After the reformation of Thailand's government regime from the absolute monarchy to  democracy  on 24 June 1932 , the country had been affected by global economic recession  leading to rising unemployment. The group of people reforming administration made a major policy on economic maintenance and employment services to all citizens aiming to alleviate the unemployment. Consequently, they promulgated a law on employment agency B.E. 2475 (1932) including a law on local employment agency B.E. 2475 (1932). Furthermore, they amended a labour law and established  Employment Section under the Registration Division, Ministry of Interior as the first agency with a dominant role in labour administration.
         Since then, this agency had been continually improved with thoroughly extending of     work load. When the national economic and social development plan No. 1 (1961-1966) was implemented,  Labour Division as the agency performing the labour administration was upgraded to be Labour Part in 1962 and to be Department of Labour under the  Ministry of Interior in 1965. Its functions were to perform labour administration, labour protection, labour relations, skill development, employment services and management of the Workmen’s Compensation Fund.     In 1990, the government considered that labourers should have been protected by social security system, therefore, the Social Security Office has been established and the affairs of the  Workmen’s Compensation Fund has been transferred to the said office.
         The duty and responsibility of the Department of Labour have been increasingly important since 1982, several governments tried to upgrade this department to be the Ministry of Labour  but it was facing with the ploblems relating to the governments' reformation. On 28 January 1992,   the Cabinet approved the resolution on abolishment of the Department and has established two agencies under the Ministry of Interior namely the Department of Labour Protection and Welfare (DLPW) performing and taking responsibilities on labour protection and labour relations, and the Department of Skill Development (DSD) performing and taking responsibilities on employment promotion-such as labour skill development and employment. The Cabinet also approved the principle for the arrangement of  the eastablishment of the Ministry of Labour and Social Welfare.
         The eastablishment of the Ministry of Labour and Social Welfare has been successful  in 1993, the Cabinet has enacted  the law concerning tranferral of power, duties and some functions to the said Ministry and it has become effective since 23 September 1993 and the DLPW as one  of the agency has been under the above Ministry.
         During the promulgation of the Constitution of the Kingdom of Thailand B.E. 2540 (1997), the country had confronted with the economic crisis and various pressures resulting from both global social change and domestic socio-economic change. Consequently, the Cabinet had approved the resolution on public administration system reformation plan to a new public administration

model on 11 May 1999. In 2002, the government has enacted the State Administrative Act (No 5) B.E. 2545 (2002) and Government Organization Restructuring Act B.E. 2545 (2002) for systematic  state administration. The said law  prescribed restructuring  model and new pattern of the administration which was resulting in restructuring of the  Ministry of Labour and Social Welfare    to be the Ministry of Labour (MOL) and transferring the public welfare work to the newly-established Ministry of Social  Development and Human Security.  The  DLPW is an agency affiliated with     the  MOL since 3 October 2002.