Ireland’s minimum wage workers are likely to have been disproportionately impacted by the Covid-19 pandemic compared to their European counterparts, according to new Economic and Social Research Institute (ESRI) research.

It found that 43% of Ireland’s minimum wage workers were employed in the accommodation, food, wholesale or retail sectors, which have experienced the greatest employment disruption due to the pandemic. This figure is higher than in any of the other countries it studied.

The research compared minimum wage employment in Ireland, to a representative group of comparable European countries.

Its analysis also suggests that, compared to their EU counterparts, Ireland’s minimum wage workers may be more susceptible to negative employment outcomes due to Covid-19 public health measures.

Public health measures have led to business closures in almost all European countries, with accommodation, food, and retail hardest hit. Young workers, women, non-nationals and those with low education levels are most likely to be on minimum pay rates.

Unions have called for a 30 cent rise in the statutory minimum wage when it’s next amended in January 2022. This would be an increase of 2.9%, which would bring the hourly rate to €10.50.

In its most recent submission to the Low Pay Commission (LPC), the Irish Congress of Trade Unions (ICTU) also highlighted the Government’s pledge to increase the statutory minimum to living wage levels, currently estimated at €12.50 an hour, over its lifetime.

Read the ESRI report HERE. 

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