ERO Childcare Ireland 2026: New Wage Rates and What Employers Must Do

  Employment Regulation Orders for childcare Ireland 2026 are among the most significant workforce developments in the Irish early years sector in years. The most recent ERO for the Early Learning and Childcare sector, given statutory effect on 13 October 2025, introduced new minimum wage rates for approximately 33,000 educators and practitioners working across the country. For early years employers, understanding these rates, the obligations they create, and the funding available to support compliance is now essential. This guide explains what an Employment Regulation Order is, what the new rates mean for your service, what you are legally required to do as an employer, how the Staff Funding Additional Contribution through Core Funding supports these increased wage costs, and what happens if your service does not comply.

What Is an Employment Regulation Order?

An Employment Regulation Order, or ERO, is a legally binding instrument that sets minimum rates of pay and conditions of employment for workers in a specific sector. EROs are drawn up by a Joint Labour Committee, known as a JLC, which is a body established under the Industrial Relations Acts to provide a formal mechanism for fixing statutory minimum pay in sectors where collective bargaining is not well established. The Early Years and School-Age Childcare sector has its own JLC, established in June 2021. The JLC is made up of six employer representatives and six employee representatives, along with a chairperson. SIPTU is the principal trade union representing workers at the JLC. Employer organisations including Early Childhood Ireland and Childcare Ireland represent service providers. Once the JLC agrees on new rates, the proposals go to the Labour Court for adoption. If adopted, they are forwarded to the Minister for Enterprise, Tourism and Employment to be signed and given statutory effect. Once an ERO is signed by the Minister, compliance is mandatory for all employers of workers covered by the order. Non-compliance can be reported to the Workplace Relations Commission.

The New ERO Wage Rates in Effect from 13 October 2025

The ERO signed by Minister of State Alan Dillon on 3 October 2025 and effective from 13 October 2025 set the following new minimum hourly wage rates for the sector:  
Role Previous Minimum Rate New Minimum Rate from 13 Oct 2025
Early Years Educator and School-Age Childcare Practitioner €13.00 per hour €15.00 per hour
Lead Educator and School-Age Childcare Coordinator €14.00 per hour €16.50 per hour
Deputy or Assistant Manager Rate specified in ERO Updated rate in ERO
Graduate Centre Manager (Level 7 or 8) €17.25 per hour €18.11 per hour
  The basic rate for Early Years Educators of €15.00 per hour is €0.85 above the national minimum wage that applied from 1 January 2025. The ERO therefore sets a rate above the national minimum wage for all covered workers, reflecting the Government’s commitment to professionalising the sector and improving pay and conditions to support recruitment and retention. It is important to note that these are minimum rates. If you are already paying staff above these rates, those existing agreements are not affected by the ERO. The ERO does not impact contracts or agreements that already provide equal to or better than what is set in the order. If you have staff on rates below the new minimums, you are legally required to bring them up to at least the ERO rate immediately from 13 October 2025. Note: A small number of childcare operators initiated a judicial review of aspects of the October 2025 ERO in the High Court in early 2026, particularly challenging whether the process followed the correct legal procedures. This case was at an early stage at the time of publication. Providers should monitor updates through Early Childhood Ireland, Childcare Ireland and the Workplace Relations Commission for any developments.

What Employers Are Legally Required to Do

As an employer in the early years sector, the following obligations apply once an ERO is in effect:  
  • Pay all covered staff at least the minimum hourly rates set out in the ERO from the effective date
  • Display a notice in your workplace explaining the terms of the ERO in a place where all staff can see it
  • Keep accurate records of wages, working hours, and payments for all staff covered by the ERO
  • Retain those records for a minimum of three years
  • Ensure that any new employment contracts issued from the effective date reflect at least the ERO minimum rates
  • Do not offer or agree to conditions that are less favourable than those set out in the ERO
  Failure to comply with an ERO can be reported to the Workplace Relations Commission. Inspectors from the WRC can visit your service, audit your payroll records, and issue compliance notices or sanctions where non-compliance is found. The WRC contact number for information and employer queries is 0818 80 80 90.

The Staff Funding Additional Contribution: How It Supports ERO Compliance

Recognising that the new ERO rates represent a significant increase in staff costs for many providers, the Government ring-fenced up to €45 million in additional funding within Core Funding for the 2025/2026 programme year specifically to help Partner Services meet these increased wage costs. This funding is delivered through a new element of the Core Funding grant called the Staff Funding Additional Contribution. The Staff Funding Additional Contribution is paid at a rate of up to €1.14 per staff hour. It is ring-fenced exclusively for staff pay and conditions and cannot be used for any other purpose. The contribution is allocated on the basis of the staffed hours included in your Core Funding application and is paid monthly along with your Core Funding base rate payment. To receive the Staff Funding Additional Contribution, Partner Services were required to submit an Application Change on the Early Years Hive between 13 and 19 October 2025, entering the Change Effective Date of 13 October 2025. Services that did not complete this Application Change within the required window will have had a later effective date applied and may have received a lower total contribution as a result. The Staff Funding Additional Contribution is restricted to Core Funding Partner Services. Services that are not in Core Funding are not eligible for this element of funding, which is a further reason why participation in Core Funding matters for employer sustainability.

