Jean addressed critical issues facing retail and hospitality businesses following the recent budget announcements:
📊 Minimum wage rising from €12.70 to €13.50/hour in 2024
💼 Concerns about the sustainability of wage increases for local SMEs
🏪 Long-term impacts on Clare’s businesses and employment
Key points from Jean’s interview:
- “If you’re going to introduce the living wage, you have to offset those costs for businesses elsewhere.” – Jean McCabe
- In 3 years, there’s been a 30% increase in minimum wage; 45% in 5 years; and 67% over 10 years
- The €4,000 grant for businesses with rate values under €30,000 will only cover one full-time employee’s pay increase
- Most minimum wage workers in Clare aren’t dependent on it as their primary income (e.g., students, gap year workers)
- Local businesses are adjusting by cutting hours, potentially leaving employees’ weekly pay stagnant despite hourly increases
- Concerns about potential deterioration of service quality in Clare’s shops and restaurants as businesses reduce staff to manage costs
You can listen to the full interview below –