Over 200,000 minimum wage workers could be denied a fair pay increase if the Government takes the unprecedented step of rejecting a Low Pay Commission recommendation in next week's Budget, unions have warned.
The call follows a meeting between a delegation from the Irish Congress of Trade Unions and the Minister for Enterprise, Tourism and Employment Peter Burke, ahead of next week’s Budget.
The Low Pay Commission makes recommendations to the Minister for Enterprise, Tourism and Employment, designed to set a minimum wage that is fair and sustainable. Since its establishment in 2015, the Government has each year accepted its recommendation.
While Government Ministers have repeatedly described Budget 2027 as a Budget to ‘make work pay’, they have declined to commit to accepting the Low Pay Commission recommendation.
Commenting, General Secretary of the Irish Congress of Trade Unions, Owen Reidy said:
"Reports that the Government may take the unprecedented step of rejecting a Low Pay Commission recommendation on the minimum wage are profoundly concerning.
"There are over 200,000 people in Ireland working for the minimum wage. The Government cannot credibly talk about a workers' budget while rejecting even a modest increase for the lowest paid workers in the State.
"The Low Pay Commission is an independent, statutory body. It hears from employer representatives, employee representatives, and independent experts, and makes its recommendation based on all the available evidence.
"If Government override that process at the behest of business lobbyists, it will make a mockery of the idea of a so-called ‘worker’s budget’. Last year, the Government bungled the Budget by short-changing workers. With just days to go, we urge them not to make the same mistake again.
"Trade unions have been clear over the last twelve months that we will not hesitate to defend our members' living standards. Social dialogue can be an effective route to ensuring that happens.
"However, if Government continues to jump at the command of big business, it will succeed only in guaranteeing more industrial action."
