Clare Businesses Fear Repercussions Of Increased Minimum Wage

Clare FM

Businesses in Clare are expressing fears that they won't be able to absorb the additional cost brought about by the latest increase in the minimum wage. As the dust continues to settle on Budget 2025, those who didn't get what they'd hoped for in the way of supports are assessing the viability of their respective sectors going forward. While many are grateful for measures introduced in the Government's €8.3 billion package this week, not everyone is rejoicing. The announcement that the national minimum wage will increase by 80c to 13.50 per hour may be welcome news to workers but isn't necessarily music to the ears of business owners. Coupled with no reduction to the Hospitality VAT Rate which remains at 13.5% and uncertainty around eligibility for the Energy Subsidy Scheme, many feel there's not much there to ease the spiralling cost of doing business. Owner of Willow in Ennis and CEO of Retail Excellence Ireland Jean McCabe says if the Government wants to move towards the introduction of the Real Living Wage of €14.75 per hour, it must assist businesses in offsetting the cost. Frustrations are also being vocalised by those in the education sector. Within the €11.8 billion budget for the Department of Education, which includes an increase of €712 million in core current funding, €9 million has been allocated towards storage of mobile phones. The funding will be used to provide schools with pouches where phones can be stored as part of the 'Keeping Childhood Smartphone Free' initiative. Treasurer of the Parteen National School Board of Management Ciaran O'Connor believes it's a waste of money and demonstrates a lack of trust in schools. Among the supports announced for carers are a €150 increase to the Home Carer Tax Credit, a rise of €150 in the Single Person Child Carer Credit, and a €12 increase in the maximum rate of the Carer's Allowance and Carer's Benefit from January. Prior to the budget, many calls were heard for the means test for the Carer's Allowance to be scrapped. Bunratty resident and Network Clare Family Carer of the Year 2023 Sinead O'Brien says given the difficulty of the job of a carer, means testing in this day and age is entirely inappropriate.