Is it time for wage increases?

Discussion in 'Economic issues' started by TheBigShort, Sep 20, 2016.

  1. TheBigShort

    TheBigShort Frequent Poster

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  2. Purple

    Purple Frequent Poster

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  3. TheBigShort

    TheBigShort Frequent Poster

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    I know some too, they are generally the exception.
    I can't see in your link where it gives the average hourly rates

    Here is CSO.

    http://www.cso.ie/multiquicktables/quickTables.aspx?id=ehq03
     
  4. TheBigShort

    TheBigShort Frequent Poster

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  5. Purple

    Purple Frequent Poster

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    Good piece. A few points;
    In a globalised labour market increasing wages in a small open economy can be devastating.
    Productivity in capital intensive Multinationals distorts the gap between productivity and wages for the vast majority of people who work in the indigenous/SME economy.
     
  6. Purple

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    It looks like we are getting those wage increases, with the least well off getting the biggest lift. In fact we've never had it so good!
     
  7. MrEarl

    MrEarl Frequent Poster

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    Yes



    Simple, the true cost of living (forget the basket of goods, I'm talking about the real cost of living) is going up and we need to keep pace with it.

    Because the government cannot be replied upon to distribute tax breaks appropriately to those who pay the tax in the first place, they are too easily influenced and swayed by other voters such as the blue-rinse brigade, a minority of their colleagues who think they can fix things if they visit North Korea etc. etc.



    .
     
  8. RETIRED2017

    RETIRED2017 Registered User

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    Last edited: Jan 8, 2018
    MrEarl
    Wage Increases will bring in extra Prsi usc and income tax 50% of any pay increase will finish up being used to sway voters,
    I hate to be a kicker
    I always long for peace
    But the wheel that squeaks the loudest
    Is the one that gets the grease
     
    Last edited: Jan 8, 2018
  9. MrEarl

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    Sure, but the 50% taken in various taxes and levies will then be divided up and those who first earned it will get a bit of it back in tax breaks ... they also get the remaining 50% of the pay rise, so are better off than if they just rely on the government to reduce taxes.
     
  10. Purple

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    The cost of living is a reflection of wage levels as much as anything else. If everyone gets a pay increase then nobody is really any better off. They only think that produces true wealth in an economy is increased productivity.
     
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  11. RETIRED2017

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    So the Government can be relied upon to distribute tax breaks appropriately to those who pay it in the first place .The Government is pushing for pay increase because they know there are lots of people like in the example above see no connection between Ireland cost of living being driven up by the Government just so they can take in more tax from employer through taxing there employees,

    The employee sees extra money in there pay packet when the get a pay rise they don't feel so bad about the other 50% tax going to the Government ,
     
  12. Purple

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    The irony is that someone on €20 an hour who is paying the higher marginal rate ends up with less than the minimum wage for each extra hour they work.
     
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  13. RETIRED2017

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    Purple I know ,Driving up the cost base on employers who pay good wages and driving up the cost of living on employee who go out to work every day,
     
  14. TheBigShort

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    Shrewd observation there Purple.
     
  15. Purple

    Purple Frequent Poster

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    Yes, marginal tax rates are far too high; nobody, no matter what their income, should pay a marginal tax rate of over 50% and people on an average enough wage shouldn't be paying the same marginal tax rate as someone earning millions.
     
  16. TheBigShort

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    I agree with this. Marginal rate kicks in too early on average incomes.
     
  17. Purple

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    ... and they are too high.