The future of the State's Low Pay Commission is in doubt after the Irish Congress of Trade Unions has said it will withdraw from it.
ICTU says it decided to pull out after it became clear other members of the commission were not prepared to increase the national minimum wage beyond 1%.
The minimum wage hourly rate is currently €10.10.
ICTU General Secretary Patricia King said on RTÉ's Morning Ireland that other members of the commission were not prepared to propose an increase in the national minimum wage for 2021 beyond 1%.
Ms King said her organisation: "could not in conscience be party to any recommendation that did not afford the lowest-paid workers in the Republic of Ireland an increase in excess of 2%, similar to other sectors in our economy".
Ms King said: "If we have learned anything as a society in this pandemic it is that we must value work and those who carry it out. We must make work pay.
"The lowest paid in our society suffered disproportionately during the last recession and we won't be party to a process that leaves them behind.
"Therefore it is with regret, but with clarity that we can no longer be part of this Low Pay Commission.
"There can be no going back to the old ways, where the lowest paid are left behind. We will continue to campaign through other fora for a just increase."
The commission was set up five years ago to make recommendations to ministers on lower-paid workers' wages.
But its existence is now in serious doubt after the Irish Congress of Trade Unions announced it was withdrawing.