The jobs minister Richard Bruton is ruling out any pay hikes, despite rents rising.
A new report from daft.ie shows renting a home in the capital is now averaging at almost €1,300.
That is a 14% hike in the past year with Cork and Galway up 6%, a 5% increase in Limerick and 1% rise in Waterford.
However, despite the rising costs Minister Bruton says there is not a case for people to be demanding pay increases.
Mr Bruton said: "There's no doubt in my mind that we need to avoid increases in our headline costs.
"Many businesses are still struggling trying to stay competitive, so it's far better if we can get money into people's pockets through taking less through taxation from them than to pressure for increases in some sectors that are still quite vulnerable."