ARTICLE · 17 FEBRUARY 2025

What's Another Year 2025 - Employment and Pensions

Arthur Cox

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The European Union Adequate Minimum Wages Directive (the Directive) was required to be transposed into Irish law by 15 November 2024. The Directive aims to increase collective bargaining coverage in member states...

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Employment

Under the Adequate Minimum Wages Directive, Member States with a collective bargaining coverage below 80%, as is the case in Ireland, must establish an action plan to "progressively increase the rate of collective bargaining coverage" by the end of 2025.

Action plan to increase rates of collective bargaining

The European Union Adequate Minimum Wages Directive (the Directive) was required to be transposed into Irish law by 15 November 2024. The Directive aims to increase collective bargaining coverage in member states and ensure minimum wages are set at an adequate level. Under the Directive, Member States with a collective bargaining coverage below 80%, as is the case in Ireland, must establish an action plan to "progressively increase the rate of collective bargaining coverage" by the end of 2025. It remains to be seen if this Directive will fundamentally alter Ireland's so-called voluntarist model of industrial relations.

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This article contains a general summary of developments and is not a complete or definitive statement of the law. Specific legal advice should be obtained where appropriate.

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