The Government has announced increased funding for home carers provided by the State.
Minister for Health Stephen Donnelly said the extra money - which will see carers paid at least the National Living Wage of €13.10 per hour - will "help address some of the key issues impacting recruitment and retention in the sector".
The move also sees travel time included for the first time.
State-funded home support is provided directly by the HSE and other providers in the private, community and voluntary sectors.
Mr Donnelly said: "The new higher rates will advance significant sectoral reform, and will, for the first time, incorporate travel time for home support providers, reform legacy rates, and ensure carers are paid the National Living Wage at a minimum.
"This promises to help maintain the high volumes of service delivery and to reduce waiting times for home support."
In 2023 the overall home care budget is €723 million, the Department of Health said.
'Shrinkflation'
Alone, a charity which supports older people to age at home, welcomed the increased rate of pay.
However it also said that older people should not see their care hours cut.
It was responding to a reduction in Department of Health targets in the National Service Plan 2023 for the provision of 23.9 million hours of home support, to a revised target of 22 million hours.
Alone said this is a form of shrinkflation being introduced by the Minister for Health at a time when older people are crying out for more home care hours.
"The least that home support workers should expect is to be paid the national living wage, and to be reimbursed for the time they spend travelling," said Alone CEO Seán Moynihan.
"Home support workers provide vital support to older people and people with disabilities.
"They must be properly paid to make this significant difference in people's quality of life and well-being.
"However, the decision to cut the target for delivery of home support hours at the same time is a cynical move.
"Home support saves the Government money by keeping people well and safe at home for longer.
"The reduction in hours will result in 'care cramming’, whereby necessary care will be rushed or not provided."
The chief executive of Home and Community Care Ireland said that there are no guarantees in the new funding plan as to whether in a situation that the living wage rises, home carers will still be paid at that rate.
Speaking on RTÉ's Morning Ireland, Joseph Musgrave described the move as "two steps forward and one step back".
"One of the big problems with just paying travel time.. is that the mileage isn't paid which is a direct hit to rural Ireland where the distances are longer and the waiting lists are higher".
"Right now it's a patchwork, some parts of the country will pay the mileage sometimes the care company pays it sometimes, the carer has to pay it," he said.
He pointed out that at the moment there are no guarantees when it comes to Budget allowances for 2024.
"We hope in the Budget that they do increase the funding in order to rectify some of the problems," he said.
He added that fewer hours would be delivered by carers if this did not happen.