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Ikea to introduce minimum wage of €11.50 per hour

  • 20-07-2015 11:08AM
    #1
    Registered Users, Registered Users 2 Posts: 1,373 ✭✭✭


    http://www.independent.ie/business/irish/ikea-to-introduce-living-wage-of-1150-per-hour-for-all-irish-staff-31389134.html

    I'm actually tempted to send in a sneaky CV this morning.

    It will probably have no impact whatsoever on the wider economy as businesses will continue to do everything possible to force wages down, but if they do actually introduce something like this I'd go out of my way to shop there.

    I expect a load of naysayers will decry it as foolish and damaging to the company, but they didn't become the biggest furniture company in the world without having some serious business minds in the company, so I'm interested to see how it all pans out


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Comments

  • Closed Accounts Posts: 3,389 ✭✭✭NachoBusiness


    Only downside is that the money is given to the staff in pieces and they have to put together themselves after they have walked seven miles in an S shape to collect it.


  • Banned (with Prison Access) Posts: 1,162 ✭✭✭strelok


    I expect a load of naysayers will decry it as foolish and damaging to the company,

    do you?

    do you really?


  • Closed Accounts Posts: 12,045 ✭✭✭✭gramar


    http://www.independent.ie/business/irish/ikea-to-introduce-living-wage-of-1150-per-hour-for-all-irish-staff-31389134.html

    I'm actually tempted to send in a sneaky CV this morning.

    It will probably have no impact whatsoever on the wider economy as businesses will continue to do everything possible to force wages down, but if they do actually introduce something like this I'd go out of my way to shop there.

    I expect a load of naysayers will decry it as foolish and damaging to the company, but they didn't become the biggest furniture company in the world without having some serious business minds in the company, so I'm interested to see how it all pans out

    What does a sneaky CV look like?


  • Registered Users, Registered Users 2 Posts: 3,811 ✭✭✭Corvo


    Well it would certainly have a very positive effect on the staff. It would certainly make you more inclined to strive to be as professional as possible, not be absent etc.

    I know people will say you should do that regardless, but look at the effect the likes of Dunnes have on their staff. If I worked there I wouldn't give a **** what happened with my employment as I would be constantly looking for a way out.


  • Registered Users, Registered Users 2 Posts: 22,606 ✭✭✭✭kneemos


    A lot of the Supermarkets pay over a tenner an hour.
    less turnover of staff makes for greater efficiency I suppose.


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  • Registered Users, Registered Users 2 Posts: 41,236 ✭✭✭✭Annasopra


    Why does it take them 8 months?

    It was so much easier to blame it on Them. It was bleakly depressing to think that They were Us. If it was Them, then nothing was anyone's fault. If it was us, what did that make Me? After all, I'm one of Us. I must be. I've certainly never thought of myself as one of Them. No one ever thinks of themselves as one of Them. We're always one of Us. It's Them that do the bad things.

    Terry Pratchet



  • Registered Users, Registered Users 2 Posts: 4,080 ✭✭✭EoghanIRL


    Yeah but ikea has no windows in their stores so you can't tell that time is passing and they keep you there forever.
    So really you are selling them your soul.
    Still though for 11.50/hr.


  • Closed Accounts Posts: 32,688 ✭✭✭✭ytpe2r5bxkn0c1


    The country has hundreds of businesses that have a de facto minimum wage well above the National minimum wage.


  • Closed Accounts Posts: 5,678 ✭✭✭TrustedApple


    That wage at 11.50 a hour is better then some of the IT companies are paying for there college Grads :eek:.

    I really do think i am in the wrong industry LoL.


  • Closed Accounts Posts: 32,688 ✭✭✭✭ytpe2r5bxkn0c1


    That wage at 11.50 a hour is better then some of the IT companies are paying for there college Grads :eek:.

    I really do think i am in the wrong industry LoL.

    Go away out of that. It's only 24k a year. And that's if they get 40 hours a week every week. With little chance of progression.


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  • Closed Accounts Posts: 12,318 ✭✭✭✭Menas


    11.50 is the recommended 'living wage'.
    Internationally more and more companies seem to be advertising that they do not pay 'minimum wage' but 'living wage'....goes down well with workers and customers alike.


  • Closed Accounts Posts: 5,678 ✭✭✭TrustedApple


    Go away out of that. It's only 24k a year. And that's if they get 40 hours a week every week. With little chance of progression.

    I have been offered 16K a year working as a Database DEV on a college grad program in Dublin no idea how your post to live on that unless you live at home with your mother and father.


  • Registered Users, Registered Users 2 Posts: 28,787 ✭✭✭✭ScumLord


    It will probably have no impact whatsoever on the wider economy as businesses will continue to do everything possible to force wages down,
    Trying to reduce wage costs has been one of the driving forces of business since Henry Ford started spitting Model T cars off his production line.


  • Closed Accounts Posts: 12,318 ✭✭✭✭Menas


    ScumLord wrote: »
    Trying to reduce wage costs has been one of the driving forces of business since Henry Ford started spitting Model T cars off his production line.

    I would argue that it has been ongoing on an industrial scale since the start of the industrial revolution 140 years earlier...but that is another thread!


  • Closed Accounts Posts: 2,345 ✭✭✭doolox


    In the overall scheme of things a minimum wage should be temporary and there should be a transparent, realistic, measurable path to higher wages in place so that earners can move out of minimum wage quickly by gaining experience and acquiring more skills etc in any given job sector.

    Too often people are fobbed off and kept on minimum wage for a long time or replaced by other job seekers starting off on the jobs market either if they secure higher paying work elsewhere or a change in circumstances forces them onto welfare.

