SFA briefs Low Pay Commission

An SFA delegation met with the members of the Low Pay Commission on Thursday, 5 November to discuss the National Minimum Wage (NMW), the Commission's work in setting the NMW and its impact on small companies.

The Commission will sit regularly for a 3-year period and will make a recommendation to Government each July on what the new NMW should be.

For 2016, they recommended a 50c increase in the National Minimum Wage to €9.15, which the Government announced in Budget 2016 will take effect from 1st January 2016. Their full report can be accessed on www.lowpaycommission.ie.

SFA Director, Patricia Callan, encouraged the Commission to recommend that any increase should be on a set date each year with advance notice being given to all companies and that from member feedback this should be in Q2, e.g. 1st April each year.

The discussion with the Commission was wide-ranging covering the various arguments against increasing the NMW set our in our submission earlier this year, which you can access on our website.

They were particularly interested in how many of our members have workers on the NMW, how long those workers remain on that rate, whether many of our workers need to avail of FIS and any repercussive claims arising. 

We would welcome any inputs from members on their experience of operating the NMW on an onging basis; please e-mail to patricia.callan@sfa.ie or tel: 01-6051602.

Going forward, the SFA intends to make a formal written submission with current economic data in Q2 each year, to input into the Commission's deliberations for the following year.

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