2000 Gender and Development in Thailand

Section B - Socio Economic Status of Women
Part 2 - Women's Economic Conditions

A. Women's Participation in Economic Activities

A significant part of the success of Thailand's economic development can be attributed to work done by women. Out of the 31.3 million people in the labor force in :995, 13.8 million or 44 percent were women, with 80 percent (11.1 million) in rural areas and 20 percent (2.7 million) in urban areas. Agriculture accounted for 40 percent of women's employment, manufacturing 19 percent, commerce 18 percent and services 16 percent.

The rate of labor force participation for Thai women is relatively high compared to other countries worldwide. It has stood at more than 60 percent for the past two decades, compared to about 80 percent for men in the same period (or 20 percentage points below the rate for males). For rural women, very high rates of approximately 80 percent exist among the older age groups due to high seasonal demand in agriculture. The difference between men and women is apparent in all age groups but is most significant in the older age groups, reflecting the lower age of retirement imposed on women.

In many developing countries, the nature of subsistence farming often causes the female labor force participation rates to be higher in rural than urban areas (although not included in official statistics). However, in the rural areas, as opportunities for cash employment outside the household increase with modernization of the economy, female rural labor force participation rates are gradually approaching those in urban areas. Another change brought about by economic development is in the employment pattern of Thai women. The proportion of women engaged in agricultural occupations has declined, from 82 percent of all women employed in 1971 to only 40 percent in 1995.

Improvement in educational attainment has increased the percentage of women engaged in white-collar occupations, but women still account for a very small part of total employment in this area. Only one woman in every thousand now holds an administrative, executive, or managerial position. Educational opportunities explain the smaller of labor force participation rates, most noticeably (especially for the youngest age groups of 11-19 years), this is more significant for women than men.

B. Factors Affecting Women's Economic Participation

The nature of the Thai economy, and the historical, demographic and cultural conditions in Thailand, all play a part in guiding women's decisions and their level of participation in the labor force.

1. Nature of the Economy

Most farm households own a small plot of land using a relatively low level of mechanization. The labor of practically all family members, including women and children, is therefore essential, especially during the peak seasons of planting and harvesting. In the urban industrial and service sectors, the entire family unit commonly lives in the same premises as the business, making the participation of all family members an inevitable part of daily life.

2. Historical Conditions

Generally, Thai women have been encouraged by economic necessity to work alongside men. In the feudal ancient period, peasant women also needed to manage the farm and seek other ways of supplementing farm income in order to supply food and cash to buy tools for their husbands when they were compelled to offer labor services to the King, princes, or noblemen.

3. Demographic Conditions

The female labor force participation rate is also thought to be affected by the decline in fertility and the number of children in the household. Age structure and living arrangements - an increase in dependency ratio and a change from the extended family to the nuclear household - have also influenced women's decisions about work. However, due to the rise in the divorce rate and the probability of women remaining solely responsible for household finances, women may be forced to join the informal sector, which allows them greater flexibility in time but gives them little security.

The process of industrialization and declining fertility means that the traditional source of old age security has been weakening. Given that women tend to live longer than men and are less likely to remarry, if an organized old age security system is not established soon, women are likely to bear most of the undesirable consequences.

4. Cultural Conditions

Family and social expectations for daughters and sons are different. Daughters are expected to take care of the family economy, while sons' main duty is to bring honor. Sons can earn great merit for their parents simply by being ordained as a Buddhist monk for a short period, daughters do not have such opportunity and may, therefore, choose the alternative of improving their parents' welfare by working hard, earning much money, and providing the parents with material comfort.

Furthermore, in spite of doing paid work outside the house, women are still expected to be almost solely responsible for household chores as well. Handling both outside and inside work - being a superwoman - is no doubt a source of mental stress for many women attempting to balance this double burden.

C. Access to Economics Resources

1. Land ownership

There is no legal or social constraint on women holding land, and both sons and daughters can inherit land from their parents. Land and any other assets owned by a woman before marriage remain in her name if she does not register her marriage. For any legal transactions to be valid, the law now requires spouse's approval.

2. Finance

Women mainly control family finance, but outside the household the situation is different, depending on whether the matter concerns informal or formal credit.

In the formal credit market, women applying for a loan in their own name often run into trouble with banking regulations which require the ahead of households to make the loan agreement. It is routinely taken that the household head is the man. Therefore, only when the husband is dead or does not have his name registered in the household can a woman be considered the head of the household and permitted to make the loan agreement. The other alternative is to use informal credit.

3. Training

Technological improvements in the industrial sector have either affected women negatively or benefited women less than men. Women are the first group to be replaced, and are often excluded from training programs on new methods of production on the grounds that they have less technical knowledge than men and, therefore, are likely to be more difficult to train.

Women's participation in training can be unintentionally restricted because of factors such as childcare responsibilities, or the schedule or location of the training program. Women account for fewer than 10 percent of those enrolled in the courses in training centers run by the Department of Skills Development. Employers, who bear a large part of the costs of such courses, are likely to be unwilling to invest in training for women workers. The types of courses offered have also been criticized for being oriented toward traditional male interests, such as metalwork, auto mechanics, and plumbing.

Illiteracy is also a major obstacle because it presents a further disadvantage to women in adjusting to new technology and in receiving training. Women account for two thirds of the illiterate population. In all types of employment, it is common to require applicants to be able to read and write. With the increasing use of new technology, workers are required not only to be able to understand written Thai instructions, but also English instructions.