New Minimum Pay and Pension Rates for the Construction Sector
March 12, 2025
Updated Minimum Pay and Pension Rates for the Irish Construction Sector in 2025
In November 2024, Minister of State for Business, Employment and Retail, Emer Higgins, approved a Labour Court recommendation to adjust minimum pay rates, pension contributions, and sick pay entitlements for workers in the Irish construction industry. This Sectoral Employment Order (SEO) is set to take effect on August 5, 2025, introducing a 3.4% increase in minimum hourly rates across various categories, with an additional 3.2% raise scheduled for August 2026.
There are 2 criteria which decide who is covered:
· The employer must operate in the construction sector, and
· It applies to employees who work in the sector and defines their roles into specific classes, as set down below.
The SEO defines what activities place an employer within the construction sector and what experience and qualifications place a worker in a particular employee class.
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.
Apprentice Minimum Rates:
| From 05 August 2024 to 31 July 2025 | From 01 August 2025 to 31 July 2026 | From 01 August 2026 | ||
|---|---|---|---|---|
| Year 1 | €7.41 | €7.66 | €7.91 | 33.33% of Craft rate |
| Year 2 | €11.12 | €11.50 | €11.87 | 50% of Craft rate |
| Year 3 | €16.68 | €17.25 | €17.80 | 75% of Craft rate |
| Year 4 | €20.02 | €20.70 | €21.36 | 90% of Craft rate |
Pension Contribution Rates Effective August 5, 2025:
| Contributor | Previous Daily Rate (as of August 5, 2024) | New Daily Rate (effective August 5, 2025) |
|---|---|---|
| Employer | €6.17 | €6.38 |
| Employee | €4.11 | €4.25 |
Pension Contribution Rates Effective 01 August 2026
| Contributor | Per Week | Daily Rate |
|---|---|---|
| Employer | €32.89 | €6.58 |
| Employee | €21.95 | €4.39 |
| Total Pension contribution per worker | €54.84 | €10.97 |
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 HR Support team, and we will be happy to assist you.
What Employers Need to Know
In this blog, we explore a recent WRC ruling where a school was ordered to pay €85,000 in compensation after a teacher was discriminated against during an interview. The case highlights how even seemingly harmless remarks can have serious legal consequences for employers. What Actually Happened? Employee, Emily Williams, who had been working at the school under fixed-term contract and had two years’ experience there, was on maternity leave when a permanent teaching post arose. She was neither notified nor considered, even though she was eligible. Instead, the school awarded the role to a less-experienced colleague not on leave. During a subsequent interview for a fixed-term position, the principal congratulated Williams on the birth of her baby and added: “You really should enjoy every moment at home with the baby.” Williams felt the comment was unprofessional and likely influenced the outcome against her as she had learned she was unsuccessful the very next day. Why the WRC Ruled It Was Discrimination The WRC adjudicator found that: The principal’s comment, made before scoring was complete, was inappropriate and highlighted Williams’ family status. The school could not justify why a less-experienced teacher was chosen. Their claim that it was based on prior interview scores was unsupported, with no clear process to back it up. One interviewer even adjusted a score for Williams downward without explanation, further undermining the credibility of the decision. Given these failures, the WRC concluded that Williams had established a clear case of discrimination on grounds of family status. She was awarded €85,000 in compensation, with the adjudicator stressing the importance of deterrence in cases like this. Why This Ruling Matters for Employers This case underscores three vital lessons for HR and hiring managers. First, keep personal matters out of formal interviews. Even a well-meaning comment can suggest bias or influence the panel. The interview must remain strictly professional. Second, ensure documentation and process are watertight. Reliable scoring systems, consistent policies, and clear records are essential. Without them, hiring decisions become legally and reputationally vulnerable. Finally, fairness must be more than form, it must be function. Interviews should be blind to protected statuses such as family or maternity, and all decisions must be transparent and defensible. How MSS The HR People Can Help MSS is here to help Irish businesses avoid situations like this: Designing discrimination-safe interview processes, from structuring interview panels to defining scoring metrics Training hiring panels on unconscious bias and employment equality legislation Developing clear recruitment communication policies that avoid risks around maternity or other protected characteristics Providing support and representation if a dispute arises before the WRC Let’s ensure recruitment is fair, transparent, and free of unintended prejudice. Reach out to MSS The HR People, and we’ll help you build safe, compliant hiring practices. MSS The HR People info@mssthehrpeople.ie Ph: 01 8870690
