Written answers

Thursday, 13 July 2017

Department of Jobs, Enterprise and Innovation

Low Pay Commission Remit

Photo of Anne RabbitteAnne Rabbitte (Galway East, Fianna Fail)
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81. To ask the Minister for Jobs, Enterprise and Innovation when she plans on making the recommendations of the Low Pay Commission regarding au pair placements publicly available. [34336/17]

Photo of Frances FitzgeraldFrances Fitzgerald (Dublin Mid West, Fine Gael)
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In September last, the Low Pay Commission, as part of their 2017 Work Programme, was asked to review the board and lodgings rates that are provided for under the national minimum wage legislation.

The Low Pay Commission examined the board and lodgings rates for all employees that are covered by the national minimum wage legislation.

Under the National Minimum Wage Act 2000 (National Minimum Hourly Rate of Pay) Order 2000 (SI No. 95/2000) certain reckonable components may be taken into account for all workers to determine an employee’s average hourly rate.  The Act provides for the following amounts:

€54.13 for board and lodgings per week, or €7.73 per day;

€32.14 for board only per week, or €4.60 per day;

€21.85 for lodgings only per week, or €3.14 per day.

Thus, if an employer provides an employee with full board and lodgings, or lodgings only or full board only, the monetary allowances set out above can be included as reckonable pay.

The closing date for submissions to the Low Pay Commission Review was the 10th of January last.  The Commission considered the submissions received and examined all the available evidence.

The Commission submitted its report to me in May. Having considered its contents it is intended to bring the report to Government next week and it will be published thereafter.

Photo of Anne RabbitteAnne Rabbitte (Galway East, Fianna Fail)
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82. To ask the Minister for Jobs, Enterprise and Innovation her views on whether the current allowable food and board deductions for au pairs are fair and representative of the cost of providing these services, in view of Ireland's high cost of living. [34337/17]

Photo of Frances FitzgeraldFrances Fitzgerald (Dublin Mid West, Fine Gael)
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The Low Pay Commission was asked, as part of its 2017 Work Programme, to review the allowances for board and lodgings provided for under the National Minimum Wage Act 2000 (National Minimum Wage Hourly Rate of Pay) Order 2000 (SI No.95/2000).*

In determining an employee’s average hourly rate, certain reckonable components can be taken into account. Thus, if an employer provides an employee with full board and lodgings or lodgings only or full board only, a monetary allowance can be included as reckonable pay.  As these rates were set in 2000 and have not been altered since that date, the Commission was requested to examine and advise on the appropriate inflator that should be applied to the rates set in 2000 and recommend new rates taking into account the time that has passed since the rates were first set.

*Rates for Board and Lodgings

Under the National Minimum Wage Act 2000 (National Minimum Hourly Rate of Pay) Order 2000 (SI No. 95/2000) certain reckonable components may be taken into account for all workers to determine an employee’s average hourly rate.  The Act provides for the following amounts:

€54.13 for board and lodgings per week, or €7.73 per day;

€32.14 for board only per week, or €4.60 per day;

€21.85 for lodgings only per week, or €3.14 per day.

The inclusion of this provision in the national minimum wage legislation was recommended by the Inter-Departmental Group on Implementation of a National Minimum Wage that reported in 1999.  It was the view of the Inter-Departmental Group at the time that the monetary value of the allowances for the purpose of the national minimum wage would not be at market value and would be similar to the amount permitted in the Employment Regulation Orders that existed at the time.

The Commission submitted its report on the allowances for board and lodgings provided for under the National Minimum Wage Act 2000 in May. Having considered its contents it is intended to bring the report to Government next week and it will be published thereafter.

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