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Publicans will need a bail-out to pay cost-of-living wage hike

Galway publicans will require state supports to survive the rollout of a national living wage, according to industry representatives.

And in a stark warning to Government, local publicans have claimed failure to provide these supports would lead to widespread closures and the end of part-time bar work.

Chair of the Vinters Federation of Ireland (VFI) Galway, Joe Sheridan, told the Connacht Tribune that while publicans supported the living wage, which is due to come into effect by 2026, it had to be introduced on a “sustainable basis”.

Mr Sheridan, who is also a Fianna Fáil county councillor, said this increase in the wage bill would “sound the death knell” for countless Galway pubs and was just the latest in a string of increased business expenses faced by publicans.

“Vintners understand the ethos of the living wage, and are pro-living wage, but it has to be balanced. We’ve had increases in PRSI, VAT, we have to pay wages for the additional bank holiday and the minimum wage has increased. Some people have got commercial rates increases.

“The living wage is to come in by 2026; we also have auto-enrolment pensions coming in 2025,” said Mr Sheridan, where all employers will have to contribute to pension schemes for employees earning over €20,000.

Get the full story in this week’s Connacht Tribune, on sale in shops now, or you can download the digital edition from www.connachttribune.ie. You can also download our Connacht Tribune App from Apple’s App Store or get the Android Version from Google Play.

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