Irish Government Unveils 12% Minimum Wage Hike for 2024, Reaching €12.70 Per Hour

The Government's recent announcement reveals a forthcoming increase in the minimum wage, which is slated to rise by €1.40 per hour. Finance Minister Michael McGrath, in his Budget 2024 address today, stated that the wage will experience a 12% increment, reaching €12.70 per hour. This adjustment aims to safeguard lower-income earners from the burden of higher Universal Social charges.

Scheduled to take effect on January 1, 2024, this proposed wage increase will be accompanied by alterations to PRSI and USC rates. To provide context, the current minimum wage stands at €11.30 per hour, having seen an 80-cent increase in 2022.

This augmentation aligns with the recommendation made by the Low Pay Commission in July, suggesting a €1.40 increment. It's important to note that, at the time, the Irish Small and Medium Enterprise Association (ISME) expressed concerns about the potential strain on businesses, partly due to other government initiatives.

Nevertheless, it's worth mentioning that the proposed increase still falls short of the recommended €14.80 National Living Wage, which is advocated by groups aiming to ensure Ireland's lowest-paid workers can maintain a minimum acceptable standard of living.

Return