Dáil Éireann Debate, Thursday - 18 April 2024
88. Deputy Aindrias Moynihan asked the Minister for Enterprise, Trade and Employment his views on the Assessment of the Cumulative Impact of Proposed Measures to Improve Working Condition in Ireland; his plans for implementing the recommendations of this assessment; and if he will make a statement on the matter. [17028/24]
View answerThe Government has advanced a range of measures to improve working conditions in Ireland, including the transition to a Living Wage, Auto-Enrolment Retirement Savings, Parent’s Leave and Benefit, Statutory Sick Pay, an Additional Public Holiday, the Living Wage, and Remote Working. These improvements will bring wider societal benefits and will serve to bring Ireland in line with other advanced economies.
In line with recommendation from the National Competitiveness and Productivity Council in its report Ireland’s Competitiveness Challenge 2022, my Department, in collaboration with the Department of Social Protection, published ‘An Assessment of the Cumulative Impact of Proposed Measures to Improve Working Conditions in Ireland’ on the 5th of March 2024.
I welcome the publication of this report which assesses the cost to employers, along with the significant benefits to employees, of the changes to working conditions progressed by Government in recent years. The various changes have been signalled in advance and were typically subject to a public consultation process prior to being adopted as public policy and are to be implemented on an incremental basis over a number of years. The paper also recognises that businesses may face rising costs, particularly in the short term. Reflecting the findings of this assessment, a range of measures are being brought forward to assist businesses in adjusting to these increased costs as well as more generally to improve cost competitiveness of firms.
These measures include making available up to €15 million to Local Enterprise Offices to enable a top up payment of up to €3,000 in the Energy Efficiency Grant for businesses in the hospitality and retail sectors bringing the grant up to €8,000; preparation of an options paper on the application of the lower 8.8% rate of Employer PRSI contribution; a range of measures to reduce red tape and the administrative burden on business, including: an enhanced SME Test; accelerating the roll out of a fully functioning National Enterprise Hub with staff available to provide immediate advice and support to vulnerable firms. This is in addition to a €257 million package for the Increased Cost of Business grant. Local authorities, funded through the Department of Enterprise, Trade and Employment (DETE), are managing the rollout of the grant to qualifying businesses, and have written out to rate paying businesses with details of how to register for the scheme and it is up to businesses to verify their details through an online portal. This scheme is designed to help SME’s.
This Government has adopted an active approach in supporting Irish businesses across multiple crises over the last number of years, including the introduction of unemployment supports during the COVID -19 pandemic, the provision of financial supports to firms facing the implications of Brexit, and more recently, through the period of increasing overhead costs. My Department is fully committed to supporting businesses and the measures included in Budget 2024 also reflect this.
