Mr. David Hegarty:

The recommendations of the Low Pay Commission last year to move to a living wage of 60% of median hourly wages, which were accepted by Government, were informed by a lot of analysis and research, including by a group of economists at Maynooth University. Essentially, its findings were that a move to 60% was unlikely to have significant disadvantageous labour market implications. Beyond that, the evidence is a bit more mixed. The Department and, subsequently, the Government were happy with that analysis that a gradual move to 60% would not present serious problems for employers or employment generally.

Subsequently, the Government was happy with the analysis that a gradual move to 60% would not present serious problems for employers or for employment generally. As the Deputy knows, at the moment, the Low Pay Commission, LPC, makes an annual recommendation to Government. It is considering that right now. The recommendation is due on the third Tuesday in July, which is actually next week. The commission can take account of the state of the economic cycle in its recommendation on how we get to the 60% and, therefore, it is open to it too by its judgement.