Ray Butler (Fine Gael) | Oireachtas source

Since 1 January 2018, under the National Minimum Wage Order 2017, the national minimum wage for an experienced employee is €9.55 per hour. An experienced adult employee for the purpose of the National Minimum Wage Act is an employee over the age of 18 who has an employment of any kind in any two years. However, the national minimum wage does not stop an employer from offering a higher wage. There are some exemptions to those entitled to receive the national minimum wage. The legislation does not apply to a person employed by a close relative, for example, a spouse, civil partner or parent, nor does it apply to those in statutory apprenticeships. Some employees such as young people under 18 and trainees are only guaranteed a reduced or sub-minimum rate of the national minimum wage.

Under the National Minimum Wage Act young people and those in the first two years of employment can be paid lower rates called sub-minimum rates. The National Minimum Wage Act also provides sub-minimum rates which apply to employees who are aged over 18 years of age undergoing a course of structured training or direct study that is authorised or approved by the employer. The Act provides certain criteria which the training course must meet if the trainee rates are to apply. For example, the training or study must be for the purpose of improving the work performance of the employee. The employee's participation on the training or study must be directed or approved by the employer. At least 10% of the training must occur away from the employee's ordinary operational duties. There must be an assessment and certification procedure or written confirmation on the completion of the training course. If an employer cannot afford to pay the national minimum wage due to financial difficulties, the Labour Court may exempt an employer from paying the minimum wage rate for between three months and one year. Only one such exemption is allowed. The employer must apply to the Labour Court for the exemption with the consent of a majority of the employees who must also agree to be bound by the Labour Court decision. The employer must demonstrate that he or she is unable to pay the national minimum wage and that, if compelled to do so, he or she would have to lay off employees or terminate their employment. An exemption may only be sought from paying the full rate of the national minimum wage, not for the cases covered by the reduced rate, for example, employees who are under 18 years of age.

If a person is not receiving the national minimum wage, he or she may enforce his or her rights by completing the online complaint form that is available. An applicant may refer the dispute to the Workplace Relations Commission, WRC, adjudicator. However that may only be done when there is a request from the employer and a statement outlining the calculation of the average hourly pay. The applicant must refer the dispute within six months of the supplying of the statement. If a person is alleging victimisation, he or she should request that the employer restores his or her employment conditions to the position before taking a case. Where the employer fails to do so within two weeks of the request, the applicant may refer the matter to the WRC adjudicator.I also see the direction of Senator Gavan's Bill. When I tip a person after a meal in a restaurant, I expect that person to keep their tip. It is not good enough that this money would go to the employer, whether they had a bad night or there is money short in the till. It is an absolute disgrace. I come from a family retail background of video shop chains and hotels. If our employees got a tip, they kept it. I support Senator Gavan's worthy Bill.

The Minister for Employment Affairs and Social Protection, Deputy Regina Doherty, believes it would be helpful to have some research on how current practices work, including service charges. She intends to ask the Low Pay Commission to examine this issue and report to her in due course. It is a pity the Minister is not in the Chamber tonight. When the report comes back, I see no reason why we cannot go further with this Bill.