Mr. Stephen McNally:

The Senator is right to say that business has improved in Dublin in particular. It is important to note that there is almost a shortage of bedrooms in the centre of Dublin at the moment. People will agree with that as well. We have come from such a deep position since we went to the base that the increase taking place as part of the recovery seems high. The recent PricewaterhouseCoopers report made it clear that Dublin is the fourth most occupied city in Europe, but it is merely the 14th most expensive city in terms of the rate we are charging. It is clear that we still have a long way to go to get ourselves up. Practically speaking, the rates in London are twice the rates in Dublin. That is what one would find if one compared the two cities, but we are not even going there. I can give the Senator very good examples of hotels right across Dublin that have already increased pay rates. That has happened in the cases of hotels that have been able to afford to do so. The Senator made the important point that Dublin is almost running differently from everywhere else. When a busy market is overheating, our employees will move somewhere else if we do not mind them. The market will determine the way it is going to move. Maybe that is what is happening in Dublin. The market is flat outside Dublin. Many hotels are just opening again. The seasonal hotels will be opening at the start of April for Easter. Their numbers are looking okay, but some of them have not been refurbished for some time. Their restaurants might not have seen a new piece of furniture for eight years, or their bedrooms might not have seen a new carpet for nine years. These businesses are trying to get up to an economic level again. That is the balance we have here. I have seen the increases that have been put in place in Dublin - it has happened in our company - because the economics have said it is absolutely right that the employees should be rewarded. That did not require a joint labour committee or a minimum rate. The market demand said we had to do something. That is the way it should happen here.