Conor Lenihan (Dublin South West, Fianna Fail)

I move amendment No. 1:

To delete all words after "Dáil Éireann" and substitute the following:

"endorses the national recovery plan as a strategy for economic recovery with the aim of restoring stability to the public finances, improving Ireland's cost competitiveness, stimulating enterprise growth and job creation; and in particular recognises that:

— the national recovery plan identifies how Ireland's national minimum wage, NMW, has increased six times since its introduction and is now 55% higher than its original level - by the end of 2010 the consumer price index is forecast to have increased by approximately 28% since 2001;

— research states clearly that a reduction in the national minimum wage will result in an increase in employment in the medium term;

— the reduction in the minimum wage is one element of the labour market reforms outlined in the national recovery plan which also includes the review of sectoral agreements, new labour market activation policies and welfare policy;

— NMW workers are concentrated in sectors badly hit by the downturn including retail, hotels, restaurants and horticulture;

— the State must act to remove any legislative and policy obstacles to job creation;

— even after the reduction to €7.65 per hour, Ireland's NMW remains in the top tier of EU minimum wage rates and the new rate will remain about 12% higher than the UK;

— individual employment rights in Ireland have a sound legislative foundation, active compliance systems and robust institutions for adjudication on rights and resolving disputes together with broad social support; and

— the Government is providing support for lower income families particularly through the family income supplement."

I am grateful for the opportunity to respond to the motion.

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