The Irish government is set to increase the minimum wage paid to apprentices in a bid to attract more people to trades. Higher Education Minister Simon Harris has already started negotiations with employers and other representative bodies to improve pay rates, which can currently be as low as €6.84 per hour.
The move comes as the country faces a significant shortage of skilled tradespeople, with a report from the state training agency Solas highlighting the need to recruit 50,800 skilled workers if the government is to meet its targets for building new homes and retrofitting existing stock.
Speaking at a recent press conference, Harris said he was looking at ways to stimulate apprentice numbers in the next budget. One measure being considered is expanding government financial support schemes for apprenticeships, which would make it financially easier for more people to enter the trades.
The minister also emphasized the importance of pay rates not being a barrier to participation, saying that every employer is entitled to financial assistance if they take on an apprentice, and that assistance increases by €2,666 if the apprentice is from an underrepresented group.
While pay rates for apprentices vary depending on their program, the current minimum wage has not changed in a number of years and is seen as a significant barrier to entry for many potential apprentices.
Senator Mark Wall of the Labour Party has called for apprentices to be paid the national minimum wage of €11.30 an hour, which he says is key to attracting the tens of thousands of apprentices needed to retrofit homes. He also highlighted the difficulty that many contractors face in retaining apprentices, and the impact that low pay can have on forcing young workers out of the crafts.
The government’s move to increase apprentice wages has been welcomed by trade unions and others in the industry. However, there are concerns about how the increase will be funded and the potential impact on the costs of construction and retrofitting projects.
Despite these concerns, the government has made it clear that increasing apprentice wages is a priority if they are to meet their targets for building and retrofitting. With negotiations ongoing, it remains to be seen just how significant the pay raises will be, but many in the industry will be hoping for a significant increase to help address the chronic shortage of skilled workers in the trades.
