Seanad debates

Tuesday, 2 July 2024

Social Welfare (Miscellaneous Provisions) Bill 2024: Second Stage

 

1:00 pm

Photo of Paddy BurkePaddy Burke (Fine Gael) | Oireachtas source

I welcome the Minister back to the House. I also welcome this very important legislation. As the Minister indicated, it will be important going forward because it is a foundation stone in the context of pay-related benefit. She said it all when she said that it will establish the principle of pay-related benefit in this country. As she also stated, this can lead developments in areas such as maternity benefit and many more. There could probably be paternity benefits as well as other benefits that are not being paid at the moment in cases where a great deal of pressure is being placed on employees and employers because staff have to leave or go out sick for some other reason. As was the case last week when another very important Bill was brought before the House and passed, I welcome the Minister and this Bill.

In passing this Bill, the House will lay a foundation stone, which will be important for the future. We have seen over the years, especially during the financial crash, how businesspeople and employees and got nothing when they lost their jobs. They were not entitled to anything. I know several small businesspeople who lost their jobs through no fault of their own, but the banks put pressure on them. Builders folded and loans were called in. They had no place to turn. They got nothing from the Department of Social Protection. The Society of St. Vincent de Paul played a very important role during those years. This legislation will put all of that to bed. It puts in place a mechanism for employees and, I hope, small businesses will be covered as well. The Minister indicated that self-employed people are not covered under the Bill, but I am sure we could bring that in for them, because they are also very vulnerable, particularly at the moment.

The Minister spoke of the extra pressures and costs that are being put on small businesses. When she goes to the Cabinet before the budget, I ask her seek a reduction to 9% in the VAT rate for food. Accommodation and food should be separated. Recently, I met a guy who is in the restaurant business and who employs 20 people. Ten of the 20 people have taken five of their six sick days already. That is a month's wages. That is an extra cost this year for that employer. It was not there last year, so many extra costs have been put on people over the past couple of years. Many extra costs have been put on businesses. They will feel the pressure of this, but it is all for the good. It is all for the protection of the employee, which is only right and proper. As the Minister stated, it is a small increase in PRSI that will pay for other things in the years ahead.

As stated, this important Bill lays the foundation stone for pay-related benefit going forward. As the Minister stated, this will lead to other benefits being paid. It would be great for employees to know that if they get sick, if they are on maternity leave, or whatever, that, going forward, there will be a benefit they can get. They will not have to go to the credit union to get a loan because of sickness, maternity leave, etc., or because there is a shortage in the household as a result of the fact that they are out of work for a period. This is very welcome.

I welcome the Bill and wish the Minister well with it. Maybe we can query some of the payments with her. Details on the payments are well set out, but maybe we can explore them more on Committee Stage.

Comments

No comments

Log in or join to post a public comment.