Ibec, the group that represents Irish business, has said that there is no case for further increasing the minimum wage rate, if our concern is to be competitive and to keep jobs. In a detailed submission to the Low Pay Commission, Ibec looks at the criteria to justify any minimum wage increases, but the submission shows that none of these conditions are currently being met.
Ibec Director of Employer Relations Maeve McElwee stated: "Almost half of minimum wage workers in Ireland are employed in retail and hospitality. These are sectors of the economy that are facing very acute challenges from the fallout of Brexit and the weak sterling. Exporting sectors, such as manufacturing and agri-food, are already struggling to compete on a global scale. Any further cost burdens imposed by wage increases would be extremely difficult for companies to withstand. The fact is that many businesses simply cannot afford wage rises.”
"At the current exchange rate, Irish minimum wage is already 9.5% higher than that in the UK. After two recent hikes upwards, Ireland’s minimum wage rate is the second highest in the EU."
“Ibec supports the principle of a minimum wage and recognises that this wage floor should rise as economic circumstances improve. With the challenges posed by Brexit, and geo-political uncertainties further afield impacting upon Irish businesses, now is not the time to review wages upwards.”
- Low Pay Commission 2017- Ibec.pdf - 545 Kbytes