HomeCompany NewsIncrease to the Minimum Wage

Increase to the Minimum Wage

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On 1 January 2016, the increase in the national minimum wage from €8.65 per hour to €9.15 per hour came into effect.

This increase applies to experienced adult employees. For the purposes of the Act, an experienced adult worker is an employee who is not:

  • under the age of 18 years, or
  • in the first two years after the date of first employment over age 18,
  • or a trainee undergoing a course that satisfies the conditions which are set out in S.I. No. 99 of 2000.

The increase is in line with the Low Pay Commission’s recommendation to increase the National Minimum Wage by 50 cent an hour.

The employer PRSI thresholds have also been adjusted by €20* per week from 1 January 2016, to help off-set the cost of the minimum wage increase for small business by reducing PRSI.  (*Increasing entry point to the top Employer PRSI rate of 10.75 by €20 per week to €376 euro a week).