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Low Pay Commission Remit

Dáil Éireann Debate, Tuesday - 3 March 2015

Tuesday, 3 March 2015

Questions (254)

Dara Calleary

Question:

254. Deputy Dara Calleary asked the Minister for Jobs, Enterprise and Innovation the metrics or parameters the Low Pay Commission will adhere to in adopting an evidence-based approach in setting the minimum wage; and if he will make a statement on the matter. [9273/15]

View answer

Written answers

The Scheme of the proposed Minimum Wage (Low Pay Commission) Bill 2015 provides that in discharging the functions assigned to it under the Act, the Low Pay Commission shall make such recommendations to the Minister that are designed to set a minimum wage that is fair and sustainable, and when appropriate, is adjusted incrementally, and that, over time, is progressively increased to assist as many low-paid workers as is reasonably practicable without creating significant adverse consequences for employment or competitiveness. To this end, in making a recommendation regarding the appropriate level of the national minimum wage, the Low Pay Commission will be required to have regard to:

(a) changes in earnings during the period since the most recent making of an order relating to the rate of the national minimum wage;

(b) changes in currency exchange rates during that period;

(c) changes in income distribution during that period;

(d) international comparisons, particularly with Great Britain and Northern Ireland;

(e) the need for job creation;

(f) whether during that period—

(i) unemployment has been increasing or decreasing,

(ii) employment has been increasing or decreasing, and

(iii) productivity has been increasing or decreasing, both generally and in the sectors most affected by the making of an order, whether directly or indirectly, and

(g) the likely effect that any proposed order will have on—

(i) levels of employment and unemployment,

(ii) the cost of living, and

(iii) national competitiveness.

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