Top 5 questions to ask when you HIRE or FIRE an employee in Thailand
Will it be regarded as the commencement of a new employment, and if so is the employer obliged to recognise accrued rights of the employee from earlier employment elsewhere?
What are the pros and cons of fixed-term employment vs. indefinite employment for the position to be filled?
What (if any) particular or non-standard provisions may be desirable for inclusion in the employment contract?
Is the employee free from restrictive covenants to take up the job?
If the employee is not a Thai national, will a work permit be obtainable? If the employee will additionally require a long stay visa, will it be obtainable?
What is the contractual position?
As concerns the statutory position, are there grounds for termination for cause?
If not, what termination payments, e.g. payment in lieu of notice, annual leave pay or severance pay, will have to be given, and what will be the employment commencement date for calculation of severance?
Will/can restrictive covenants be enforced?
Is the termination likely to be construed as unfair, giving the employee a potential claim for additional damages? If so, can the risk be excluded by securing the resignation of the employee against an ex gratia additional payment?