The Low Pay Commission's report on sub-minimum, or youth rates of the National Minimum Wage has been released by the Minister for Enterprise, Trade and Employment, Peter Burke TD. The Commission has proposed abolishing all sub-minimum rates for employees, effective no earlier than January 1st 2025.
The Commission's recommendations include:
Conducting a study two years after the abolition of youth rates to identify any negative effects, especially for those under 18, and presenting various policy options to the Government. A follow-up study is recommended after four years.
Considering support measures for employers with a significant number of young workers who currently receive sub-minimum wages during and after the phase-out of youth rates, if implemented.
The Department will commission an economic impact assessment and seek legal advice on these recommendations. A Government decision will follow, taking into account the potential effects on SMEs.