The Irish parliament, the Dail, has voted to cut the minimum wage in the Republic to 7.65 euros (£6.39).
The Financial Emergency Measures Bill will also reduce Irish government salaries and reduce the pensions of retired public servants.
The opposition parties rejected the government's proposal saying it was an attack on the poor, but the bill still got a majority of votes.
A number of stages still have to go through before the Bill becomes law.
Under the Bill, the Taoiseach's salary will be cut by 14,000 euros (£11,713) a year, while ministers will lose 10,000 euros (£8,366).
In the public service, pensions of more than 60,000 euros (£50,204) will be cut by 12%.