Alternattiva Demokratika has urged the government to show more sensitivity towards the hardships experienced by thousands of people living in poverty.

The minimum wage has never been revised since it was first introduced 40 years ago

The Green Party welcomed the report by Caritas calling for an increase in the minimum wage, saying this was one of the party’s budget proposals. Last week Caritas, a Church organisation providing social services, reiterated its appeal for the minimum wage to rise to €180 weekly from €158.

The organisation backed up the call with the findings of a year-long study, A Minimum Budget For A Decent Living, drawn up by a team of experts. They focused on three low-income household categories and established a minimum budget for a decent living based on a basket of essential items: food, clothing, personal care, health, household goods and maintenance, education and leisure, transport and housing.

The researchers found that the minimum essential budget required for a household of two adults and two children to have a decent life amounted to €10,634 per year.

A single parent household with two children needs a minimum yearly budget of €8,581.

An elderly couple would need €6,328.

AD social policy spokesman Angele Deguara said: “The recent proposal made by Caritas... confirms that our recommendations for a revision of the minimum wage are essential.

“The minimum wage has never been revised since it was first introduced 40 years ago.

“It is only increased on the basis of the cost-of-living-adjustments which take place in every budget and which affect all wages.”

Party chairman Michael Briguglio said if the increase in minimum wage was coupled with an increase in productivity, “it would not only improve workers’ standard of living but would not have inflationary effects on the economy”.

Caritas director Mgr Victor Grech had suggested raising the minimum wage two years ago but his proposal was greeted with apprehension.

The Chamber of Commerce, Enterprise and Industry warned that such a course of action would threaten competitiveness.