Sorca Clarke (Longford-Westmeath, Sinn Fein)
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258. To ask the Minister for Enterprise, Trade and Employment if his Department has considered the request from trade unions (details supplied) to increase the minimum wage by €2 in January 2024, and again in January 2025; and if he will make a statement on the matter. [26352/23]

Simon Coveney (Cork South Central, Fine Gael)
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The Low Pay Commission, which was established in 2015 as an independent body, makes recommendations designed to set a minimum wage that is fair and sustainable and one that will not have significant negative consequences for employers and competitiveness. Since its establishment, the Low Pay Commission has made eight annual recommendations, resulting in a 30.6% increase in the minimum wage between 2016 and 2023.

Last November, Government announced the introduction of a national living wage for employees. This will be set at 60% of hourly median wages in line with the recommendations of the Low Pay Commission. It will be introduced over a four-year period and will be in place by 2026. The Commission also recommended that subject to an assessment of the impact of this, the economic practicality of gradually increasing the targeted threshold rate towards 66% of the median wage should be assessed and recommendations should be made accordingly.

It is preferable to move towards a living wage gradually, using a procedure that takes account of prevailing economic conditions and that ensures that the minimum wage will continue to increase in future as economic conditions improve.

The Government is supportive of the Low Pay Commission and the work it has carried out since its foundation and respects the independence of the Low Pay Commission.