JLC rates now out of kilter with National Minimum – RAI

The Restaurants Association of Ireland has come out in support of the Government’s decision to reduce the national minimum wage by 12 per cent to €7.65 and to remove barriers to employment in its review of the Employment Regulation Order arrangements.

“The Employment Agreements are crucifying thousands of Irish restaurants,” claimed the RAI, stating that such agreements are crippling restaurants, forcing employers to pay beyond the level of affordability, consequently businesses in these sectors are struggling to survive and are haemorrhaging jobs.

“Joint Labour Committees/Employment Regulation Orders  are a relic from another era,” said RAI Chief Executive Adrian Cummins, “The Government have now created a new anti-business/anti-job creation regime where non-JLC businesses can pay the minimum wage and restaurants must now pay 18 per cent above the minimum wage.

“The reduction in the minimum wage serves only to highlight how far out of kilter the Joint Labour Committee’s wage rates are with the national minimum wage.”

He added, “In addition, Sunday Premium Payments force our members to pay time-and-one-third on what is traditionally a prime dining day out. In many cases these costs mean that it is simply not viable for restaurants to remain open”.