Seanad debates

Tuesday, 29 May 2018

National Minimum Wage (Removal of Sub-minimum Rates of Pay) Bill 2017: Second Stage

 

2:30 pm

Photo of Paddy BurkePaddy Burke (Fine Gael) | Oireachtas source

I welcome the Minister to the House. I thank Senators Gavan and Ruane for putting forward the Bill because it creates a debate on this issue. I am a former employer of many young people over many years, who were glad to get work near their homes and in their localities and who did not have to emigrate during the summer holidays or at Christmas. The current position is that the lower rate is paid to those under 18 years of age in a first-time job and those over 18 who are on a prescribed course or duty of training. The maximum period of training ranges from three months to three years and the training most be certified and paid for. The Government intends to bring forward, in line with the Low Pay Commission's recommendation, rates whereby employees under 18 years would receive a minimum of 70% of the national minimum wage, employees aged 18 would receive a minimum of 80% of the national minimum wage, employees aged 19 would receive a minimum of 90% of the national minimum wage and employees aged 20 and over would receive the full national minimum wage. This is a reasonable position from the Government's point of view and the country's point of view.

An employer will ask whether he or she is better off with an experienced person or taking on young people. There is no incentive for an employer to take on a young person, whether it be for the summer holidays, Christmas, Easter or weekends, under the system proposed by Senator Gavan. The Government's proposals are fair and they would be acceptable to employers and employees. We must look at the employer's point of view as well because many people aged under 18 have no experience of work. Surely they cannot demand the same wage as an experienced person. Great credit is due to the many employers who take on these young people and provide employment for them when they are in secondary school or while they are looking for full-time employment. The Government's position is fair and employers will buy into it. They will give employment to young people in their communities, and help them to stay at home rather than emigrating during the summer vacation and at Christmas. There has to be a differentiation between a person starting out for the first time at work and a person who is a full-time employee. There has to be a differential in the rate and there has to be an incentive for the employer to take on these people. I fully support the position the Government has taken on this.

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