28 July 2010
(Unofficial Translation)
PROVIDENT FUND ACT B.E. 2530 *
_________
BHUMIBOL ADULYADEJ, REX.
Given on the 30th day of November B.E. 2530
Being the 42nd Year of the Present Reign
His Majesty King Bhumibol Adulyadej has been graciously pleased to proclaim that:
Whereas it is deemed expedient to enact the law governing provident funds;
Be it, therefore, enacted by His Majesty the King, by and with the advice and consent of the
National Assembly, as follows:
Section 1. This Act shall be called “the Provident Fund Act B.E. 2530”.
Section 2. This Act shall come into force on and from the day following the date of its
publication in the Government Gazette.**
Section 3. In this Act:
“fund”1 means a provident fund.
“single fund”2 means a fund established for employees of a single employer.
“pooled fund”3 means a fund established for employees of multiple employers.
“wages” means the money paid by the employer to the employee as remuneration for
working, whether determined, calculated or paid as the remuneration by any methods, and
called by any name, but excluding the overtime payment, the payment for work on holidays,
and money or other benefits withheld or additionally paid by the employer to the employee
for the benefit of working.
“employer” means a person who agrees to recruit the employee to work by paying wages,
notwithstanding whether it is a natural person or juristic person, and whether or not such
agreement is made under a written contract.
“employee” means a person who agrees to work for the employer and receives wages,
notwithstanding whether or not there is a written contract.
“registrar”4 means a person appointed by the Minister to be the Registrar of provident funds.
“competent officer” means a person appointed by the Minister to execute the duties in
accordance with this Act.
“minister” means the minister in charge of the implementation of this Act.
Section 4. The Minister of Finance shall be in charge of the implementation of this Act,
and shall be empowered to appoint the registrar and the competent officer, issue ministerial
regulations, and prescribe other tasks to implement this Act.
Ministerial regulations shall be enforceable upon their publication in the Government Gazette.
Chapter 1
Establishment
Section 5.5 A fund shall come into existence only when it is established by agreement of
the employees and the employer and registered under this Act, to serve as a security for the
employees in case of their death, termination of employment, or resignation from the fund, by
payments of the employees’ savings and the employer’s contribution in accordance with the
rules prescribed in the fund’s articles. A fund may be established as a single fund or a pooled
fund which may have one or multiple investment policies.
Section 6. Upon agreement of the employees and the employer to establish the fund
pursuant to Section 5, an application for registration shall be submitted to the registrar
according to the rules and procedures prescribed by ministerial regulations.
If a provident fund which has been set up before the effective date of this Act is intended to be
a fund under this Act, it shall proceed in accordance with the first paragraph.
Section 7. A fund which has been registered shall become a juristic person.
Section 7/1.6 A fund shall consist of the following assets:
(1) savings and contribution;
(2) provident funds pursuant to the second paragraph of Section 6;
(3) surcharges pursuant to the third paragraph of Section 10;
(4) donated assets;
(5) assets derived from investments or interests incurred from assets of the fund;
(6) the whole amount of the employee’s assets transferred from his previous fund or from the
Government Pension Fund, provided that the transfer of such assets to the fund shall be in
accordance with the rules and procedures prescribed by the registrar’s notifications;
(7) other assets as prescribed by the registrar’s notifications.
Section 8. In connection with the application for registration of a fund, if the requirements
of Section 6 have been properly and fully complied with, and the fund’s articles are properly
in accordance with Section 9 and are not in violation of law or the fund’s objectives, the
registrar shall effect the registration of the fund, and shall issue a certificate of registration to
the fund.
The registrar shall notify the registration of the fund in the Government Gazette.
Section 9. The articles of the fund shall consist of at least the following particulars:
(1) the name of the fund, which shall be preceded by the words, “Provident Fund” and
followed by the words, “Which Has Been Registered”;
(2) the location of the office;
(3) the objectives;
(4) the procedures for admission of members and termination of memberships;
(5) the provisions regarding the number of the committee members, the procedures for
election and appointment, the term of office, the termination of office, and the
meetings of the fund committee;
(6) the provisions regarding the employees’ savings and the employer’s contribution
payable to the fund;
(7) the provisions regarding the rules and procedures for the computation of benefits
entitled to the employees;
(8)7 the provisions regarding the rules, procedures and period of time thereby the payment
upon termination of employee’s membership or dissolution of the fund pursuant to
Section 25 shall be prescribed, without unreasonable grounds for eliminating the
employee’s rights;
(9) the provisions regarding the expenses for the fund’s operation;
(10) 8 the provisions regarding the general meeting or member meetings classified by
investment policies or employers in cases where the fund is established with multiple
investment policies or as a pooled fund, as the case may be;
(11) other particulars as prescribed by ministerial regulations.
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*This legislation has been translation by Thong-ek Law Offices Limited but it is an unofficial translation authorized for reprint by Securities and Exchange Commission.
**
Published in the Government Gazette, Volume 104 (Special Issue), Part 254, dated 7th December B.E. 2530,
and became effective on 8th December B.E. 2530.
1 Amended by Section 3 of the Provident Fund Act (No.3), B.E.2550
2 Amended by Section 4 of the Provident Fund Act (No.3), B.E.2550
3 Amended by Section 4 of the Provident Fund Act (No.3), B.E.2550
4 Amended by Section 3 of the Provident Fund Act (No.2), B.E.2542
5 Amended by Section 5 of the Provident Fund Act (No.3), B.E.2550
6 Provided by Section 6 of the Provident Fund Act (No.3), B.E.2550
7 Amended by Section 7 of the Provident Fund Act (No.3), B.E.2550
8 Amended by Section 8 of the Provident Fund Act (No.3), B.E.2550 |
