Louis O'Hara (Galway East, Sinn Fein)
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21. To ask the Minister for Enterprise, Trade and Employment if the decision to delay the introduction of a living wage will be reconsidered; and if he will make a statement on the matter. [20784/25]

Peter Burke (Longford-Westmeath, Fine Gael)
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This is a complex matter and there are a lot of considerations to be taken into account.

First, it is important to highlight the very real progress we have made in raising the national minimum wage in recent years by way of substantial increases.

Second, I fully expect the National Minimum Wage to increase further over the coming years. I want to ensure that the National Minimum Wage increases in a sustainable way, and that further increases are managed in a way that does not threaten employment or competitiveness.

I will work hard to find a balance between a fair and sustainable rate for low-paid workers and one that will not have significant negative consequences for employers and competitiveness.

As part of a suite of measures to bolster business resilience and support competitiveness, Government has agreed to adjust the implementation timeline for the living wage to 2029.

The independent Low Pay Commission will continue to make annual recommendations to me on the appropriate rate of the National Minimum Wage, and Government will consider these recommendations in the context of prevailing economic conditions and as part of discussions on the budget, as we do each year.

The Low Pay Commission must consider a range of statutory criteria when making its recommendations to me, including the cost of living, employment and competitiveness.

The important role of the Low Pay Commission is reflected in the Programme for Government which notes that “this Government will recognise the work of the independent Low Pay Commission, ensuring fair wages whilst also supporting the viability of small and medium-sized enterprises.”

With the Government agreement to adjust the implementation timeline of the living wage to 2029, we are doing just that. We are recognising that the original timeline of 2026 was proposed in very different economic conditions.

Given the more challenging and uncertain international environment I believe the adjustment of the living wage implementation timeline is the correct thing to do.

Finally, it’s important to remember that this decision should be seen in the context of the recent substantial increases in the National Minimum Wage which have brought about real wage increases for lower-paid workers. In addition, we have also introduced a range of other measures to assist workers including statutory sick pay, the right to remote work and an additional public holiday. So context is central to this.

These significant increases show Government’s continuing commitment to fair wages for the lowest paid workers in our economy.