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News & Events

Minister English signs Statutory Instrument to give legal effect for Labour Court recommendation on new pay rates in the construction sector

New minimum pay rates take effect from 1 February 2022

The Minister of State for Business, Employment and Retail Damien English TD, has signed a Statutory Instrument giving legal effect to a recommendation from the Labour Court for new minimum pay rates to workers in the construction sector.  This recommendation was approved by both Houses of the Oireachtas on 16 November 2021.

Minister English said:

“I have signed this Sectoral Employment Order into law following its approval by both Houses of the Oireachtas. This Order sets new minimum rates of pay, pension and sick pay entitlements for workers in the Construction Sector following a review by the Labour Court. It is an important step in ensuring the sector remains competitive, productive, and sustainable and will help support the delivery of the government’s multi-billion capital investment in the National Development Plan, of high quality and affordable homes under the Housing for All strategy, and the investment in renewable energy, electric vehicles, and delivering a retrofitting programme under the Climate Action Plan.”

The recommendation is the third such recommendation from the Labour Court in the construction sector.

Notes for Editors

The Labour Court recommendation follows on from an application by the BATU, Connect, OPATSI, SIPTU and UNITE to the Court to review the terms and conditions of workers in the Construction Sector. The application was made in accordance with Section 14 of the Industrial Relations (Amendment) Act 2015.

Following completion of its review of the application, and in line with Section 15 of the Act, the Labour Court submitted its recommendations under Section 16 of the Act to the Minister within the statutory deadlines, recommending the following minimum rates of pay:

Pay Rates

The following basic hourly rates of pay will apply in the sector from 1 February 2022 to 31 January 2023.

Basic Hourly Rates of Pay from 1 February 2022 to 31 January 2023

Craftsperson

€20.52 per hour

Category A Worker

€19.91 per hour

Category B Worker    

€18.47 per hour

Apprentice – Year 1

33.33% of Craft Rate

Apprentice – Year 2

50% of Craft Rate

Apprentice – Year 3

75% of Craft Rate

Apprentice – Year 4

90% of Craft Rate

An hourly rate of pay of €14.93 will apply for two years after entrance to the Sector to all New Entrant Operative Workers who are over the age of 18 years and entering the sector for the first time.

The following basic hourly rates of pay will apply in the sector from 1 February 2023.

Basic Hourly Rates of Pay from 1 February 2023

Craftsperson

€21.09 per hour

Category A Worker

€20.47 per hour

Category B Worker    

€18.99 per hour

Apprentice – Year 1

33.33% of Craft Rate

Apprentice – Year 2

50% of Craft Rate

Apprentice – Year 3

75% of Craft Rate

Apprentice – Year 4

90% of Craft Rate

An hourly rate of pay of €15.35 will apply for two years after entrance to the Sector to all New Entrant Operative Workers who are over the age of 18 years and entering the sector for the first time.

Pension Contribution

Pension Contribution from 1 February 2022

Employer daily rate - €5.73 (weekly - €28.65)

Employee daily rate - €3.82 (weekly €19.10)

Total contribution daily into the scheme per worker - €9.55 (weekly €47.75)

Pension Contribution from 1 February 2023     

Employer daily rate - €5.84 (weekly - €29.22)

Employee daily rate - €3.90 (weekly €19.50)

Total contribution daily into the scheme per worker - €9.74 (weekly €48.70)

Sick Pay Scheme

Every employer employing workers to whom the Order applies must have in place a sick pay scheme for each employee covered in the Order. Weekly contributions to a scheme are as follows:

Employer                 €1.27

Employee                €0.63

Total                        €1.90

ENDS