Every member of the workforce is entitled to a share in the current economic boom, the general secretary of the Irish Congress of Trade Unions, Mr Peter Cassells, has told the National Minimum Wage Commission. The ICTU has made a detailed submission to the commission in support of its claim for a £5 an hour minimum rate of pay.

But the small firms lobby group ISME, told the Commission that if it was to accept the argument in favour of a minimum £5 per hour rate, it would drive up the average wage in small firms by 20-25 per cent.

Mr Cassells told a hearing of the commission yesterday that "Every person at work in the state is contributing to our booming economy, but not everyone is benefiting from this boom. While banks made profits of £2 million per day, thousands of workers are paid a pittance for their contribution."

He added: "While employers complain about staff shortages, they offer wage rates that are an insult to the intelligence and dignity of those seeking employment. Alongside the growth of affluence, we have low paid workers struggling to survive on £3 or £4 per hour."

However, ISME said additional costs for small firms of a £5 minimum hourly wage could have serious effects throughout the economy, make small firms uneconomic and drive thousands on to the dole queues. ISME said the Government should maintain the status quo - "the Joint Labour Committees should be retained to review sector by sector and establish minimum terms of conditions appropriate to each". Today the director general of the Irish Business and Employers Confederation, Mr John Dunne, will be making his submission to the commission. He is expected to argue against a compulsory wage that would cover all employments.