Key Points
- Ireland’s minimum wage for certain categories will increase to € 10.20 per hour
- Wages will increase on January 1, 2021
- Changes apply to Atypical Working Scheme Permissions along with Internship Employment,
Intra-Company Transfer, and Contract for Services Permits - Changes affect all workers in the categories above, including foreign and non-EEA national
workers - Employers in Ireland must comply with the National Minimum Wage Act
- Certain allowances count towards minimum wages in some categories
Overview
On January 1, 2021, Ireland’s minimum wage will increase by 10 cents per hour. The new minimum wage will be € 10.20 for certain work permission categories.
What are the Changes?
The new minimum wage will rise from € 10.10 per hour to € 10.20 per hour. The changes apply to Internship Employment Permits, Intra-Company Transfer (ICT) Permits, Contract for Services Permits, and Atypical Working Scheme permissions.
Who is Affected?
The changes affect all workers in the categories above who are currently in Ireland, including foreign workers and non-EEA national workers who are permitted to work in Ireland in the categories above.
What Should Employers and Applicants Know?
All Irish employers must comply with the National Minimum Wage Act, with exceptions for individuals employed in accordance with Employment Regulation Orders and registered employment agreements, along with individuals who are under age 18. Employers who are impacted by the minimum wage changes must raise their employees’ minimum salaries to ensure compliance.
Employers whose workers hold Contract for Services Permits and Intra-Company Transfer Permits can count certain allowances towards meeting their employees’ minimum salary requirements, including health insurance and housing. However, employers must adjust their employees’ base remuneration level to comply with the increased minimum wage level before they can include the allowances.
