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Seanad
‹ An tOrd Gnó - Order of Business

Cost of living and staff pay

Summary

Senator Black raised the crippling cost of living and soaring energy prices, and Senator Murphy responded by supporting fair pay and treatment for staff.

I welcome everyone back after the recess which I hope was peaceful and restful. I also want to be associated with the condolences to Ambassador Johnston and to all in the UK who are in mourning. It is a very sad day.

There are many things which we all know eat away at the peace of mind of ordinary Irish people as winter approaches. One issue common to almost everyone is the increasingly crippling cost of living. Energy providers across the Irish market have repeatedly hiked their prices in an extraordinary and extortionate fashion. Energy companies have cynically invoked the Russian invasion of Ukraine and other geopolitical events to justify these price hikes. The remarks of the Minister, Deputy Michael McGrath, about price caps and a windfall tax are very encouraging. We have yet to see the specifics but I am hopeful and positive that it will be a decisive and meaningful intervention. That was very welcome today.

The cost-of-living crisis is impacting everyone, but it cannot be said that it is impacting everyone equally. That is the real concern. In June, the Economic and Social Research Institute, ESRI, published a report indicating that an unprecedented 29% of households are living in energy poverty. These households spend more than 10% of their net income on energy. Since the publication of that report there have been a number of vicious price hikes, so the situation is undoubtedly worse now. In a very low economy such as Ireland, many households at the bottom of the income gradient will be faced with making impossible choices. How do people choose between keeping their children fed and their house warm? The impact of inflation and poverty does not only affect low-income households. It has the potential to wreak widespread economic havoc. That is what I want to highlight today. The soaring cost of living erodes even middle-income earners' spending power. This means that people are less likely to go to restaurants or to the theatre, improve their homes or purchase consumer goods. This erosion of demand then threatens the viability of businesses that are themselves struggling with high energy costs. If these businesses close, the resulting job losses only further weaken demand. The vicious cycle is evident here.

Protecting consumer demand, particularly among low- and middle-income households, is essential for the purposes of social justice and effective economic management. That is why I am asking the Government for bold and ambitious thinking in respect of the recent recommendations of the Low Pay Commission. The Government is set to accept the commission's recommendation of an 80 cent increase to the minimum wage. The two members of the commission nominated by the Irish Congress of Trade Unions have dissented from this recommendation because it is an insufficient response to inflation. I ask that the Government institute an increase to the minimum wage above the 80 cent recommendation. I urge it to do so. Workers on the minimum wage do some of the most essential and difficult work that keeps our society functioning. We are failing them badly. They deserve real security and relief.

Finally, I send my condolences to the families who lost children. Two children were lost in Tallaght last week as well as two in County Westmeath. It was a very sad week for Ireland. I send my condolences to those families. We are thinking of them.

Comment on this

I join Senator Black in remembering those two families and also the de Bromhead family. We sadly lost a little girl of eight years of age in County Roscommon as well and we are thinking of her today. It has been a sad time for many families, particularly when so many children have lost their chance to live, which should not happen.

I very much support the comments of Senator Craughwell regarding staff and ensuring our staff are well paid and looked after properly. My colleagues and I will insist that the staff get a proper deal. Everybody accepts that. I refer to Senators' staff in particular. Each Senator has one member of staff. They work very hard and, at times, very long hours. We have to look after them.

I think of the campaigners outside the gates of Leinster House today, particularly those campaigning with regard to cystic fibrosis. I think of the 35 children who need a particular drug. The matter has not been cleared up. I know the Taoiseach and the Minister are aware of it and want to do the right thing, and they will, but it is urgent that the drug be made available to those children. As far as I know, when they get to 12 years of age, they can have the drug. I met Caoimhe and Fiadh, sisters aged eight and six, respectively, who have Ballinasloe connections and who were outside Leinster House campaigning today. It was difficult and sad to see them out there. I appeal to the Leader to use her good offices to ensure that drug is made available to those 35 children. It is urgent.

Comment on this