As part of Budget 2025, Cabinet approved the Low Pay Commission recommendation that the appropriate rate of the minimum wage for 2025 is €13.50 from January 1st – an 80 cents (6.3 per cent) increase on the current €12.70 hourly rate.
Welcoming the decision, Irish Congress of Trade Unions general secretary, Owen Reidy said:
“There is no place in a modern, rich country like Ireland for any worker to be paid below the poverty line.
“Government committed in 2022 to raise the minimum wage over a four-year period to equal 60 per cent of hourly median wages by January 2026, guided by the Adequate Minimum Wages Directive adopted by the European Parliament and Council that same year.
"The Low Pay Commission recommendation ensures that the Government’s own 60 per cent target by January 2026 remains on track - a priority for Congress and our affiliated unions, as set out in our submission to the Commission ahead of their deliberations.
“Tackling our endemic levels of low pay and improving working conditions more generally is good for employees, employers and the wider economy and society."
Mr. Reidy said: “Unions have never denied sector specific challenges and that some businesses are struggling more than others. Vulnerable businesses should be supported, as recommended by the Low Pay Commission. But wage supports should be targeted, time-limited, avoid unintended adverse outcomes and be agreed through dialogue with the social partners.”
He added: “Urgent action is needed to improve the data and resources available to the Commission. It is essential that workers and employers have confidence in the process.”
