Sinéad Gibney (Dublin Rathdown, Social Democrats)
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717. To ask the Minister for Enterprise, Trade and Employment if the economic impact assessment of the Low Pay Commission’s recommendation to abolish sub-minimum rates of pay has been completed; if there is a timeline for completion and publication; if he plans to publish the report; and if he will make a statement on the matter. [46765/25]

Peter Burke (Longford-Westmeath, Fine Gael)
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The National Minimum Wage Acts allow for lower, or sub-minimum rates of the minimum wage for those employees aged under 20. Those aged less than 18 years can be paid 70 per cent of the full minimum wage rate, while those aged 18 years and 19 years can be paid 80 and 90 per cent of the full rate, respectively.

The Low Pay Commission recommended the abolition of sub-minimum rates in March 2024.

The Low Pay Commission highlighted in its report on these rates that this is a complex issue. They have said Government will need to give their findings and recommendations detailed consideration and deliberation.

My Department has commissioned an economic impact assessment of the Commission’s recommendations.

The economic impact assessment will provide us with more up-to-date data on the use of sub-minimum rates and will independently evaluate the economic impact of possible changes to the sub-minimum wage regime in Ireland.

The report is currently being finalised and will be published in the near future.

The use of sub-minimum youth rates of the National Minimum Wage is a complex and nuanced issue, but this Government is committed to fair and sustainable wages for all workers.

The current system of youth rates is based on a percentage of the full minimum wage; when the minimum wage increases, these sub-minimum rates also increase, with young people in receipt of these rates seeing a commensurate increase in their wages.

There have been significant increases in the National Minimum Wage over the last few years, including the increase of 80 cent to €13.50 per hour on 1st January and the increase of €1.40 in January 2024. These increases have been ahead of wage growth across the economy and have delivered real wage growth to minimum wage workers.