Dáil debates

Tuesday, 24 February 2009

3:00 pm

Photo of Billy KelleherBilly Kelleher (Cork North Central, Fianna Fail)

I understand that in November 2008, the Irish Congress of Trade Unions asked the Labour Court to review the national minimum wage and to make a recommendation on its adjustment to me. The court subsequently invited submissions on the issue. Various submissions were received from IBEC, ICTU, the Department of Finance and other interested parties. The Labour Court held discussions with these parties. I understand the matter is being considered by the court. If the court is satisfied that general agreement on an appropriate minimum wage has been reached by the various parties, it will recommend that rate to me. If general agreement is not reached following the consultations, however, the Labour Court can make a recommendation to me anyway. In doing so, the Labour Court would need to have regard to the movement of earnings of employees, the relevant exchange rate movement and the likely impact on employment, unemployment, inflation and national competitiveness. When I consider any Labour Court recommendation on the minimum wage, I am required under the relevant legislation to take into account the impact the proposed rate might have on employment, the overall economic conditions in the State and national competitiveness. The key consideration is to ensure the national minimum wage is set at an appropriate rate. It would be inappropriate for me to comment or express views on the level of the minimum wage in advance of the Labour Court recommendation.

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