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Ireland Poised for 5% Minimum Wage Rise as Government Weighs a Smaller Increase

The Low Pay Commission's push is part of a long move toward a living wage.

Overview

  • The Low Pay Commission is expected to advise raising the hourly floor by 5% from €13.50 to about €14.17, and governments have typically adopted its recommendations.
  • The Irish Independent reports ministers are considering a smaller rise of roughly 55c, short of the Commission’s reported 65c proposal.
  • Retail Excellence’s Jean McCabe calls the plan the “nail in the coffin” for many small firms, citing a 35% increase in wage costs over five years and cuts to staff hours.
  • Business groups including ISME and the Small Firms Association warn higher statutory pay would squeeze hiring and seek relief such as a temporary PRSI rebate, while unions argue even 65c would be insufficient for low‑paid workers.
  • ESRI’s Paul Redmond notes the minimum wage has climbed about 55% since 2015 as policy moves closer to a living wage set at 60% of median income.