The Bank of Thailand forecasts rising unemployment as the economy shifts toward capital-intensive, technology-driven investment models that require fewer workers per dollar invested. The capital-to-labor ratio has declined sharply—new investment units now hire ~10 workers versus ~20 previously. While Thailand's tech sector (data centers, AI) is growing, it relies heavily on imported inputs and generates limited spillover employment. Thai SMEs face headwinds: fewer jobs from new investment, rising skill gaps, and employers increasingly turning to temporary/contract labor to reduce costs.