Updated Minimum Pay and Pension Rates for the Irish Construction Sector in 2025
In November 2024, Emer Higgins, the Minister of State for Business, Employment, and Retail, approved a Labour Court recommendation to revise minimum pay rates, pension contributions, and sick pay entitlements for workers in the Irish construction industry. This change will come into effect on August 5, 2025, and will implement a 3.4% increase in minimum hourly rates across various categories. An additional 3.2% raise is scheduled for August 2026.
Two criteria determine who is covered by these changes:
- The employer must operate within the construction sector.
- The provisions apply to employees who work in the sector and need to be classified according to specific roles as defined below.
The Sectoral Employment Order (SEO) clearly outlines the activities that categorise an employer as part of the construction sector, as well as the experience and qualifications necessary to classify a worker into a specific employee category.
Revised Minimum Hourly Rates Effective August 5, 2025:
| Category | Previous Rate (as of August 5, 2024) | New Rate (effective August 5th, 2025 |
|---|---|---|
| Craftsperson | €22.24 per hour | €22.99 per hour |
| Category A Worker | €21.59 per hour | €22.32 per hour |
| Category B Worker | €20.03 per hour | €20.71 per hour |
Definitions:
- Craftsperson: Qualified tradespersons, including Bricklayers, Carpenters, Electricians, and Plumbers.
- Category A Worker: Skilled General Operatives with over four years of experience, such as Steel Fixers and Crane Drivers.
- Category B Worker: General Operatives with more than two years of experience.
The additional increase will also be applicable for both employer and employee Sick Pay contributions.
These adjustments aim to enhance the attractiveness of the construction sector as a viable career option and ensure fair compensation for workers, thereby supporting the industry’s growth and stability.
For further guidance and support, please contact our Ratio Recruitment team, and we will be happy to assist you.