I move:
That leave be granted to introduce a Bill entitled an Act to amend the National Minimum Wage Act 2000 to remove the lower minimum wage rates imposed on those employed between the ages of 16 and 20.
I am happy to introduce the National Minimum Wage (Equal Pay for Young Workers) Bill. I thank those in my office, in particular Ms Nicole McCarthy, for their work on the Bill. I also thank the Bills Office for its assistance.
Last week, the Dáil unanimously voted to condemn the lower rate of the minimum wage for those under 20 as "flagrant discrimination against young people". Not a single person in the Dáil voted against that motion. It is the view of the Dáil that having people under the age of 20 on less than the minimum wage is flagrant discrimination. That is why we in People Before Profit are introducing a Bill to end that discrimination once and for all and to ensure equal rights for young workers.
It is illegal to discriminate based on age, under equality legislation, yet the minimum wage laws make it legal to do so in that area. Those under the age of 20 are blatantly discriminated against, receiving only 90%, 80% or 70% of the minimum wage. Those who are under 17 can earn as little as 70% of the minimum wage, which amounts to €7.35 an hour, when the minimum wage stands at €10.50. We know that the minimum wage of €10.50 is a poverty wage. Someone earning that wage full time is beneath the poverty line and yet the law states that it is okay for people to be paid even less than that, not on the basis that they do any less work but simply because they are younger. The kind of spin that is used to justify this was heard from the Tánaiste in 2018 when he stated: "Sometimes people go abroad for a period and earn money. Others get money from their parents. Lots of us did." In other words, the assumption is that people are relying on the so-called bank of mum and dad. However, that is not the case for very many young people in this country. It is not the case that this is just pocket money on the side; money that people do not need. There are people who are struggling to pay mortgages and to feed their families, never mind the massive cost of living crisis at the moment.
The Government is assuming that those under the age of 20 are getting some kind of cut in their rent or living costs due to being underage. If people go to their landlords and tell them they are only 18 years of age and, therefore, should only be paying 80% of the rent, the landlord will not be very receptive to that argument. Such people are working to try to cover their bills and rent, and they deserve a proper wage.
I got a message from a 16-year-old who described his experience. He described the lower rate he is receiving as crucifying and insulting. He said that he goes home from school and switches from school uniform to work uniform and goes back out the door again, only to earn less than his co-workers. He said that in 2022, this is insulting, discriminatory and, truthfully, not worth working for. He is earning €7.35 an hour and wants to be treated the same as every other worker. Can anyone really argue that it was fair to have young workers stacking shelves and keeping shops open during the pandemic, being recognised as essential workers, and yet getting paid as little as €7.35 an hour? That has been the reality of those workers under the age of 18.
We know from the latest Central Statistics Office figures that more than 10,000 workers in this country are earning rates less than the minimum wage as a result of being 19 or under. Some of these workers have been recognised as essential in sectors such as retail, accommodation, restaurants and the service industry. For those renting, we know the most recent daft.ie report suggested rents increased by 10.3% in the past year. How on earth are young people expected to afford that when it is clearly a struggle and is unaffordable for those who are on 100% of the minimum wage rate? We need action to end the flagrant discrimination against workers under the age of 20 and this Bill will do precisely that. It will allow workers of all ages to receive at least the minimum wage, as is fair and right.
This is a Bill to end discrimination, which is in the interests of all workers. It is not in the interests of any worker that a boss can employ someone for even less than the minimum wage. That is used to drive down terms and conditions for all. For us, of course, this is not linked to being satisfied with the €10.50 minimum wage. We are not satisfied with that amount. The Dáil unanimously passed a motion last week which stated there must be an emergency review of the minimum wage and an increase by May. We brought forward that motion. We will hold the Government to that and will be fighting for a significant increase in the minimum wage. Germany recently announced plans for a €12 minimum wage. In many states in the US, workers have won a minimum wage of $15 an hour. We are fighting for a €15 an hour minimum wage for all in this country.
