Although the unemployment problem this year may not be as serious as it was during the 1997 economic crisis, we are still keeping an eye on it. Besides current government measures, I would like to propose launching some more solutions for the unemployment problem, as follows.
Allow installment tax payments The government should allow the business sector to pay corporate tax accruing to only 25% of their profit this year, and then let them pay the remaining 5% at a low rate of interest next year. This tax procrastination will increase business liquidity and thus slow down staff lay offs.
Establish a tourism fund The tourist industry can effectively stimulate the economy and also employment, but now the number of tourists in Thailand is shrinking due to the impairment inflicted on Thailand’s reliability by recent political conflicts. Therefore, reconstructing tourist confidence is a key to help the tourist industry. I propose that a tourism fund be established to guarantee compensation for all tourists in Thailand in case of damages from political turmoil.
Expedite investment in small projects At this time in which some part of the economic engine is not functioning well, the government should play a role to stimulate the economy and alleviate unemployment problem by increasing government investment. However, because mega projects may be hard to begin, the government had better focus on small projects, which are able to begin early and are effective in creating employment, without inequality. Such projects can be, for example, in the area of rural schooling and hospital development, irrigation systems and small water resources development, road and infrastructure improvement and tourism site development.