Mr. Mark Fielding:

Deputy Peadar Tóibín said that if the Government pulled back and did not pay what might be called subsidies to employers, employers would have to pay more.

It is not a game that once the subsidies are taken away the employers would pay more. If the employers cannot pay more they go out of business, as we have seen in the past number of years.

In response to the question on the minimum wage rising and the unemployment level going up or down, it is all about perception. Deputy Calleary mentioned the increase in PRSI last year from 4.25% to 8.5%. That put a stop to new employment. The word on the street is that the minimum wage could increase by a euro, and that is putting a stop to people taking on staff. It is about the perception. As Mr. Coffey states, one can prove different things from the different statistics. At present, employers are worried and are saying that they do not know if they will take on an additional two or three people. The members of ISME are not talking about taking on hundreds but twos and threes in small shops and factories around the country. People are saying they will hold off to see what will happen. That is the present difficulty.