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MSS - The HR People Achieves CPD Accreditation: What It Means for You At MSS - The HR People, we’re proud to announce that we have been officially accredited to deliver CPD (Continuing Professional Development) training. This milestone reflects our unwavering commitment to delivering high-quality, practical, and professionally relevant training to businesses across Ireland. But what exactly does CPD accreditation mean? Why is it significant? And, most importantly, how does it benefit the clients and professionals who choose MSS for their HR training? What Is CPD and Why Does It Matter? Continuing Professional Development (CPD) refers to the process of tracking and documenting the skills, knowledge, and experience gained both formally and informally as professionals work, beyond any initial training. CPD is essential in every sector but especially in fields like HR, where employment law, workplace regulations, and people management practices are constantly evolving. CPD-accredited training is independently assessed and verified to ensure that it meets industry standards for learning outcomes, relevance, structure, and delivery. Accreditation confirms that the training is not just informative, but valuable, impactful, and capable of contributing meaningfully to a participant’s professional development. In short, CPD accreditation is a mark of quality - and we’re delighted to now carry it. What CPD Accreditation Means for Us Becoming a CPD-accredited provider is a significant validation of our work. It’s more than a badge or certificate - it’s recognition from an external body that our training: Delivers clear learning outcomes Meets the expectations of professional development standards Is structured, well-presented, and aligned with current best practices Is designed with real-world application in mind For our team, this accreditation reinforces the integrity of our training content and confirms that the learning we provide is of the same high standard expected by national and international professional organisations. It also shows that we take our role as HR educators seriously. Whether we’re delivering workshops on employment law compliance, HR policies, or best-practice recruitment and onboarding, we are doing so in a way that stands up to scrutiny, offers measurable learning outcomes, and contributes to the continuous upskilling of our clients. What It Means for Our Clients and Training Participants CPD accreditation matters because it gives our clients confidence - not just in what we teach, but in how we teach it. Whether you're an SME owner trying to stay compliant, a people manager learning how to lead teams effectively, or an HR professional seeking to grow your knowledge base, attending a CPD-accredited session with MSS brings many advantages: 1. Assurance of Quality With CPD accreditation, clients know that our training is rigorously vetted. You’re not just taking our word for it - an independent body has confirmed that the training you’re investing in meets a high standard of professional learning. 2. Tangible Professional Development For individuals building their careers or maintaining professional memberships, CPD points or hours gained through our training can be recorded as part of formal CPD logs. This is especially relevant for HR professionals, business owners, and line managers who must show ongoing learning as part of their industry obligations. 3. Enhanced Employer Credibility Businesses that invest in CPD-accredited training show their teams and stakeholders that they care about learning, improvement, and staying up to date. It’s a positive reflection on company culture and helps improve employee engagement and retention. 4. Peace of Mind Around Compliance From Inclusive Leadership, Dignity at Work and Managing Difficult Behaviours, our accredited training ensures that you and your team are not only aware of your responsibilities but are applying them correctly. That means fewer risks, fewer mistakes, and a more confident leadership approach across your organisation. 5. Career Progression for Attendees Participants who undertake CPD-accredited training can use it to build their professional profile, apply for promotions, or demonstrate ongoing learning to regulatory or membership bodies. It helps turn learning into career momentum. A Mark of Trust for the Future At MSS - The HR People, we’ve always believed that training should be more than a tick-box exercise. It should inspire new ways of thinking, give people the tools to do their jobs better, and create lasting value for the businesses we support. Being CPD-accredited adds another layer of trust for our clients. It shows that we’re not just offering what’s popular or convenient - we’re offering what’s recognised, verified, and of real value. As we look ahead, CPD accreditation allows us to expand our training offering with confidence. From one-hour sessions and lunch-and-learns to multi-day workshops and tailored in-house programmes, all our CPD-accredited training will continue to be: Grounded in practical, real-world HR expertise Updated regularly to reflect changes in law and best practice Delivered in an accessible, engaging format that suits busy teams Backed by independent quality assurance Let’s Grow Together Whether you’re new to HR responsibilities or managing people across multiple departments, learning is essential. With CPD-accredited training from MSS - The HR People, you’re guaranteed a high-quality learning experience that’s both professionally recognised and immediately useful in your role. Contact us today to find out more about our CPD-accredited training programmes or visit www.mssthehrpeople.ie/hr-training for more details.
