Bruton warns wage demands could damage competitiveness

A new report has warned that the rising cost of doing business in Ireland could damage our recovery.

The Costs of Doing Business in Ireland 2016 Report said that the economy is under threat from a hike in property and insurance prices.

The National Competitiveness Council also stated in the report that wage increases need to be examined.

Acting Minister for Jobs, Enterprise and Innovation, Richard Bruton, said that modest pay rises are fair, but they must be reasonable.

“People will expect that if they are seeing their business doing well, that they will get a share in that, and that’s absolutely right, we aspire to higher living standards,” he said.

“But I think the warning is that we cannot undermine our competitive edge overseas by making either price increases or indeed wage demands that outstrip our ability to improve what we’re offering.”