A new economic report warns that it is the working to lower-middle classes that are struggling more in Ireland - largely due to the country's unusually high incidence of low pay and weak labour protections.
The report, produced by TASC, the Think tank for Action on Social Change (in partnership with the Foundation for European Progressive Studies) underlines that a disproportionate share of national income accrues to richer groups and consequently a lower share to poorer groups.
The bottom 40% of the population receives 22% of national income, while the top 10% receives almost 25%.
The top 1% receives over 5% of the national income.
The report also finds that, while Government tax and social welfare transfers are essential in aiding struggling households, they also enable poor work practices to continue.
Meanwhile, the author of 'The State We Are In: Inequality in Ireland Today' said the issue of low pay must be tackled, if issues of inequality are to be resolved.
Dr Robert Sweeney said that 23% of the Irish workforce earn less than two thirds of the median hourly wage.
He said the phased introduction of a living wage, along with complimentary public policies to help reduce business costs would result in a better outcome for lower paid workers.
Speaking on RTÉ's Morning Ireland, Dr Sweeney said: "If we want to really reduce inequality in the future, what we really have to do is tackle low pay.
"We need to gradually move towards implementing a living wage. This should be complimented by complimentary public policies. This could include property costs, it could include other business costs and this would give employers more scope to improve wages at the bottom."
He said there should also be stronger protections for workers and added that the rise in inequality has coincided with a decline in trade union membership.
