Mandate Says Dunnes Stores’ 3% Pay Increase Is “Simply Not Good Enough”

Tuesday 16 December 2025

Mandate Trade Union has criticised Dunnes Stores’ announcement of a 3% pay increase, stating that it fails to keep pace with inflation, falls below trade union pay guidance, and does not address the wider issues facing Dunnes workers. The union was also highly critical of Dunnes Stores’ refusal to pay workers for maternity and paternity leave.

Workers across Ireland continue to experience significant cost-of-living pressures, with rising prices for essentials such as food, energy, housing and childcare placing ongoing strain on household budgets. Against this backdrop, the Irish Congress of Trade Unions (ICTU) has recommended private sector pay increases in the range of 4% to 7% to prevent workers from experiencing a real-terms cut in pay.

Mandate says Dunnes Stores’ decision to limit the increase to 3% leaves many workers worse off in real terms.

Commenting on the announcement, Eoin Coates, Divisional Organiser with Mandate Trade Union, said:

“A 3% pay increase is simply not good enough. It does not reflect the reality facing Dunnes workers. Inflation continues to erode wages, and this increase falls well below ICTU’s recommended pay range for the private sector. In real terms, many workers will be left worse off.”

Mandate also highlighted that the pay increase addresses only one element of a comprehensive Pay & Benefits Claim that was overwhelmingly endorsed by Dunnes workers. Key aspects of that claim remain completely unaddressed, including:

· Improved sick pay, including 8 weeks fully paid

· Paid maternity and paternity leave

· Retention of the staff discount upon retirement

A Dunnes worker, who asked not to be named, said:

“I work hard every week and I’m proud of my job, but a 3% pay increase doesn’t go far when everything else keeps going up. Rent, food and childcare all cost more. Many of us are struggling to make ends meet, and it’s frustrating to see the company ignore issues like paid maternity and paternity leave. Workers shouldn’t be penalised for starting a family or getting sick. We just want fair pay and basic supports that recognise the reality of our lives.”

Mr Coates added:

“Dunnes workers have been very clear about what they need. Pay is important, but so too are sick pay protections and family-friendly policies, which most of Dunnes’ competitors have already implemented. The continued refusal to introduce paid maternity and paternity leave shows a failure to support workers at critical points in their lives. Retail workers should not have to choose between their income and their family.”

The union also criticised the company’s ongoing failure to engage with Mandate on the wider claim, despite repeated correspondence and follow-up letters.

“Workers are frustrated by the lack of engagement from Dunnes Stores. They deserve clarity, respect and meaningful dialogue — not unilateral decisions that fall short of what is needed,” Mr Coates said.

Mandate has called on Dunnes Stores to engage with the union and to address the full Pay & Benefits Claim submitted on behalf of workers.