Seán Sherlock (Cork East, Labour)
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Question 98: To ask the Tánaiste and Minister for Enterprise, Trade and Employment her views on the suggestion (details supplied) that the national minimum wage should be lowered; if she has discussed this matter with the trade union movement; and if she will make a statement on the matter. [7275/09]

Billy Kelleher (Cork North Central, Fianna Fail)
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I have not made any comment to the effect that I consider that the national minimum wage should be lowered. What I said was that, whatever, rate applies, it is important that the national minimum wage is not a barrier to employment. Protection of jobs must be our top priority and I think all sides accept that as the key goal. This is also the view of the Tánaiste.

I understand that in November 2008, ICTU requested the Labour Court to review the national minimum wage and to make a recommendation to me concerning its adjustment. The Court subsequently invited submissions on the issue. Various submissions were received, including from IBEC, ICTU and the Department of Finance. The Labour Court also held discussions with these parties. I understand that the matter is still under consideration by the Court. If the Labour Court is satisfied that a general agreement has been reached between the parties as to an appropriate minimum wage, it will recommend the rate agreed to me. If, after these consultations, there is no general agreement, the Labour Court can still make a recommendation to me. However, in doing so, the Labour Court must have regard to the movement of earnings of employees, the relevant exchange rate movement and the likely impact on employment, unemployment, inflation and national competitiveness.

It would be inappropriate for me to enter into discussions with either employer or trade union bodies while the Labour Court is engaged in a process of consultation with these bodies. When it comes to considering a Labour Court recommendation in relation to the minimum wage, I am required under the Act to take into account the impact that the proposed rate may have on employment, the overall economic conditions in the State and national competitiveness. In other words, the key consideration is to ensure that the national minimum wage is set at an appropriate rate.