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October 23rd, 2012 @ 12:19

Cost of Employment Must Not Be Increased by Government

Chambers Ireland has called on the Government not to increase the cost of employment in Budget 2013.

Speaking this morning, Ian Talbot, Chambers Ireland Chief Executive said, “With a high unemployment rate and the Government’s continued reiteration that employment is their number one priority, it seems strange that we have to fight to keep the cost of employment from being increased by Government. However, with continued kite-flying with regard to PRSI increases and sick pay, we have to do just that.”

In a survey conducted by Chambers Ireland, almost 90% of respondents felt that an increase in employers’ PRSI would have a negative impact on their business while just over 87% felt the same about transferring the cost of sick pay onto employers. Rather starkly, 26.7% said that an increase in employers’ PRSI would lead to job losses while an even greater 37.9% had the same concern about sick pay.

“The results of this survey are overwhelming. Any initiatives that raise the cost of employment will do nothing but increase the burden on business and hamper job creation. It is essential that the Government gives certainties on PRSI and sick pay now, rather than allow rumours to continue to damage business confidence over the next couple of months,” he concluded.

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