COMHAIRLE CONTAE ÁTHA CLIATH THEAS
SOUTH DUBLIN COUNTY COUNCIL

South Dublin County Council Crest

MEETING OF SOUTH DUBLIN COUNTY COUNCIL

Monday, January 12, 2015

MOTION NO.4

MOTION: Councillor D. Looney

That this Council endorses the Living Wage Campaign (www.livingwage.ie). As such, this Council seeks to implement the living wage, currently calculated at €11.45 per hour, as a minimum rate for all who are directly employed by the Council. Furthermore, this Council seeks to incorporate the living wage as policy in its procurement and contracting practices to ensure, in so far as is practicable, that all employees employed indirectly by the Council are paid the living wage. This Council asks that a report be brought to the relevant SPC/SPC's and the CPG for discussion on how such a policy can be implemented.

REPORT:

A Living Wage in principle is intended to establish an hourly wage rate that should provide employees with, what is deemed to be, sufficient income to achieve an agreed acceptable minimum standard of living.

South Dublin County Council rates of pay are set by National Wage Agreements, the Public Service Agreement and the Haddington Road Agreement. No employee of the Council is paid at a rate below the minimum wage. Similarly, the Terms and Conditions for Gateway Participants are set by the Department of Social Protection under the national Gateway Initiative. They receive a payment equivalent to their rate of Jobseeker’s Allowance plus €20 per week with a minimum payment of €208 per week. Participants work 19.5 hours per week.

All contracts entered into by South Dublin County Council include stipulations that the agreed industry wage rate is paid to all employees of the winning tenderer. Social Clauses can seek to address apprenticeship/training, sustainable business models, labour activation measures, equal opportunities and environmental factors but not actual rates of pay. To do so would potentially breach European Treaty principles and freedoms which underpin procurement practice.  Demanding a higher rate of pay may potentially exclude suppliers from competing for a contract even where they may be compliant with employment and minimum wage legislation, which may be open to legal challenge.    

In April 2014 Belfast City Council adopted a Living Wage policy in respect of its own employees only and does not place any requirements on contract awarded on rates of pay.