Low pay 'endemic' in Ireland's labour market - report

A recent report reveals that a significant portion of workers in Ireland's labor market struggle with low pay. According to research led by University College Dublin, one in three workers earn less than a living wage, making it difficult to make ends meet. The "Working Life on Low Pay" report found that over 30% of full-time employees earn less than what the real living wage would provide, with the percentage ranging from 13% to 32% depending on the threshold used.

Low pay isn't solely determined by the hourly rate; it's also influenced by the number of hours worked. While seven in ten low-paid workers earn above the national minimum wage per hour, they're considered low-paid because they work fewer hours each week. More than half of the low-paid workers are part-time employees, and over three-quarters of those working 17 to 24 hours a week are low-paid.

The report highlights that women are particularly affected, with nearly one in three women being low-paid compared to 17% of men. Additionally, 59% of low-paid workers are under 25, and around half are over 65. The retail, hospitality, and healthcare sectors contribute to more than half of the low-paid workforce.

The border region experiences the highest rate of low pay. The report also indicates that low-paid jobs often lack quality, with few opportunities for training and development, long hours, verbal abuse, and difficulty making ends meet. Dr. Lisa Wilson, a Senior Economist at NERI, supports the government's commitment to raising the minimum wage towards a living wage.

However, she emphasizes that most low-paid workers in Ireland are not on the minimum wage but work long hours that don't equate to a living wage in their jobs. To improve their situation, the focus should be on addressing broader job conditions, not just the minimum wage.