Oireachtas Joint and Select Committees

Wednesday, 29 March 2017

Joint Oireachtas Committee on Arts, Heritage, Regional, Rural and Gaeltacht Affairs

Border Counties: Discussion

2:10 pm

Mr. Neil McDonnell:

The Chair spoke about the possibility of special economic status or a special zone being designated north of the Border. We would need to define that when we get into the social chapter. If the British Government goes down the so-called "bill of rights" route, as it is suggesting it will do, will it lead to a deterioration in the standards of employment of workers? I will give a simple example from within the tourism industry here. Bus drivers, bar workers and restaurant workers on this side of the Border are subject to a 48-hour average working week, or a maximum of 60 hours in any one week. If they are going to be subject to competition from workers two miles away who are no longer bound by those rules, that will have implications for the cost structure, which is already under pressure. We have the second highest minimum wage in Europe. We have gone relatively far away from the North of Ireland because of the deterioration in the price of sterling. The gap has already widened from a wage perspective. Theresa May has said she will strengthen workers' rights. I will believe it when I see it. If the average working week increases to 50, 55 or 60 hours, the difference in the cost base of businesses that are very close together will stretch considerably.

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