Agreement will see extra €140 million annual investment in agencies providing health and social care services
The Government has welcomed an agreement reached at the Workplace Relations Commission (WRC) for a 9.25 per cent pay increase for up to 40,000 employees of agencies contracted by the State to carry out essential health and social care work.
The agreement, reached last night at talks in the Workplace Relations Commission (WRC), means that workers in Section 39 agencies will receive pay parity with public sector employees doing the same work, as set out in the current 2024-2025 public sector agreement.
The move will see a phased increase in wages over the next two years, backdated to October 2024.Combined with an October 2023 agreement of an eight per cent increase, this amounts to a 17.25 per cent pay funding rise over a three-and-a-half year period.
This agreement applies to the pay of workers in organisations grant funded under Section 39 (Health Act 2004), Section 56 (Child and Family Agency Act 2013), Section 10 (Housing Act 1988) and Section 40 (Domestic, Sexual and Gender-Based Violence Agency Act 2023).
In funding terms, the deal amounts to an increase of around €140 million per annum in additional investment for these organisations to support delivery of their services and supports.
“I am delighted with the historic outcome which tackles pay issues and protects essential services,” said Minister for Children, Equality, Disability, Integration and Youth, Norma Foley.
“I appreciate the goodwill of everyone who sat around the table to reach this agreement for the dedicated workers who provide invaluable supports and services.
“For those services funded by my department, the agreement includes c. €71 million for disability and c. €20 million for child and family welfare support in a full year through the schemes operated by the HSE and Tusla respectively”.
The agreement reached includes the establishment of a joint monitoring group with the funding agencies, employer representatives and staff union representatives to ensure practical issues and disputes can be resolved in a timely and effective manner.
An independent body will also examine pay and funding across the sector, and these findings are expected to be considered in future pay talks.
The deal comes less than two weeks after staff at Section 39 organisations represented by trade union SIPTU voted 97 per cent in favour of industrial action, with a ballot turnout of 70 per cent.