Proposed Changes In Law May Affect Your Business (Labour) Costs

Proposed Changes In Law May Affect Your Business (Labour) Costs

September 24th, 2019

The Minister of Health, Simon Harris TD has once again this week provided further ‘detail’ of the proposed changes to the law regarding the licencing and sale of tobacco products that he has stated he will be brining to Cabinet for approval to publish a Bill (or pre legislative scrutiny).

Changes to sale of tobacco by under 18

One of the changes envisaged by the Minister is to prohibit the sale of tobacco by a person under the age of 18 (similar to the law on alcohol sales).

We are aware that countless thousands of 16 and 17 year old youngsters are currently employed in members stores throughout the country but would, once the Bill was enacted and subsequently commenced, no longer be permitted to sell tobacco products as part of their till/cashier duties. This will have possible significant changes to your wage structure if you are currently employing an under 18 at the legally permissible rate of 70% of the National Minimum Wage (currently €9.80, therefore €6.86). The legally permissible rate for an 18 year old is 80% of NMW or €7.84, while a 19 year old may earn 90% of NMW or €8.82.

  • Under 18 €6.86
  • 18 Years of Age €7.84 (Extra 98cent per hour)
  • 19 Years of Age €8.82 (Extra €1.96 per hour)
  • 20 Years + €9.80 (Extra €2.44 per hour)

If you replace those on your workforce that are under 18 with “over 18” staff, this change in law will cost you money. In law, you will not be subject to unfair dismissal claims, redundancy claims etc, but it will most certainly be a closing off of an employment pathway for tens of thousands of youngsters.

You may wish to make us (or your T.D/Senator aware of how this will affect you).

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