National Minimum Wage (Inclusion of Young Persons, Apprentices and Interns) Bill 2025: Second Stage
Seanad Éireann — 2025-12-17
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Ollie Crowe (FF), Industrial and Commercial Panel

Fianna Fáil welcomes this debate and, in line with the recommendation from Government, we will be opposing the Bill. As has been outlined, the Bill seeks to include young people, apprentices and interns within the full application of the National Minimum Wage Act 2015 and to extend entitlement to remuneration of the full national minimum wage to these groups. The National Minimum Wage Act allows for lower or subminimum rates of the minimum wage for employees aged 20 years and younger. Those aged less than 18 can be paid 70% of the full minimum wage rate, while those aged 18 or 19 years can be paid 80% and 90%, respectively, of the full rate.
As has been outlined, the Low Pay Commission recommended the abolition of subminimum rates in March 2024. The commission highlighted in its report that this is a very complex issue. It stated that the Government will need to give its findings and recommendations detailed consideration and deliberation, and highlighted the potential need for the Government to take its own legal advice on the matter. It is important to acknowledge the challenges that the enterprise sector has faced over the past number of years. We know that the use of subminimum youth rates is largely concentrated in the accommodation, food and retail sectors. These sectors have reported facing considerable cost pressures. As part of the measures designed to bolster businesses' resilience and to support competitiveness, earlier this year, the Government agreed to defer a decision on subminimum rates until 2029.
When talking about this issue, we must acknowledge the recent significant increases in the minimum wage, which show that the Government continues to commit to fair wages for the lower-paid workers in our economy, but also in the context of the Government's introduction of a range of measures to assist workers, including a statutory sick pay scheme, the right to request remote working and other supports.
Subminimum youth rates are based on a percentage of the national minimum wage. When the minimum wage rises, young people on these rates see an increase in their wages. It is also important to highlight the very real progress we have made in raising the national minimum wage in recent years. Since 2020, the national minimum wage has increased by 33.7%, from €10.10 to today's rate of €13.50. In January 2026, subminimum youth rates will increase by 4.8% in line with the planned increase in the national minimum wage.
In relation to apprentices, it is long-standing policy that they are not covered by the minimum wage so as to promote and encourage employers to focus on training apprentices. When the national minimum wage was introduced in 2000, it was determined that apprentices should be excluded from the Act to promote and encourage employers to focus on training apprentices, while at the same time recognising the cost to employers in terms of time invested and productivity foregone.
There are existing industrial relations structures for the negotiation of apprenticeship rates. A forthcoming consultation on apprenticeships is expected to yield evidence on wage levels, and on wage and training costs, and will inform the development of evidence-based policy on the remuneration of apprentices. The Department of Further and Higher Education, Research, Innovation and Science plans to bring the next action plan for apprenticeships to Government for approval in 2026. This action plan will strive to further grow apprenticeship opportunities to meet the Government targets of 12,500 annual registrations by 2030.
For interns, arrangements that may be described as internships are not defined by Irish legislation and the use of the word "intern" has no bearing on the determination of the employment of the individual engaged.
Given all of the above, the Government has advised that it is not appropriate to make such fundamental changes to the remuneration of young persons, apprentices and interns as proposed in this Bill.

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Record URI: https://data.oireachtas.ie/akn/ie/debateRecord/seanad/2025-12-17/debate/main
Retrieved: 2026-08-14T04:54:28+00:00
Sitting date: 2025-12-17