Rates Increase for 2019
Some of the biggest news to hit the construction industry in Ireland in the last week has got to be the pending rate increase
Sherlock recruitment has been keeping a close eye on the progression of the Union’s bid for an increase over the past few months and have written previously on the topic. It is now official, and Minister of State Pat Breen has approved two recommendations from the Labour Court for new minimum pay rates.
The last sector-wide pay increase for construction workers was implemented in October 2017. The latest increase of basic hourly rates of pay will apply from October 1st 2019 and last through to September 30th 2020.
The following basic hourly rates of pay will apply in the sector from 1st October 2019 to 30th September 2020:
Craftsperson’s €19.44 per hour Bricklayers/Stone Layers; Carpenters and Joiners; Floor Layers; Glaziers; Painters; Plasterers; Stone Cutters; Wood Machinists; Slaters and Tilers.
Category A Worker €18.86 per hour Scaffolders who hold an Advanced Scaffolding Card and who have four years’ experience; Banks operatives, Steel Fixers; Crane Drivers and Heavy Machine Operators.
Category B Worker €17.50 per hour Skilled General Operatives who have worked in the sector for more than 2 years.
New Entrant Operative Workers €14.14 per hour To apply for 2 years to new entrant operative workers over the age of 18 years and entering the sector for the first time.
Apprenticeship and other craftsmen rates will change as such:
Apprentice Year 1 33.3% of Craft rate
Apprentice Year 2 50% of Craft Rate
Apprentice Year 3 75% of Craft Rate
Apprentice Year 4 90% of Craft Rate
Craftsperson €19.96 per hour Bricklayers/Stone Layers; Carpenters and Joiners; Floor Layers; Glaziers; Painters; Plasterers; Stone Cutters; Wood Machinists; Slaters and Tilers.
Category A Worker €19.37 per hour Scaffolders who hold an Advanced Scaffolding Card and who have four years’ experience; Banks operatives, Steel Fixers; Crane Drivers and Heavy Machine Operators.
Category B Worker €17.97 per hour Skilled General Operatives who have worked in the sector for more than 2 years.
New entrant operative workers €14.52 To apply for 2 years to new entrant operative workers over the age of 18 years and entering the sector for the first time.
The following basic hourly rates of pay will apply to apprentices employed in the sector from 1st October 2020.
Apprentice Year 1 33.3% of Craft rate
Apprentice Year 2 50% of Craft Rate
Apprentice Year 3 75% of Craft Rate
Apprentice Year 4 90% of Craft Rate
Electrical Contracting Sector
The following hourly rates of pay shall apply to the indicated categories of an employee employed in the sector from 1st September 2019:
Category 1 (Newly qualified electricians employed in the sector) €23.49
Category 2 (qualified electricians employed in the sector with effect from the commencement of their 3rd year of employment after qualification as an electrician) €23.96
Category 3 (Electricians employed in the sector with effect from the commencement of their 6th year of employment after qualification as an electrician) €24.34
The following rates of pay shall apply to apprentices employed in the sector from 1st September 2019:
Apprentice Year 1
€7.05
Apprentice Year 2
€10.57
Apprentice Year 3
€15.27
Apprentice Year 4
€18.80
The recommendations also provide for unsocial hours payments and set terms for pension and sick pay schemes.
Minister Breen said, “The sectoral employment process is welcome in that it provides an independent assessment of pay rates that takes into account the views of all interested parties”.
In the case of the construction sector, the Labour Court recommendation followed on from an application by the Unions BATU, Connect, OPATSI, SIPTU and UNITE to the court to review the terms and conditions of workers in the construction sector.
The application in the electrical contracting sector was made by Connect, the Association of Electrical Contractors Ireland and the Electrical Contractors Association.
How will this impact on the current upward movement of the sector in Ireland? Given construction workers are already paid above the average rate compared to other blue-collar positions, a new (or varied) SEO and a pay increase for construction workers will no doubt put further pressure on employers in the industry and perhaps cause a construction slowdown. The positive is that with a rate increase and a higher earning potential many of the skilled labour that left during the recession we might return. We have also seen a shift in hiring patterns of construction firms, and increased use of outsourced and temporary staff for specific requirements, to minimise the wage bill and HR costs to the project.
Having followed recent events in Ireland an agreement and solution to this matter between all stakeholders is infinitely more desirable for all parties to avoid industrial action and to maintain positive industrial relations throughout the sector. The increased cost of labour will undoubtedly make an impact across industry and ultimately through to the consumer.
Whatever the results Sherlock Recruitment supplies temporary and permanent staffing solutions specific to the construction industry and we will be here for you to guide and assist you with whatever your requirements might be. In addition to supplying staffing solutions, Sherlock also provides critical Health and Safety training for the industry.
Follow us on Social Media to stay connected and updated with industry news and Sherlock updates.