How to Update Staff Contracts and Payroll

When new ERO rates come into effect, you should take the following steps to ensure your service is fully compliant:  
  • Review the current hourly rate of every staff member covered by the ERO against the new minimum rates
  • Identify any staff members whose current rate falls below the new minimum and notify them in writing of the increase
  • Update your payroll system to reflect the new rates from the effective date
  • Issue updated contract letters or contract amendments to any staff members whose rates have changed
  • Display the ERO notice in your setting in a visible location accessible to all staff
  • Update your payroll records to ensure they accurately reflect the new rates and retain them for three years
  • If you are unsure which ERO rate applies to a specific staff member, refer to the role definitions in the ERO document available on workplacerelations.ie
  If you need support with understanding your obligations under the ERO, your local City or County Childcare Committee and Early Childhood Ireland both provide employer guidance. The Workplace Relations Commission also provides free employer information through its advisory service.

The Pay Parity Debate and What It Means for 2026

While the October 2025 ERO represents the most significant pay increase for early years workers in the history of the sector, debate about pay parity with primary school teachers continues. Early Childhood Ireland has called on the Government to bring graduate early years educators under public sector pay and conditions equivalent to infant school teachers, given that both roles require equivalent graduate-level qualifications and both support children’s learning and development during the most critical period of their lives. The Programme for Government commits to continued improvements in pay and conditions through the ERO process and through Core Funding. A further review of ERO rates by the Joint Labour Committee is expected during the lifetime of the current Government. Providers should monitor announcements from the Department of Enterprise, Tourism and Employment and from the Department of Children, Disability and Equality for updates on future ERO reviews.

Frequently Asked Questions About EROs in Early Years Ireland

Which staff members are covered by the early years ERO?

The ERO covers Early Years Educators, School-Age Childcare Practitioners, Lead Educators, School-Age Childcare Coordinators, Deputy and Assistant Managers, and Graduate Centre Managers who work in Tusla-registered early learning and care services and school-age childcare services. Ancillary staff such as cleaners, cooks and administrative staff are not covered by the early years ERO but are subject to the national minimum wage and other applicable employment law.

Can I pay a staff member less than the ERO rate if they agree to it?

No. ERO rates are statutory minimum rates and cannot be waived or reduced by agreement between the employer and the employee. An employment contract or agreement that sets a rate below the ERO minimum is not legally enforceable to the extent it falls below that minimum. Any staff member paid below the ERO rate is entitled to the difference and can report the shortfall to the Workplace Relations Commission.

What if I cannot afford to pay the ERO rates?

If the ERO rates create a genuine sustainability risk for your service, there are several avenues available. First, ensure you have submitted your Core Funding Application Change to access the Staff Funding Additional Contribution. Second, contact your local City or County Childcare Committee to discuss your financial position. Third, if the Core Funding fee cap is also contributing to your financial pressure, you can apply for a fee increase review through the Department's case management process. Fourth, contact Early Childhood Ireland or Childcare Ireland for employer representation and support.

How do I find out the exact ERO rates that apply to each role in my service?

The full ERO document setting out the rates and role definitions for the Early Years and School-Age Childcare sector is available on the Workplace Relations Commission website at workplacerelations.ie. The reference number for the most recent order is S.I. No. 478 of 2025. Your local CCC and Early Childhood Ireland also publish clear explainer documents on ERO rates in plain language.

Does the ERO apply to part-time staff and students on placement?

Yes, the ERO applies to all employees covered by the order regardless of whether they work full-time or part-time. The minimum rates are hourly rates and apply to every hour worked. Students on paid work placements who are engaged as employees also fall within the ERO provisions if they are performing a role covered by the order. Unpaid student placements are not covered by the ERO as there is no employment relationship, but they are still subject to Garda Vetting requirements.

Final Thoughts

The Employment Regulation Orders for the early years sector represent a genuine and long-overdue improvement in the pay and conditions of some of the most important workers in Irish society. For employers, meeting the ERO obligations requires action on payroll, contracts and record-keeping, but the Staff Funding Additional Contribution through Core Funding is specifically designed to help offset these increased costs.

Stay informed about future ERO reviews, ensure your payroll and contracts are fully compliant with the current rates, and use the supports available through your CCC, Early Childhood Ireland and the Workplace Relations Commission to navigate any challenges.