Dáil Éireann Debate, Thursday - 21 July 2016
863. Deputy Niall Collins asked the Minister for Jobs, Enterprise and Innovation the cost of implementing a living wage of €11.50 for all employees directly employed, or in agencies funded, by her Department; and if she will make a statement on the matter. [24164/16]
Amharc ar fhreagra864. Deputy Niall Collins asked the Minister for Jobs, Enterprise and Innovation the discussions her Department has had with suppliers or service contractors to her Department, or to agencies of her Department, to ensure that employees of such suppliers and contractors are paid the living wage of €11.50 per hour; the cost of implementing this wage for these employees; and if she will make a statement on the matter. [24179/16]
Amharc ar fhreagraI propose to take Questions Nos. 863 and 864 together.
Remuneration of all the staff of the Department is as sanctioned by the Department of Public Expenditure and Reform in line with Government policy. Within the time available it has not been possible to calculate an exact figure. However, I can advise the Deputy that the annual additional salary cost to the Department of introducing a minimum hourly rate of €11.50 per hour is estimated to be in the region of €200,000 per annum based on current figures for 58 staff employed at Cleaner, Services Officer, Services Attendant and Clerical Officer grades. This figure reflects recent recruitment of staff at the start point on the relevant incremental scale for their grades. However, as the maximum point on the incremental scales for Services Officer, Services Attendant and Clerical Officer is above the minimum hourly rate, over time, based on satisfactory performance, each staff member in these grades would proceed to earn more than the current Living Wage figure of €11.50 per hour. I have asked all agencies under the aegis of my Department to advise me of the position insofar as it relates to their agency and will communicate this information to the Deputy as soon as it is available.
The Living Wage campaign was designed as a voluntary initiative centred on the social, business and economic case for same and, accordingly, it is not one based in legislation. The National Minimum Wage sets the statutory pay minimum under law. Given the voluntary nature of the Living Wage Campaign, suppliers and service contractors are not obliged to pay their employees the wage proposed. They are, however, required to confirm that they have taken account of their statutory and legal obligations relating to the employment protection and working conditions of their employees, in the provision of goods and services sought for my Department through the relevant procurement process.
