Thailand has strict rules and regulations to protect its domestic market. One such law is the Foreign Business Act, designed to shield Thai businesses from foreign competition. In this article, we delve into the critical aspects of this Act and shed light on how to operate legally in the Thai business landscape.
Recently we have seen a number of “labour hire” and “Foreign Consulting” firms set up under BOI offer to hire foreign employees and second them to an employer, thereby bypassing foreign hire regulations. This is strictly illegal, and the company and the employee are at risk.
The Foreign Business Act – How it works
The Foreign Business Act aims to prevent foreign companies and individuals (even Thai individuals working for a foreign company) from engaging in specific wholesale, retail, or consulting services within Thailand. These services encompass everything from…
