Seán Power (Kildare South, Fianna Fail)

We all accept that we are living in difficult times and that difficult decisions have and will continue to be made for the foreseeable future. The way we do our business here must reflect the change that is taking place outside. Opposition for the sake of it is no longer acceptable. We are discussing the reduction in the minimum wage, a matter in respect of which I have received correspondence, some of it from people who are upset about its introduction. I do not believe for one moment that all Members on the Government side are fully supportive of what has been introduced. Equally, I do not believe everyone on the Opposition side is totally opposed to a €1 reduction in the minimum wage. However, that is how the debate will go tonight, with everyone on this side of the House supporting it while those on the Opposition side who speak on it opposing it and setting out the reasons we should not introduce it. This decision was made by Government following much consultation. As I understand it, this was a big issue during the discussions on the EU-IMF deal a few weeks ago. There is no guarantee that the decision taken by Government will create extra jobs, although I strongly believe it will.

Fewer than 450,000 are currently unemployed. We must come up with imaginative ways of creating opportunities for employment for these people. A colleague told me that the day after this decision was announced he received a telephone call from a man who owns a restaurant telling him he would be a in position to create two new jobs as a result of the cut. I am sure this will be replicated throughout the country. There is no reason people who are currently in receipt of the minimum wage should be affected by this change. I believe this reduction will create opportunities for people. It will allow people to get their leg on the first rung of the ladder or to get their first job. While as I stated earlier, no guarantee comes with the decision, like Deputy Collins, I am confident that in 12 months people will look back on this and say that we made the right decision at the time.

Like many colleagues, as part of my constituency work I meet with people who find themselves on social welfare. In many cases, these are people who have worked all their lives and who have never dealt until recently with the social welfare system. These people tell me they would prefer to work for the same amount they are receiving on social welfare if they could only find employment. It is important that all able-bodied people are given the opportunity of employment. We are all familiar with the difficulties experienced by people who are unemployed, including from a health point of view. Long-term unemployment can eat into a person's self esteem, with people feeling unwanted and like they do not make a meaningful contribution to society. Apart from the money it provides for people, employment gives confidence and a feeling of self worth. Rather than knock this decision for the sake of it, people should analyse it for what it is. The intention was not to victimise people who are unemployed but to create opportunities for employment, thus giving to many people the opportunities so many of us have.

The minimum wage rate of €8.65 was set three years ago. However, it cannot be ignored that the cost of living here has reduced significantly in recent years. This decision was made for the right reasons. This is not an attempt to victimise anyone, either those who are unemployed or those currently working for the minimum wage. I got involved a few years ago with a number of people in establishing an organisation for stable staff. This group of people make an important contribution to an industry which Deputy Wall and I appreciate is important to Kildare and the rest of the country. It was clear to me that what they do is not all about money and that there are many other aspects to their employment which show the contribution they are making.

I support the measure, which I believe was introduced for the right intention. It is hoped it will succeed in creating more opportunities for those people who are currently unemployed.

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