Dáil Éireann Debate, Wednesday - 27 May 2026
189. Deputy Aidan Farrelly asked the Minister for Children, Disability and Equality further to Parliamentary Question No. 1971 of 29 April 2025, the estimated cost of bringing early years graduates only NFQ Level 7, 8 and 9 under public-sector pay and conditions; and to provide an update. [40676/26]
Amharc ar fhreagraThe level of pay for early years educators and school-age childcare practitioners does not reflect the value of their work for children, families, society and the economy.
Although the Government is the primary funder of the sector, it is not the employer and cannot directly set wages or conditions for any staff in the sector.
The Joint Labour Committee is the formal mechanism established by which employer and employee representatives can negotiate minimum pay rates, which are set down in Employment Regulation Orders, and is independent in its functions.
Pay and conditions are improving. Through the work of the JLC and successive ERO’s, minimum pay rates have now risen three times in four years, delivering an average 15% increase in minimum rates of pay. This marks significant progress in professionalising the workforce.
The latest ERO came into effect in October 2025 which saw an increase in minimum pay rates of, on average, 10% and will increase pay for over 67% of staff in the sector. Outcomes from the Joint Labour Committee process are supported by Government through Core Funding.
In this programme year 2025/26 Core Funding has increased by 6% to approximately €350 million with an additional €45 million in ring-fenced Core Funding provided to support services in meeting the increased cost of minimum pay rates in the sector.
In line with the Programme for Government commitment to continue to support Employment Regulation orders, I recently another allocation of up to €15m of ring-fenced funding from September 2026, which amounts up to €45m for the full programme year, to support service providers with costs associated with possible increases in minimum rates of pay negotiated via the independent Joint Labour Committee process.
The estimated annual costs of salaries for all staff with a National Framework of Qualifications Level 7 degree qualification or higher, based on data provided by Partner Services contracted to Core Funding in April 2026 was approximately €495 million.
• The cost estimate is based on staff details, including qualification level, recorded in service providers’ submissions for Core Funding, but the Core Funding data has been extrapolated to provide an estimate for all staff working in the sector.
• Cost estimates are based on the most recent data available to the Department which was provided by service providers in April 2026.
• The figure does not include the cost of public sector terms and conditions in relation to holiday pay or sick leave due to the complexities of mapping such conditions. However, a 21% employer cost has been included in the calculations to cover PRSI, Holiday pay, Sick Pay and Auto Enrolment Pension contributions)
• Calculations are based on wage-data available at a point in time. Some services may have increased wages more recently, which would reduce the cost to services of moving from current wage-rates to the propose wage rates in the question.
• The cost estimates only relate to staff and managers covered by the current Employment Regulation Orders, i.e. the estimates exclude the cost of ancillary staff or staff working with children with a qualification lower than a level 7.
• The figure provided does not take into account the income currently received by those working in the sector who are self-employed and who derive their income from profits rather than wages.
