South Tipperary Independent TD Mattie McGrath has claimed that the Government’s proposals to shift responsibility for paying sick pay from the State to employers for the first four weeks of absence will have disastrous consequences in terms of job losses and job creation and has organised a public meeting to raise awareness of what’s really at stake if such proposals get the green light.
“Employers would have to pay the sick pay for the first four weeks of absence instead of the State, under the new proposed system, however a survey of Small and Medium Enterprises shows that 93% of SMEs expect job losses if the proposals are introduced while a survey by the Small Firms Association shows that 69% of small businesses stated that the proposals would restrict their future recruitment” said Deputy McGrath.
“A consultation process is currently underway with interested bodies, with a final decision likely before December’s Budget and it is important that all stakeholders are made aware of the possible consequences of such proposals. This will affect employers and employees alike as what’s at stake here are jobs and it is important the Department is made aware of the concerns before a final decision is made.” Continued McGrath
A Public Meeting on the matter will be held on Friday night, October 12 at 8pm in Cahir House Hotel. A range of guest speakers will be present on the night and will include Mark Fielding, Chief Executive of ISME (Irish Small and Medium Enterprises) and Senator Mary Ann O’Brien, Chairperson of Lily O’Brien’s Chocolates and others.
“This is a very important issue for all those employed in small and medium sized businesses as majority of these businesses are unlikely to be in a position to cover sick pay on top of paying the pay of a replacement as they continue to struggle through this recession. It is just not acceptable to continue to hit small businesses with increased costs and I would encourage all those concerned about such proposals to attend this meeting” concluded Deputy McGrath