Valuing Workplace Risks in Thailand: Insights into the Value of Statistical Life and Injury
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Promoting safe working environments is crucial to achieving Sustainable Development Goal (SDG) 8. However, progress in Thailand has been hindered by persistently high rates of workplace fatalities and injuries. Estimating their economic cost is essential for designing effective policies. This study uses national labor force survey data and workplace risk information from 2014 to 2021 to estimate the Value of a Statistical Life (VSL), the Value of a Statistical Injury (VSI), and the human cost of occupational risks in Thailand. It provides the first comprehensive VSL and VSI estimates for the country, addressing endogeneity and selection bias while considering both fatal and non-fatal risks. Using a hedonic log-wage model, the 2021 VSL and VSI averaged USD 2,015,693.92 and USD 697,579.49 (PPP), respectively. The results reveal disparities: male and non-manual workers had higher values than female and manual workers, while older workers and those in Bangkok had the highest estimates. Notably, injuries imposed a greater economic burden than fatalities, as reflected in VSI values. These findings underscore the need to reassess Thailand’s compensation structures and safety regulations to better reflect the true costs of occupational hazards.
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