Today, Friday 11 February 2022, the Private Sector Committee of the Irish Congress of Trade Unions met to review their guidance to unions on pay bargaining in 2022 in light of the upward price pressures and growing uncertainty regarding the trajectory for inflation.
In December the Committee advised unions with members in the private sector that they should seek pay increases in the range of 2.5% and 4.5%.
Unions are now advised to seek increases in the range of 2.5% and 5.5% in line with the rate of inflation.The Committee is also calling on Government to relax the Small Benefits Exemption rules for 2022 in order to facilitate employers to cushion their staff from high prices and falling living standards.
Under this scheme employers can currently give employees a non-cash (vouchers) once-off small benefit of up to €500 in value, tax free, each year.
The Committee is recommending the tax-free limit be increased to €1,000 for employees in receipt of weekly gross wages up to €1,462 per week and to allow the value to be spread over multiple bonus payments over the year (e.g. €100 per month March – December).
Following the meeting, General Secretary Patricia King, said: “It is important that workers' living standards are protected and employers and Government must play their part.”
She added: “Congress will be keeping this matter under continuous review.”
