Seanad debates

Wednesday, 13 March 2019

An tOrd Gnó - Order of Business

 

11:30 am

Photo of Paul GavanPaul Gavan (Sinn Fein) | Oireachtas source

I agree with Senator O'Reilly on the important role played by the Council of Europe. I pay particular tribute to our ambassador to the council and the team out there who, as Senator O'Reilly said, have worked very hard to build good relationships with our colleagues across parties in Britain. It will become much more important in the months ahead.

The topic I wish to raise relates to an important ESRI report on the minimum wage that seemed to have been missed by the media last week. The ESRI, the Government's own think-tank, reported last week that the 2016 increase in the minimum wage, an increase of 60 cent, which I believe is the biggest increase we have had, made no significant impact on household income, which is quite a telling statement. We are talking about the poorest workers in the State. The Government's think-tank has confirmed that an increase of 60 cent in the minimum wage made no difference in real terms to their living standards. At the heart of this issue is the need to recognise that we need to move to a living wage, and I call for a debate on this matter. Surely we should all be able to agree that those who work for a living deserve the right to earn a living. The reality is that a person on the minimum wage does not have enough money to get through the week.

There is also the added scandal of corporate welfare. Many employers benefit from paying really poor wages and then having those wages topped up by the State through family income supplements that cost us hundreds of millions of euro each year. Again, there would be largely a major saving for the State if we could move people to a living wage. This is not some abstract thought. These are actions that are happening in other countries and at local government level as well. We need a debate about this. If we can afford tax cuts, then surely to God we can afford to ensure that everyone earns a living wage in this country. It is Sinn Féin policy to make that move within the first year of becoming part of a future Government, but surely it is a point on which we should all be able to agree. If we can afford tax cuts for the wealthy, we can surely afford decent wages for working people.

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