The 26-year-old man was charged with drunk driving, reckless driving causing deaths and injuries and driving without a license, the Nation Thailand reported.
His blood alcohol level was 121 milligrams per 100 milliliters of blood, exceeding the legal limit of 50 mg.
A group of workers of Sin Yotha Co. Ltd. were moving communications cables underground when the speeding car driven by the tourist hit them, Pattaya News reported.
One was confirmed dead while two others were injured.
The tourist said he was visiting Chiang Mai for two weeks.
He said he went to drink at a pub in Chiang Mai with friends and he was driving back to his hotel when the accident occurred.
Under the Thai alcohol laws, a person can be fined up to 200,000 baht (US$5.718) and/or be incarcerated for up to 10 years for driving under the influence of alcohol.
Their licenses can be suspended or revoked.
Saturday marked the first day Thailand extended the opening hours of night clubs and entertainment venues in some tourist precincts.
Entertainment venues, clubs and karaoke bars in Bangkok, Phuket, Pattaya, Chiang Mai and Samui are now allowed to stay open two extra hours until 4 a.m.