Unions prepared to strike over cuts to minimum wage

PRIVATE sector trade unions are prepared to strike, if the Government introduces legislation allowing companies to claim inability to pay their staff the minimum wage applicable in their sector.

In a number of sectors, such as the construction and hotel industries, employers and unions agree a minimum wage which is set through a registered employment agreement (REA) or employment regulation order (ERO). The figures in the industries are often well above the national minimum wage of €8.65.

Over the weekend Tánaiste and Employment Minister Mary Coughlan and her department confirmed that the clause allowing the opt-out from the REA or ERO rate wasunder discussion with the Attorney General. If those talks proceed as expected the legislation could be introduced in matter of weeks.