Auto body to rev up skills

The Thailand Automotive Institute (TAI) has developed a six-year plan to improve the efficiency of workers in the automotive and auto-parts industry so they can compete with other countries, says president Wallop Tiasiri.

The institute plans to develop the skills of 300,000 workers in the sector in a bid to support the continuous growth of auto production.

The aim is for one worker to be able to produce six units per year, up from the current three per person, by 2016.

Thai production efficiency is low compared to large worldwide automakers. Japanese workers, for instance, are able to produce 11-12 units per worker per year, said Mr Wallop.

"This initiative will also help solve our labour shortage and the need to borrow labour from other industries. Most importantly, if workers are efficient enough to support competition in the future, their income might double from the current average of 9,000 baht per month to 18,000 baht," he said.

There are currently 450,000 workers in the sector, with production of 1.5 million to 1.6 million vehicles per year.

"By 2012 we have a goal of producing 3 million units. If there is no improvement in human resources we will need 600,000 to 700,000 workers to achieve that target," said Mr Wallop.

"But if we implement the labour efficiency plan, we will only need 500,000 workers."

He added there was a report that car sales in May reached an unexpected high of 60,000 units, despite the anti-government riots in Bangkok. Exports topped 80,000 units.

"I believe there will soon be a revision in production targets," he said.

In the future the TAI will join Board of Investment (BoI) roadshows to draw in automakers to invest in pickup trucks and public transport vehicles produced here, especially by Chinese and Swedish investors.

"These vehicles are being purchased more as the industrial sector in Asean grows," he said.

For the 2011 fiscal year the institute has asked for a 250-million-baht budget, with 60 million to develop the quality of life of the workforce, enhance factory efficiency and develop the automotive and parts industry.