Frank Fahey (Galway West, Fianna Fail)

I propose to take Questions Nos. 113 and 126 together.

Since the introduction of the national minimum wage in April 2000, inspectors have undertaken inspections under the National Minimum Wage Act 2000, with reported compliance and sanctions levels as follows. In 2000 and 2001, respectively, 3,419 and 1,192 inspections-visits were undertaken by the inspectorate. The respective outturns for 2002 and 2003 are 1,731 and 950 inspections-visits.

In 2001 there was one conviction under the National Minimum Wage Act that concerned a failure to keep relevant records. In 2002 there were three convictions. Two of these were in respect of a failure to pay the correct wage rate — arrears were paid in both cases — and the third concerned obstruction. No sanctions were applied in 2000 and 2003. In the context of the volume of inspections-visits undertaken, the number of cases where recourse to sanctions was necessary is negligible in percentage terms.

The Deputies should be aware that rights commissioners of the Labour Relations Commission, a body independent of my Department, also investigate complaints of breaches of the National Minimum Wage Act 2000. In this regard, there are 19 employment regulation orders drawn up through the joint labour committee system that regulate statutory minimum rates of pay and conditions of employment for the significant body of workers employed in the various sectors where these apply. The rates of pay for workers in these sectors are at least the equivalent of the applicable national minimum rates and in some cases can be greater. A recent ESRI report indicates that minimum wage workers are relatively heavily concentrated in the hotel, restaurant and bar sector and, to a lesser extent, the retail sector.

However, there has been no discernible trend to date, indicating that any sector is particularly problematic in regard to compliance with the provisions of the national minimum wage.

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