It found that the €13.50-an-hour basic legal pay rate ranks as the sixth most valuable globally.
The study by payroll and HR software company Moorepay said the minimum wage rate equates to €28,080 a year.
A spokesperson said the value of the minimum-wage rates was ranked according to what they could purchase, or their purchasing power, based on a World Bank index.
The minimum wages was ranked as having good purchasing power. Stock image: Getty
Today’s News in 90 Seconds, Friday, September 12
This placed Ireland’s minimum wage above France, Belgium, New Zealand and Canada, but behind the UK and Germany.
The €29,952-a-year minimum wage in the Netherlands was found to have the highest value.
It was followed by Australia, Luxembourg, the UK, Germany and Ireland.
The African nations of Ethiopia, Eritrea, Somalia and South Sudan had no minimum wage, according to the survey.
“Ireland’s minimum wage is the sixth most powerful in the world, putting Ireland among seven other European countries in the top 10,” Michelle Hobson, HR services director at Moorepay, said.
Ireland ranks at a “lowly 23rd” out of 33 countries when minimum-wage value is assessed using a different measure
“Ireland’s strong position in the rankings for minimum-wage value reflects Ireland’s commitment to its workers. Setting a relatively high baseline wage for workers means Irish citizens can enjoy a higher quality of living than most countries across the world.”
Irish Congress of Trade Unions spokeswoman Laura Bambrick said OECD data shows Ireland ranks at a “lowly 23rd” out of 33 countries when minimum-wage value is assessed using a different measure. This compares the minimum wage with other workers’ pay by calculating its value as a percentage of median earnings.
“Index linking the minimum wage to wages in the economy ensures we do not have gross wage inequality and ensures greater social cohesion because minimum-wage workers have to pay the same price for services as higher earners do,” she said.
She said Ireland is one of the wealthiest countries in the world, which goes a long way to explain why wages in general are comparatively high.
She said within days of taking up office, the Government backtracked on a commitment to deliver a 60pc living wage by 2026.
Maeve McElwee, executive director of employer relations at Ibec, said Ireland has a high minimum wage base compared to many other economies.
“More generally, competition for labour and recent changes to the minimum wage, which will culminate in the introduction of a higher living wage by 2029, have all led to higher wage costs across businesses,” she said.
“Importantly, we must balance fair wages, particularly given the high cost of living, with sustainable wage growth for businesses.”
She said new and pending legislation on statutory sick pay, auto-enrolment for pensions, and enhanced protective leave entitlements carry significant costs.
“This is before accounting for additional proposed measures that could further add to employer costs, such as the Pay Related Jobseeker’s Benefit Scheme,” she said.