As Thailand markets itself as retirement haven, its tourism sector struggles to find young workers it desperately needs

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Tourism businesses in Pattaya and Phuket rely increasingly on migrant workers as the Thai labor pool ages and contracts. (Photo –Jomtien Beach)

PATTAYA, Thailand – Thailand is accelerating toward an aged society, much like Japan, with major economic implications looming. As of 2023, over 20% of Thailand’s population is aged 60 or older, officially classifying the country as an “aged society.” The National Economic and Social Development Council (NESDC) projects that by 2037, more than 30% of Thais will be elderly, significantly reducing the working-age population.

At the same time, Thailand’s total fertility rate has plummeted to 1.08 births per woman in 2023, far below the replacement level of 2.1. This has led to a historic population decline, with deaths outnumbering births for several consecutive years—a trend not seen since modern records began.



This demographic shift is already straining the tourism sector, which directly employs around 4 million workers and supports millions more through supply chains. But with fewer young Thais entering the workforce and many opting for tech or gig-economy jobs, the sector is grappling with a critical labor shortage. Hotels, restaurants, and attractions in major hubs like Pattaya and Phuket are finding it difficult to hire enough staff to keep up with rebounding tourism demand.

In the absence of domestic workers, the industry is increasingly turning to migrant labor from Cambodia, Myanmar, and Laos. According to the Ministry of Labor, there are over 2.5 million registered migrant workers in Thailand, many of whom are now stepping into roles left vacant by Thais. Yet this growing dependence on foreign labor also highlights the need for better legal protections, streamlined work permits, and improved living conditions.


Ironically, while the domestic population ages, Thailand’s tourism strategy is also pivoting toward elderly international visitors—particularly retirees from Europe, Japan, and South Korea who seek long stays in coastal cities. This demographic shift within tourism itself demands more service-oriented, healthcare-aware, and linguistically skilled workers—placing even greater pressure on a dwindling and aging workforce to provide youthful, customer-facing roles that support this growing niche.

Thailand now stands at a crossroads. Without urgent reforms to immigration policies and workforce development programs, the tourism sector—and the economy at large—may struggle to stay competitive in the face of long-term demographic decline.