Pay rises may lead to fewer jobs, says EU

Pay is on the increase, but the cost could be higher unemployment and fewer jobs, the European Commission warns in its economic forecast for this year and next.

Ireland should continue to be the EU’s fastest growing economy this year and next with a weak euro, especially, giving the economy a boost that is set to continue.

The forecast for the EU generally is the most positive since the crisis struck, with all the stars aligned to shorten the bad times and produce jobs and growth, according to the commission.