This would be an 80c increase from where it currently stands.

It is believed that Tánaiste Leo Varadkar will bring forward a memo to increase minimum wage from €10.50 an hour t0 €11.30 an hour this week.

According to The Journal:

“It’s understood that the proposed increase would take place from 1 January 2023, alongside changes to PRSI and USC.”

This comes as the cost of living crisis reaches a frightening peak. Varadkar is also set to recommend an increase to the living wage, which currently stands at €12.17; his hope would be for it to increase to €13.10. In August the Tánaiste said this:

“I think what we’ll need is an increase in the minimum wage, you know, even separate from the phasing in of the living wage. There will have to be an increase in the minimum wage. I think it is needed, because the cost of living has gone up by a lot. And we know those most affected are those in lowest income.”

While any increase to the living wage and minimum wage is welcomed, many believe more needs to be done, and these increases are not drastic enough.

The Journal reports that People Before Profit TD Paul Murphy says that minimum wage must increase to €15 in light of the current crisis, saying:

“The increase of 0.80c is an insult to people and will not even scratch the surface of what is needed. This will be an effective pay cut for people.”

Header image via Shutterstock

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