Minimum Wage reversal?

Enda Kenny has announced today that the government would reverse the reduction of the minimum wage and would bring it back up to EUR 8.56 by the summer.
I am surprised about that! Sure, 1 Euro per hour amounts to EUR 40 per week or EUR 160 per month and if someone is on minimum wage then this is a fairly significant amount, but there have been reductions in a number of other prices and cost, so I guess the minimum wage wouldn’t HAVE to go up the full amount!?

Restaurants are now saying that they can only accept the reversal if other workplace agreements will change, but aren’t rent and rates the biggest problem for restaurants? It can’t be that the 1 Euro per hour will kill the business!