Oireachtas Joint and Select Committees

Wednesday, 12 October 2022

Joint Oireachtas Committee on Jobs, Enterprise and Innovation

Minimum Wage, Cost of Living and Low Pay Commission Report: Engagement with ICTU

Mr. Liam Berney:

The solution to the problem is providing mechanisms to increase collective bargaining coverage and allow workers to engage in collective bargaining. In Scandinavian countries, whose model we all believe should be followed, minimum wages across the board do not exist. They set minimum wages through collective bargaining in sectors. The Low Pay Commission does not exist in countries like Sweden and Norway but collective bargaining produces good-quality outcomes, prevents low pay and inequality and increases workers' spending power. All of the evidence points to collective bargaining as being the way to deal with the problem.