The Home Builder Association (HBA) highlights the severe labor shortage crisis affecting various sectors, particularly the home construction industry, which is labor-intensive. The association is urging the government to implement 5 urgent measures to overcome this deadlock and prevent significant economic downturn in the latter half of the year.

Mr. Anantakorn Amornvatee, President of the Home Builder Association, stated that Thailand is currently facing a critical labor shortage across all sectors, including agriculture and services, especially in home construction. The industry is actively seeking solutions to mitigate the potential impacts that could halt business operations in the upcoming months.

The association reflects on the challenges posed by the shortage of foreign labor and its direct effects on the home construction business. They propose 5 measures to the government through the Joint Private Sector Committee (JCC), which plays a crucial role in driving Thailand's economy. The JCC comprises the Thai Chamber of Commerce, the Federation of Thai Industries, and the Thai Bankers' Association, aiming to reduce the impact on the home construction sector.

5 Measures to Resolve the Foreign Labor Crisis and Help Thai Businesses Survive

Mr. Anantakorn outlined the 5 urgent measures proposed to the government to alleviate the labor shortage in the home construction industry:

1. Expedite the registration of illegal workers in the country. The government is urged to implement special measures to allow existing undocumented workers to obtain work permits without being deported, which would quickly integrate labor into the system.

2. Reduce the procedures and costs associated with labor importation. The current MOU documentation process is overly complex and burdensome, with high hidden costs that strain businesses. Streamlining the verification process into a One-Stop Service would enhance transparency and reduce costs for employers, encouraging migrant workers to enter the system legally.

3. Upgrade the renewal process to a Real-time system with E-Work Permits. Currently, approvals or renewals can take weeks or even months. With advancements in technology, it is proposed to develop a system that updates information instantly, ensuring construction businesses remain uninterrupted.

4. Establish MOUs with new alternative countries. The construction industry in Thailand has overly relied on labor from a few countries, creating risks in case of international conflicts. Therefore, it is proposed that the government open MOUs with new countries to diversify the foreign labor supply chain.

5. Plan for systematic Upskilling of labor. The home construction sector requires a significant number of skilled workers. The government and the association should collaborate to develop standardized upskilling programs to ensure fairness for both parties, allowing employers to receive quality work while workers earn higher wages commensurate with their skills.

“These 5 measures are not just about assisting employers; they are about preserving the infrastructure and supply chain of the Thai economy for both the short and long term. The home construction business has been a key driver of Thailand's economy, with member companies generating economic value from the 'self-built home' market nationwide, estimated at around 9,800 to 12,000 million baht,” said Mr. Anantakorn.