Martin Mansergh (Tipperary South, Fianna Fail)

However, I believe there are merits in both systems and the Government has been trying, particularly through the social partnership system, to try to combine the best aspects of both systems. The American system may have been regarded up to now as being more dynamic, while the European model may have been regarded as being more socially caring. I refer to what is called the social market economy.

The point has been made, perhaps more outside the Houses then inside, that this is a plot against the minimum wage. Absolutely no changes are being announced or, in so far as I am aware, are under consideration in respect of the minimum wage. One of the merits of the minimum wage is that it gives people an incentive to work whereas if one permits the minimum wage to be driven down or if no minimum wage exists, there is little incentive to take up low-paid employment.

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