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Business Leaders In Clare Raise Concerns Over Rise In Minimum Wage

Business leaders in Clare say a number of issues need to be addressed if a recommendation to increase the national minimum wage is implemented.

The Low Pay Commission officially launches its report this afternoon in which it recommends a fifty cent rise in the national minimum pay.

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The Low Pay Commission officially launches its report today and in it a 50 cent hourly increase in the minimum wage is recommended.

But business groups have expressed concerns saying it may lead to further pay hikes right across the economy – while unions say it doesn't go far enough.

The rise amounts to an increase of 8% and which Michael Vaughan of Vaughan Lodge Lahinch says is welcome for the working poor.

But the Former President of the Irish Hotels Federation says it could force pay increases right across the sector.

Alec Flemming of Ennis Chamber says there may be a limited consequences for many employers but for some businesses in more competitive sectors, any increase in costs may push them over the edge.

The government has indicated that measures will be put in place to offset the affect of a pay rise on employers but Brian O'Neill of the Rowan Tree Cafe and Hostel feels a stronger focus on job creation is needed.

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