Willie Penrose (Longford-Westmeath, Labour)

The best I can say is that I am confused if not bemused. I am worried about the recital, which I quoted yesterday. It states, "Whereas the State is availing of financial assistance programmes provided by the European Financial Stabilisation Mechanism and the European Financial Stability Facility and the International Monetary Fund and it is necessary to take the measures in this Act as part of a range of measures provided for in those programmes to address the economic crisis in the State and to restore domestic and international confidence and to prevent a sovereign debt crisis affecting the State;".

Laws are laws and once enacted they circumscribe the ability to act, prescribe the manner in which one must act and contain an obligation to obey. If that is the position, the tram lines are being laid out and it will be difficult to act in a manner other than that set out by the Minister. The rate of the minimum wage does not have any bearing on the Exchequer, will not reduce the national debt by one cent and, as I stated yesterday, the proposed reduction will not create a single new job. It is wholly within the prerogative of the Government to set the rate because the legislation writes out the Labour Court as the court of reference for determining the level at which the minimum wage is set. The Government may still have to take recourse to the Labour Court to identify the factors that will be involved and seek advice.

This is a circular bird in the context of legislation. The amendment proposes a belt and braces approach and brings to mind the old story told down the country that if one puts one's toe in the fire, one might get burned. I do not want to get burned. In light of recent events, it is clear that legislation should be pre-emptive and ensure unintended consequences do not arise. It is a counsel of prudence to pursue the approach I propose.

I am probably the most accommodating committee Chairman in the House. I facilitate everybody and show endless patience. While almost everyone who came before the Joint Committee on Enterprise, Trade and Innovation referred to the minimum wage, no one argued that reducing it would create large numbers of jobs.

Notwithstanding the complete opposition of the Labour Party to section 13, which is based on facts rather than feelings, I have proposed this amendment with a view to ensuring that, should the legislation be passed, employers will at least be prevented from undermining the Minister's stated intention to preserve existing contractual positions. The Minister should accept it in the interests of clarity and certitude. While I do not know what is the position regarding the amendment as I am not privy to the advice available to him, parliamentary counsel generally kick to touch amendments of this nature. I was struck almost immediately by the need to insert in the Bill a provision of the type proposed in my amendment. I hope the Minister will accept it.

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