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Dáil Éireann debate -
Wednesday, 26 May 1999

Vol. 505 No. 4

Written Answers. - Minimum Wage.

Deirdre Clune

Question:

26 Ms Clune asked the Minister for Finance if the possibility of introducing a basic income has been examined in his Department; and if he will make a statement on the matter. [13826/99]

The basic income proposal of the Conference of Religious in Ireland is currently being examined by a Partnership 2000 working group chaired by the Taoiseach's Department. As part of this process, a consultancy study is being carried out in two phases. Consultants have been appointed to carry out both the first and second phases of this study. The first phase will prepare a costing of the proposal and is nearing completion. The second phase will provide an assessment of the dynamic impact of the introduction of a basic income, and is expected to commence shortly. On completion of these consultancy studies, the Partnership 2000 working group will be in a position to complete its own deliberations on the issue. My Department is represented on the Partnership 2000 working group and participates fully in its work. The Government's policy programme An Action Programme for the Millennium contains a commitment to prepare a Green Paper on the subject of basic income.

Michael Bell

Question:

27 Mr. Bell asked the Minister for Finance the most recent survey data available to him in relation to the likely effect of a minimum wage of £4.40 per hour; and if he will make a statement on the matter. [13856/99]

The effect of a minimum wage of £4.40 an hour is being examined at present by an interdepartmental group established by the Government. The group's report will incorporate an independent study carried out by an ESRI-led group of consultants, who examined both the macro-economic and the sectoral impact of a national minimum wage. On receipt of the group's report, which is expected within the next few weeks, the Government would intend to publish the findings in full.

The Government will then proceed to prepare detailed legislation to ensure that the national minimum wage is implemented from April 2000. The social partners are being consulted at all points in these developments.

The Deputy will understand that pending these imminent developments I am unable to enter into more specific comment on the likely effect of the minimum wage.

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