledged the necessity to draft 18 subordinate laws, which are to be completed within 60 days of the new law's enactment. The drafts will be presented to the House of Representatives Coordination Committee for review before being submitted to the House of Representatives for final approval.