Seanad debates

Tuesday, 21 February 2012

2:30 pm

Photo of Mary Ann O'BrienMary Ann O'Brien (Independent)

I rise this afternoon with mixed feelings to agree with Senator Bradford and previous speakers. On the one hand I compliment the Government on the successful hosting of the Chinese Vice President. I hope the visit will result in increased trade between this country and China. Also on the jobs front we hear that it is likely that PayPal will announce 1,000 new jobs in Blanchardstown in the coming days, which is very welcome news, once again proving that international companies still see us an attractive place to do business and expand their operations. It means the efforts of the Government and State agencies to create jobs are being recognised.

However, it was to my utter dismay yesterday that I learned the Minister for Social Protection is determined to introduce changes to the sick pay scheme. This was originally mooted in advance of December's budget but was not included in the budget. Thank God, said I. At that time I expressed my strong opposition to the measure and my position remains exactly the same. Transferring the burden of the first month of sick pay to the employer rather than the State picking up the tab will result in job losses, especially among small indigenous businesses who are already struggling with commercial rates - to name only one cost which is pressing business owners to the edge of the collar at present.

I am not opposed to the change for the sake of being populist, nor am I foolish enough to believe that reforms are not required in this area. I can appreciate the Minister's point on larger companies in this country that run good sick pay schemes to the benefit of their employees already, as they can see the benefit to the company in the long term of having a healthy and happy workforce. However, such schemes do not exist in smaller businesses for one reason, and one reason only; they are simply unaffordable. If the Minister presses ahead and introduces these changes in next year's budget it will inevitably result in jobs being shed in small companies dotted around the country, as this additional cost will be the straw that breaks the camel's back. I seek that the House would discuss the proposed changes as a matter of urgency to ensure that whatever reforms to sick pay are introduced are equally beneficial to business owners, employees and the State alike.

Comments

No comments

Log in or join to post a public comment.