Workers in the construction sector will receive higher minimum hourly rates of pay from September, after the approval of a new Sectoral Employment Order (SEO).

Neale Richmond (Minister of State for Employment Affairs and Retail Business) said that he had accepted a Labour Court recommendation for new minimum pay and pension-contribution rates for the sector.

The SEO will start on 18 September 2023, from when the increased rates of pay will apply. Further rises will come into effect from 5 August 2024.

“This SEO will make a real difference to workers in the sector, not only by increasing rates of pay, but also by providing certainty for workers,” said Minister Richmond.

Disputes procedure

He added that the inclusion of a legally binding disputes procedure would also ensure that any disputes in the sector could be addressed effectively and fairly.

Apprentices will also benefit from this SEO, with an increase in their legal minimum pay.

The SEO follows a Labour Court review of terms and conditions in the sector requested by a number of trade unions.

The Labour Court submitted its recommendations to the minister under section 16 of the Industrial Relations (Amendment) Act 2015.