AN important charitable service in Tralee which provides meals on wheels to the elderly, as well as to those who are physically and mentally impaired, is under threat as a result of the Government’s decision to increase the minimum wage, according to a local TD.
Kerry TD Tom Fleming (Ind) has called on Government to exercise “joined up thinking” in relation to how community and not-for-profit services are affected by increased operating costs due to the increase in the minimum wage to €9.15 per hour which came into effect in early January.
It means that, while welcome, the increase in the minimum wage has left community services throughout Ireland with significant funding shortfalls.
According to Deputy Fleming, Cumann Iosaef Community Centre in Tralee is one such service which is struggling to cope with the knock on effect of increased wages to their running costs.
“This is a vital service on which 600 people rely on per week,” he said.
“They manage their modest budget on a week-to-week basis with no surplus due to the increased demand on their service, and simply cannot afford to absorb an additional wage cost of €847 per month. In a full year, this amounts to €10,175, a shortfall that significantly affects the future of the service.
“By appeasing one demographic of society with increased wages, the Government has severely put in jeopardy critical community services which are literally putting food on the tables of those most vulnerable.
“Where’s the joined up thinking? The Community Service Programme funding will not be readjusted or take into account the increased wage and labour costs, a bombshell that was landed on community services less than a month before the wage increase was implemented in January.
“What options do services have? They’ve been told that they can make an appeal for additional funding, which may or may not be approved, but effectively they are being left to bear the brunt of the Government robbing Peter, to save Paul,” said Deputy Fleming.