    There should be an advocacy service of some sort in ALL employments so that people can know the correct procedures and paths to gaining more wages in a planned fashion. Access should be allowed to regional and national wage trends so that people can bargain from a position of accurate knowledge and get the best deal for themselves.

    Too often people in unionised employment get much more money simply on the basis of raw political power while non unionised people get a lot less even if they are more skillful and better at their jobs. Work status and nationality also play a huge part in determining pay. There is even a dichotomy between effective union representation and ineffective union representation where internal sectoral competition tend to drive down wages for new recruits doing the same work as holders of older contracts. All these anomolies breed resentment and jealousies in the contemporary workplace and lead to a dysfunctional and nonharmonious work experience.

    Big trouble with the minimum wage is that it is transparently obvious to the recipient that they are regarded as somewhat of a minimum contributor to the overall workforce. While people can accept this on a temporary basis in a clearly defined path to higher wages in a certain timeframe it is when the process drags on with a lot of uncertainty and chaos that trouble begins.

    The present economic situation does not help this in any way.


  • Closed Accounts Posts: 5,681 ✭✭✭JustTheOne


    Minimum wage is Germany is 8.50.

    Just saying like.


  • Banned (with Prison Access) Posts: 1,162 ✭✭✭strelok


    Menas wrote: »
    I would argue that it has been ongoing on an industrial scale since the start of the industrial revolution 140 years earlier...but that is another thread!

    what kind of wages do you think people earned working 14 hours a day on landlords farms?


  • Posts: 12,694 ✭✭✭✭ [Deleted User]


    Menas wrote: »
    I would argue that it has been ongoing on an industrial scale since the start of the industrial revolution 140 years earlier...but that is another thread!

    That not true from the time of the industrial age business have been trying to drive down cost by automation and they do this to avoid expensive labour costs that's not the same as driving down wages its avoiding the cost of labour by automation, the higher the cost of labour the more incentive to try and automate the work.


  • Registered Users, Registered Users 2 Posts: 22,606 ✭✭✭✭kneemos


    JustTheOne wrote: »
    Minimum wage is Germany is 8.50.

    Just saying like.


    Same as here.


  • Registered Users, Registered Users 2 Posts: 11,195 ✭✭✭✭Captain Chaos


    JustTheOne wrote: »
    Minimum wage is Germany is 8.50.

    Just saying like.

    VAT is lower in Germany.

    How long is a piece of string.


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  • Registered Users, Registered Users 2 Posts: 6,597 ✭✭✭Aisling(",)


    They're also giving existing staff a 2 euro raise on their current rate.

    Though the amount of people on 30 hour contracts or higher in Ikea is quite small.

    Still a great step by a great company I worked their for 6 years and overall they're really good employers all round.


  • Closed Accounts Posts: 32,688 ✭✭✭✭ytpe2r5bxkn0c1


    VAT is lower in Germany.

    How long is a piece of string.

    Tax is higher as is the cost if health care, education.....


  • Closed Accounts Posts: 12,318 ✭✭✭✭Menas


    mariaalice wrote: »
    That not true from the time of the industrial age business have been trying to drive down cost by automation and they do this to avoid expensive labour costs that's not the same as driving down wages its avoiding the cost of labour by automation, the higher the cost of labour the more incentive to try and automate the work.

    One of the outcomes of the industrial revolution was to reduce the need for skilled labor and use automation to bring in lower skilled labor at a lower wages. Many of those roles were filled by the skilled laborers whose skills were no longer needed.


  • Registered Users, Registered Users 2 Posts: 18,185 ✭✭✭✭Galwayguy35


    Depends on the amount of hours they get for it, in Aldi they pay nearly €13 to some of them but as far as I know they don't get much more than a 30 hour week.


  • Registered Users, Registered Users 2 Posts: 11,195 ✭✭✭✭Captain Chaos


    Tax is higher as is the cost if health care, education.....

    But look at what they get in return for it. I'd happily pay higher tax for the services the general public in Germany get.

    Less VAT, cheaper goods and services, but higher direct taxes to provide better quality services. Much better system imo.


  • Registered Users, Registered Users 2 Posts: 19,801 ✭✭✭✭suicide_circus


    Do ikea have zero hour contracts? If they do, this is a meaningless publicity stunt.


  • Registered Users, Registered Users 2 Posts: 7,008 ✭✭✭not yet


    JustTheOne wrote: »
    Minimum wage is Germany is 8.50.

    Just saying like.


    Yeah but they don't drink or smoke, they also shop in Aldi and get cheap haircuts...


  • Registered Users, Registered Users 2 Posts: 6,597 ✭✭✭Aisling(",)


    Do ikea have zero hour contracts? If they do, this is a meaningless publicity stunt.

    Nope minimum is 12 though that's very rare the usual low hours contract is 16.


  • Closed Accounts Posts: 16,096 ✭✭✭✭the groutch


    has to taken with a pinch of salt.
    largely depends on what pay premiums are for overnight/sundays, and what other perks there are (subsidised food, free uniforms or not, staff discount rate, xmas bonus,etc)


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  • Posts: 12,694 ✭✭✭✭ [Deleted User]


    Menas wrote: »
    One of the outcomes of the industrial revolution was to reduce the need for skilled labor and use automation to bring in lower skilled labor at a lower wages. Many of those roles were filled by the skilled laborers whose skills were no longer needed.

    So you are a luddite and believer that smashing machine is the answer. independent craftsmen and women did enjoy a somewhat better life before industrial revolution however the industrial revolution brought down the cost of goods, the vast majority of people are not going to pay 500 euro for a hand made chair when you can get a similar one for 80 euro in Ikea.


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