Eamon Gilmore (Dún Laoghaire, Labour)

That does not answer any of the questions I asked the Taoiseach about the minimum wage. I asked him first of all if he would confirm that it will not save anything for the public purse. Clearly, it does not. This saves nothing. Second, I asked him what calculation the Government has done on what it will cost the public purse. I outlined ways in which if one cuts the minimum wage family income supplement will go up, people who are working part time will have a higher entitlement to social welfare payments, secondary benefits, possibly medical cards, housing and rents. There is a range of areas where there will be a cost to the Exchequer for cutting the minimum wage. Has any estimate been made of what the cost will be?

Third, I asked the Taoiseach to give a reason for cutting the minimum wage. If that is the best reason he can give, I am afraid it is a pretty pathetic reason. How many jobs does the Taoiseach think were lost in retail and tourism as a result of the minimum wage being as it is? How many additional jobs does he think are going to be created by reducing it? The Taoiseach has not told us anything about that. When he says that it is a base for other wages in the economy, does it follow that the strategy is first to cut the minimum wage and then to see a follow-on cut in wages right through the economy? Is that the strategy? If it is, then the Taoiseach should set it out clearly. Finally, where did the idea of cutting the minimum wage come from?

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