Seanad debates

Thursday, 9 July 2020

Microenterprise Loan Fund (Amendment) Bill 2020: Second Stage

 

10:30 am

Photo of Mary Seery KearneyMary Seery Kearney (Fine Gael) | Oireachtas source

I welcome the Minister of State, though it seems bizarre to welcome him to our Chamber when we are in his. It is a wonderful and awe-inspiring surrounding. I welcome this legislation. As so many of us have said today, small businesses are significant contributors to employment across our country. As the Minister of State noted, they account for over 99% of the total enterprises and 69% of persons engaged. They make a significant contribution to our economy and to the employment of people of all ages. However, microenterprises with fewer than ten employees or with a small turnover are the small businesses in our rows of shops, our local estates and communities. They are in our small villages, even those within the city and suburbs of Dublin city, such as Templeogue, Drimnagh and Crumlin. It is in such villages that these microenterprises are located. They have been recognised as particularly agile in their responsiveness to market changes and their service offering. Particularly during the pandemic, these companies pivoted from their usual goods and services provision to adapt to allow for an online offering and to deliver to different markets. Companies are suddenly doing home deliveries that never contemplated them before. However, the pandemic also brought about a sudden and dramatic halt to business that none of us could have anticipated earlier this year.This could have had a chilling effect on risk taking and the entrepreneurial spirit. Expanding the microenterprise fund is a very positive commitment and a confidence building measure by the Government to promote and assist businesses as they take risks. I am a small business owner and over the past 12 weeks I have consulted and supported many businesses, particularly in the constituency of Dublin South-Central, as they work to keep afloat and keep in contact with their employees. They repeatedly stressed their need to access funding. Given their size it is onerous and they need to procure funding supports.

As the Minister of State has invited feedback, I bring to his attention that at the end of February, some founders of small businesses anticipating there may be a cash flow issue coming down the tracks sought to forgo their own salaries. The consequence was that this put them outside the criteria for accessing the temporary wage subsidy. The very people who sacrificed to keep their employees engaged are now without the benefit of the subsidy. Will the Minister of State examine this? This has come to me from a couple of businesses.

I certainly concur with Senator D'Arcy and other Senators that we need to extend the temporary wage subsidy scheme. I ask for a lengthy extension and permanence for the rates waiver for small and medium enterprises.

I am sure we all know that the cost of doing business now is very different. Not only do we have to anticipate the best and worst case scenarios of doing business but there is the implied cost of the provision of health and safety for customers and employees. This will change the projected balance sheets when applications are made for the fund. I ask that this be considered and the adjustment is made. The normal anticipated profit and loss and expenses are different now and I ask that this be catered for and considered.

The Minister of State has responsibility for all things employment and we have the welcome return of the Workplace Relations Commission. A number of inspectors from the Workplace Relations Commission were deployed to the Health and Safety Authority to ensure Covid-19 compliance in employment and I invite a comment from the Minister of State on how we will get the inspectorate back and still keep the balance between the two. One way to do this is to highlight and promote the whistleblowing legislation.

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