Low-paid workers are set for pay hikes of up to 25 percent under Government targets.
The cabinet has signed-off on plans for the Low Pay Commission to formally start work on preparing the ground for a “living wage” to replace the National Minimum Wage.
This would see an increase in weekly take-home pay for employees from €10.10 an hour to a proposed €12.30.
The Commission must present its plan by the end of the year.
Business Minister and Tanaiste Leo Varadkar said this morning: “The pandemic has caused us to redefine frontline or essential workers and to reconsider the value we place on their work and the reward they should get for that work.
“Traditionally, when we thought of frontline or essential workers, we thought of nurses, doctors, gardai or firemen. Generally, people working in the public service with relatively well-paid, secure and pensionable jobs.
“Now we think also of retail workers, drivers, security guards, transport workers and cleaners.
“One of the legacies of the pandemic must be a more inclusive society that rewards work and enterprise better.
“That means better terms and conditions for lower paid workers.
“Moving to a living wage is an important part of this.”
