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Payment of Benefits to Employees upon Membership Termination


          The fund-governing rules must include provisions regarding the payment of benefits to employees upon membership termination. Under all circumstances, members are always entitled to the whole sum of their contributions and accrued benefits attributable to their own contributions. However, entitlement to the employers' contributions and benefits derived from this part is determined as stated in the fund article. This is called "the vesting rule". In case of no specific requirements, member have the right to receive the whole sum.

           Conditions upon attainment of the employer's contributions and its benefits
          The fund article contains the vesting rule which may
be based on the employment period or the membership period.



Employment Period

Entitlement to the employer's contributions and benefits



Less than 1 year
1 - 5 year
More than 5 year



The specified period should not be prolong in such a way that may impede members' attainment to the full amount. Unreasonable period extension may be viewed as an intention of employee exploitation.

The provident fund database shows that almost 100% of provident funds registered in Thailand require a period of 10 years or less for members to obtain the full amount of
  the employerís contribution and its benefits regardless of period of employment or membership. Less than 5% stretch the mandatory period to more than 10 years..

           Grounds for Deprivation of Rights on the Employer's contribution and Its Benefits
The fund-governing rules may specify causes for deprivation of rights on the employerís contribution and benefits on the grounds of frauds, disciplinary violations, and critical negligence and etc.

           Prohibition to Transfer the Unpaid Amount
The fund-governing rules may prescribe a specific period in which members can take the whole sum of benefit payout. However, it is not allowed to prescribe in the fund article that the unpaid amount will be transferred to any person.


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Last update : June 15, 2006

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