Alan Landers says the increase will cost them an extra 4500 euro annually and Pobal – the agency that works with the Government to support communities and local agencies will not cover the increase.
Caherciveen Community Resource Centre employs a manager, one full time employee and 4 part time employees.
All of the employees except for the manger are on the minimum wage rate.
Mr Landers says they received a letter from Pobal at the end of November confirming that the community service programme funding contribution will not increase in 2016.
The letter also says the programme is not intended to represent full-funding for staff positions or any service delivered.
The letter advised that as all employers will be obliged to pay the minimum wage to employees from January 1st, 2016 financial plans will need to incorporate any additional costs necessary to implement the minimum wage requirement.
Mr. Landers says he fears for the future of Caherciveen Community Resource Centre: