Labour law has struggled to provide a just system between employers and employees. International norms, domestic laws, economic setup and several other factors directly affect both parties’ minimum wage, resilience and welfare. Consequently, this research includes disaster and their impact on labour law and vulnerable Small and Medium Enterprises which tend to provide employment opportunities in developing countries. This research aims to explore, analyse, and synthesise the labour law scenario in Thailand and how employees and SMEs can be disaster resilient. The method adopted for this research is qualitative, with research tools involving Key Informant Interviews (KII) and rigorous secondary data review that provide literary support to the research. Extensive literature has been provided for the gaps in the existing legal framework in Thailand and the inadequacies of the labour laws and guidelines in Thailand, especially in the local governance level SMEs. The direct impacts were inaccurate minimum wages, which are not paid during disaster scenarios. Equal rights, employment opportunities, and assistance for the professional development of employees and SMEs are neglected during disasters. The lack of involvement from stakeholders, including managerial and governmental assistance, resulted in limited opportunities for the SMEs. This research paves the way for the resilience and sustainability of Thailand and its regional development as Thailand is a leader among developing South Asian countries.