2025 Changes to employment law
2025 is upon us, and there have been several employment law changes and updates made in 2024 which will come into effect over the coming 12 months. There are many more changes on the horizon. Read our highlights below to discover what you need to know as employer on the upcoming and forecasted employment law changes and updates.
1. Minimum Wage has increased from €12.70 to €13.50 per hour from January 1, 2025.
2. Statutory Sick Pay has increased from an annual allowance of five (5) days, to seven (7) days from January 1, 2025. SSP is paid by the employer, at 70% of the employees wage, up to a cap of €110 per day.
3. Maternity Protection (Amendment) Bill 2024:
This bill introduces changes to maternity leave provisions, primarily focusing on the postponement of maternity leave. When this comes into Act status later in 2025, employers will need to adapt policies and procedures to accommodate these changes, ensuring compliance.
4. Expansion of the Employment Permit System & Employment Permits Bill 2022: Salary thresholds for permit holders increased and 43 new roles/positions become eligible for employment permits.
5. Further Expansion of Gender Pay Gap Reporting requirements:
In 2025, the reporting threshold will lower to include employers with 50 or more employees, bringing a larger number of businesses under the requirements and necessitating even more widespread attention to gender pay equity.
For those organisations it does affect, from 2025, it is intended the reporting deadline will move to November, meaning that employers will have 5 months from their snapshot date in June to issue their report.
6. Employment (Collective Redundancies and Miscellaneous Provisions) and Companies (Amendment) Act 2024:
The Act will insert into the Protection of Employment Acts 1977 – 2014;
1. The definition of responsible person,
2. An entitlement for employees now to seek redress from the WRC,
3. A new ‘reasonability’ defence for employers,
4. Collective redundancies must not take effect before the expiry of the period of 30 days beginning on the date of the relevant notification to the Minister.
7. General Scheme of the Employment (Restriction of Certain Mandatory Retirement Ages) Bill 2024:
Proposes to introduce an entitlement but no compulsion to stay in employment under the pensionable age. When or before this Bill is enacted, contracts of employment and company handbooks are advised to be updated accordingly.
8. Automatic Enrolment Retirement Savings System Bill 2024:
Proposes to introduce contributions from the employee, employer, and the State. There will be an opt-out option for the employee – please reach out to us to learn about employer obligations and more about the upcoming Act in general.
It is recommended that employers put in place an action and budgeting plan, before this Bill comes into effect. When or before this Bill is enacted, contracts of employment and company handbooks are advised to be updated accordingly.
9. EU Pay Transparency Directive & The Remuneration Information and Pay Transparency Bill 2023:
Proposes to introduce a set of binding measures to increase pay transparency. Employers will have to disclose salary ranges and will be prohibited from inquiring about a candidate's pay history. When or before this Bill is enacted, employers are advised to adjust recruitment strategies in accordance with meeting these requirements.
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We do not use AI in any of our articles. This piece was written in its entirety by an industry professional who specialises in HR and Employment Law, using classic research methods. Our aim is to share accurate, useful and up-to-date information with our clients and readers, using the knowledge and skillset we have been trained in, and without the use of auto-generated information.
Ireland, January 2025
Lydia Garland-Moloney
