Thailand’s government has approved the recruitment of 10,000 Sri Lankan workers as part of its drive to plug a deepening labour shortage, a move that reflects both the country’s growing demographic challenge and its dependence on foreign labour.
The decision, announced by Labour Minister Pongkawin Jungrungruangkit, comes in the wake of a mass exodus of Cambodian workers who returned home after a deadly border conflict last month.
The fighting, the worst in decades, killed at least 43 people and displaced more than 300,000 on both sides before a fragile ceasefire was struck.
Before the clashes, over 520,000 Cambodians were employed in Thailand, making up nearly 12% of its foreign workforce. An estimated 400,000 have since returned home, leaving serious gaps in key industries.
Thailand, already grappling with a fast-ageing population and shrinking domestic workforce, has relied heavily on foreign labour to sustain its economy.
According to the International Labour Organization, at least three million registered foreign workers are employed in agriculture, construction, and manufacturing.
With fertility rates dropping and one in five Thais projected to be over 60 by 2035, the government faces mounting pressure to secure a steady inflow of migrant workers.
Sri Lanka has emerged as a major source. More than 30,000 Sri Lankans have registered, with the first batch of 10,000 expected to depart soon. Bangkok is also opening doors to workers from Nepal, Bangladesh, Indonesia, and the Philippines to ensure supply continuity.
For Sri Lanka, the opportunity is significant. Labour migration remains the largest source of foreign exchange for the island nation, which sent a record 314,786 workers abroad in 2024 amid ongoing economic struggles.
While the Middle East continues to be the top destination, demand from East and Southeast Asia, particularly South Korea, Japan, and now Thailand, is rising rapidly.
However, analysts warn that the Thai government’s plan may not be without risk. On the one hand, the influx of Sri Lankan and other
South Asian workers will stabilize industries reliant on low-cost labour and cushion the economy from immediate shocks caused by the Cambodian exodus.
On the other hand, critics argue that excessive reliance on foreign labour could strain social services, spark cultural tensions, and potentially erode wages for local workers.
For Thailand’s ruling socialist-leaning coalition, the move is politically delicate. While business groups welcome the decision, opposition parties could exploit fears over job competition and national identity.
If mismanaged, the migrant recruitment drive may dent the government’s popularity, particularly among its rural voter base, who already feel neglected in the country’s economic model.
In the long run, Thailand faces a difficult balancing act: meeting urgent labour demands while addressing demographic decline and safeguarding social stability.
Whether the recruitment of 10,000 Sri Lankans is a temporary fix or the beginning of a deeper shift in Thailand’s labour strategy remains to be seen.
