The living wage has been recalculated upwards to €12.90.
The hourly rate has been increased from €12.30, to reflect a higher cost of living.
However, the national minimum wage currently stands at €10.20.
The Living Wage Technical Group - made up of economists and representatives from unions and social justice charities - says the main driver of the increase is the soaring cost of rent.
Assistant Professor of Social Policy at UCD, Dr Micheál Collins, says the living wage should be seen as a "bench mark" for policy makers as they make social welfare decisions.
