Written answers

Tuesday, 2 October 2012

Department of Jobs, Enterprise and Innovation

Retail Sector

Photo of Éamon Ó CuívÉamon Ó Cuív (Galway West, Fianna Fail)
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To ask the Minister for Jobs, Enterprise and Innovation the measures he has taken to help the retail industry here; if he will consider the establishment of a separate unit in his Department to deal with and coordinate the challenges facing the retail sector; if he will consider introducing a new strategy for supporting existing and new jobs in the retail sector; and if he will make a statement on the matter. [41654/12]

Photo of Dessie EllisDessie Ellis (Dublin North West, Sinn Fein)
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To ask the Minister for Jobs, Enterprise and Innovation in view of the continued concerns regarding employment in the retail sector, the steps or proposals that are under active consideration by him to address the issue of rigid costs. [41613/12]

Photo of Richard BrutonRichard Bruton (Dublin North Central, Fine Gael)
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I propose to take Questions Nos. 64 and 81 together.

The Government recognises the importance of the retail sector to the economy. It is employment-intensive and covers every community in the country. Combined with wholesale, the sector employs 258,000 people in Ireland – that is almost 15% of our total workforce. Recognising its importance to the economy, the Action Plan for Jobs includes a number of specific measures aimed at supporting employment in the retail sector in 2012. These actions are for delivery across a number of Departments and agencies and include a renewed focus on prompt payments, an assessment of the potential for future development of the retail sector, the introduction of a statutory code of practice for grocery goods undertakings and the provision of support to retail firms seeking to internationalise. Other more general measures in the Action Plan which will also help to support employment in the retail sector include improved access to finance for businesses, the enactment of legislation to reform the statutory wage setting mechanisms and the acceleration of the programme of revaluation of commercial premises, which will provide a basis for the adjustment in commercial rates. Other initiatives which the Government introduced as part of the Jobs Initiative in May of last year will also continue to help support employment in the retail sector. These include the halving of employer’s PRSI on earnings up to €356 per week and the reduction in the 13.5% VAT rate to 9% on certain goods and services. I regularly meet representatives of the retail sector to hear about the challenges they face, including in relation to the costs of doing business. My officials have also held separate discussions with retail representatives. These engagements will assist us in implementing the commitments in the Action Plan for Jobs and in identifying any further actions that can be taken to support the retail sector.

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