LPC Recommends Increase To National Minimum Wage

The Low Pay Commission (LPC) has recommended a 10 cent increase in the National Minimum Wage, bring the hourly rate to €9.25.

The minimum wage was last increased on 01 January, 2016, following a recommendation by the LPC made in July 2015 of a 50 cent increase from €8.65 to €9.15.

The increase was recommended in a report made to the Minister for Jobs, Enterprise and Innovation, Mary Mitchell O'Connor.

The report sets out a range of data it has considered in recommending the increase. The Commission also sought submissions from interested parties and consulted directly with workers on the minimum wage and employers in relevant economic sectors. The Report relies on data available in the period up to 1 July 2016.

Commenting on the publication of the report, Minister Mitchell O'Connor said: "The Low Pay Commission as a body is specifically established to assess the appropriate level of the national minimum wage (NMW).

"The Commission is balanced and non-political and is tasked with carrying out an evidence-based assessment in proposing an appropriate level of the NMW, taking into account issues such as impacts on job-creation and competitiveness. I brought the Commission's report and recommendation to Government earlier today, and it will be considered in detail in the context of Budget 2017."

Minister for Employment and Small Business, Pat Breen, added: "I also welcome the Report and would like to thank the Commissioners for their service in producing a full and comprehensive report. I look forward as well to receiving the Reports from the Commission later in the year on the 'Related Matters' which they have been asked to study, namely the appropriateness of the sub-minima rates, which have not been reviewed since their introduction, and the reasons behind the preponderance of women on the NMW."

Both Ministers expressed their full support for the independent work of the Commission both in terms of the work it undertakes on an annual basis in relation to making a recommendation on the appropriate rate for the NMW and also for the work it is undertaking on related matters. They also thanked all who had responded to the Commission's call for submissions on the NMW, and those who had shared their experiences of employing minimum wage workers, or living on the minimum wage, in meetings with members of the Commission.

(MH/LM)