EU Does Not Threaten Minimum Wage
28 Sep 2009
Congress General Secretary David Begg said today (Sept. 28) that there is no basis whatsoever for claims that the Irish minimum wage is under threat from the European Union.
Mr Begg said: "There is a basic statutory minimum wage of €8.65 per hour that must apply to all adult workers in Ireland, and in addition there are also a range of statutory higher minima that apply to a range of specific sectors.
"The basic minimum of €8.65 is set either by the agreement of the social partners or, in the absence of agreement, by a recommendation from the Labour Court. The Minister establishes the rate as legally enforceable. This is solely a national process and there is no role whatsoever for any European institution in either the process or the rate itself. This is set out in Article 137(5) of the existing treaty and there is no change under the Lisbon Treaty.
"There are also statutory minimum rates for the Construction, Electrical Contracting, Printing and Drapery sectors above the basic minimum and these are also legally enforceable. These rates are negotiated by trade unions and once registered with the Labour Court become Registered Employment Agreements that are legally enforceable rates covering all workers in the sectors concerned. They must be applied by all employers to all workers in Ireland - irrespective of the nationality of either.
"In addition there are a range of other sectors including, hotels, retail, catering, cleaning, security and agriculture where statutory minima at or above the basic minimum are set by the Labour Court and are legally enforceable for all workers irrespective of nationality in the industry concerned.
"This extensive range of statutory minimum rates negotiated under our industrial relations' structures offers protection to workers in Ireland from the race to the bottom that some on the No side have raised. Indeed on March 2 the Labour Court confirmed that the Registered Employment Agreement for the Electrical Contracting Industry was not affected by the Laval judgment," Mr Begg concluded.
ends
Irish Congress of Trade Unions,
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