Thai Restaurants Deploy Tech to Counter Worker Scarcity
Thailand's restaurant sector is adopting technology to address persistent labour shortages. Demographic shifts and competition for staff worsen the problem, driving operators towards digital solutions and new hiring strategies.
Labour Shortage Persists
Thailand's restaurant operators continue facing an unresolved labour shortage, according to the Thai Restaurant Association. Both front-of-house and kitchen operations struggle to find staff. Thai Restaurant Association President Thaniwan Kulmongkol stated no formal survey exists on exact worker or restaurant numbers.
Kasikorn Research Centre's May analysis projected 376 billion baht in revenue for restaurants and beverage stores this year. This highlights the sector's size despite its staffing challenges.
Demographics and Competition Drive Shortfall
Demographic changes intensify the labour issue. National Statistical Office data shows Thailand as an aged society, with over 20% of its population aged 60 or older. Restaurants also compete with other sectors like retail, logistics, and hotels for employees. Larger operators, offering better salaries and benefits, hold an advantage.
Increased demand for employees drives up wages. Labour typically represents 15–20% of a restaurant's operating costs. The new generation of workers prioritises work-life balance and has more freelance and online employment options.
Technology and Workforce Adaptation
To address these challenges, restaurants adopt technologies such as QR code ordering, digital payment systems, and point-of-sale (POS) systems. These solutions speed operations, minimise administrative tasks, and reduce operational errors. Streamlined menus also simplify inventory management.
The industry encourages employees to be tech-savvy and multi-skilled, enabling them to switch roles as needed. This shift may reduce overall worker numbers but increases individual capabilities, as stated by the Thai Restaurant Association.
The Thai Restaurant Association suggests the government enhance the restaurant sector's image as a stable profession with a clear career path. Operators should also explore hiring older individuals, adapting workplace processes to suit their requirements. This structural adjustment means Thai restaurant businesses will continue investing in technology to boost efficiency.
For investors, this points to growth opportunities for hospitality technology providers and a focus on operational expenditure management for restaurant groups in the region.
This article is journalism, not investment advice; consult a licensed professional before making financial decisions. Market data is indicative, may be delayed, and should be verified with your broker or exchange before use.
Comments.
Comments are moderated. We remove what is unlawful, abusive or off-topic, and and you remain responsible for what you post.
Reader comments open soon. Until then, corrections and responses go to our newsroom, and we publish what we get wrong on Corrections.