[Ireland] Number of employers breaking minimum wage law more than doubles

[Ireland] Number of employers breaking minimum wage law more than doubles
31 Jan 2024

In Ireland, the number of employers in breach of national minimum wage laws has more than doubled in the last five years, Irish Independent reports.

In 2023, Workplace Relations Commission (WRC) inspectors found 228 ­employers were in breach of legislation on the legally ­binding basic hourly rate, compared with 110 in 2019.

In addition, the number of breaches detected reportedly increased over the five years despite a reduction in the number of inspections.

Simon Coveney - Ireland’s Enterprise Minister - said he thought the WRC’s approach was “effective and proportionate” when asked whether he was satisfied with enforcement of the legislation.

The national minimum wage is currently €12.70 an hour, following the biggest-ever increase at the start of the year. Employers can pay rates that are lower than this to some workers, including younger adults.

The data was reportedly released as an examination of WRC decisions since January last year revealed that a fisherman received €2,801 he was owed after bringing a case under the legislation.

Alaa Shehata told a hearing in June 2023 that he barely had time to eat during a working day. He worked on an Irish trawler for €816 pay per fortnight.

Adjudication officer Roger McGrath directed that Mr Shehata’s employer, D and N Kirwan Ltd, should pay him the award.

His representative, Michael O’Brien - from the International Transport ­Workers’ Federation - stated that Mr Shehata had to do onerous, intensive and demanding work.

He said he worked an average day of around 17 hours while the vessel was at sea and around 20 hours on fishing grounds.

Mr McGrath reportedly found the hours of work outlined greatly at odds with the record sheets supplied by Mr Shehata’s employer. He found the fisherman’s evidence to be more credible than his employer’s witnesses.

In another case, worker Joy Sparkes claimed she was not paid the national minimum wage or provided with a statement of her average annual pay when she requested one.

Adjudication officer Conor Stokes reportedly found the legislation was not contravened since her employer, Taskled, paid the correct amount at a later date.

According to the figures - provided in response to a parliamentary question by Labour Party leader Ivana Bacik - criminal prosecution levels related to minimum-wage breaches are low.

There were three prosecutions in 2023, compared with four in 2019. The top reason for individual breaches was the failure of employers to pay the statutory minimum rate while other breaches related to record keeping.

One example of an employer providing false or misleading information in a statement of the average hourly rate of pay given to an employee was found in 2021.

“It’s extraordinary to see the level of breaches, and that the number of employers paying their workers less than minimum wage continues to rise,” Marie Sherlock - Labour Party workers’ rights spokesperson - said.

“As it stands, the minimum wage is not enough for any working person to get by in Ireland.”

Mr Coveney reportedly said WRC inspectors secured repayments for employees of over €1.9m in unpaid wages and entitlements across all legislation in 2023.


Source: Irish Independent

(Quotes via original reporting)

In Ireland, the number of employers in breach of national minimum wage laws has more than doubled in the last five years, Irish Independent reports.

In 2023, Workplace Relations Commission (WRC) inspectors found 228 ­employers were in breach of legislation on the legally ­binding basic hourly rate, compared with 110 in 2019.

In addition, the number of breaches detected reportedly increased over the five years despite a reduction in the number of inspections.

Simon Coveney - Ireland’s Enterprise Minister - said he thought the WRC’s approach was “effective and proportionate” when asked whether he was satisfied with enforcement of the legislation.

The national minimum wage is currently €12.70 an hour, following the biggest-ever increase at the start of the year. Employers can pay rates that are lower than this to some workers, including younger adults.

The data was reportedly released as an examination of WRC decisions since January last year revealed that a fisherman received €2,801 he was owed after bringing a case under the legislation.

Alaa Shehata told a hearing in June 2023 that he barely had time to eat during a working day. He worked on an Irish trawler for €816 pay per fortnight.

Adjudication officer Roger McGrath directed that Mr Shehata’s employer, D and N Kirwan Ltd, should pay him the award.

His representative, Michael O’Brien - from the International Transport ­Workers’ Federation - stated that Mr Shehata had to do onerous, intensive and demanding work.

He said he worked an average day of around 17 hours while the vessel was at sea and around 20 hours on fishing grounds.

Mr McGrath reportedly found the hours of work outlined greatly at odds with the record sheets supplied by Mr Shehata’s employer. He found the fisherman’s evidence to be more credible than his employer’s witnesses.

In another case, worker Joy Sparkes claimed she was not paid the national minimum wage or provided with a statement of her average annual pay when she requested one.

Adjudication officer Conor Stokes reportedly found the legislation was not contravened since her employer, Taskled, paid the correct amount at a later date.

According to the figures - provided in response to a parliamentary question by Labour Party leader Ivana Bacik - criminal prosecution levels related to minimum-wage breaches are low.

There were three prosecutions in 2023, compared with four in 2019. The top reason for individual breaches was the failure of employers to pay the statutory minimum rate while other breaches related to record keeping.

One example of an employer providing false or misleading information in a statement of the average hourly rate of pay given to an employee was found in 2021.

“It’s extraordinary to see the level of breaches, and that the number of employers paying their workers less than minimum wage continues to rise,” Marie Sherlock - Labour Party workers’ rights spokesperson - said.

“As it stands, the minimum wage is not enough for any working person to get by in Ireland.”

Mr Coveney reportedly said WRC inspectors secured repayments for employees of over €1.9m in unpaid wages and entitlements across all legislation in 2023.


Source: Irish Independent

(Quotes via original reporting)

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