The national minimum wage was introduced on 1 April 2000. At that time the rate was set at £4.40 per hour for experienced adult workers, with lower rates for those under 18, for first-time job entrants over the age of 18 and for those engaged in training and study. On 1 July 2001, the minimum wage increased to £4.70 per hour and on 1 October 2002 it increased to €6.35 – equivalent to £5.00 – per hour.
The national minimum applies to all employees with the exception of the following: (i) close relative of the employer such as a spouse, father, mother, son, daughter, brother and sister; (ii) apprentices within the meaning of the Industrial Training Act, 1967, and the Labour Services Act, 1987 – other apprentices are covered.
The Government and the social partners agreed the increases to the national minimum wage in 2001 and 2002 as part of the Programme for Prosperity and Fairness. The question of future increases is being considered by the social partners as part of the current negotiations on a successor to the PPF.