Pre Budget 2011

IHF objects to Government proposal to pass on sick pay costs

The IHF strongly objects to the Governments proposal to pass on sick pay costs. Such proposals will put small businesses at competitive disadvantage –these additional labour costs will result in job losses and give no incentive to create jobs. Employers and employees already contribute significantly to the social welfare bill through PRSI
payments.

This is another tax on employment which a business must pay regardless of how their business is performing.

Example from Small Firms Association:

“Despite the Minister’s comments that we are out of line internationally on sick pay, this is simply not true. I operate a business in our nearest competitor market, Northern Ireland, as well as here in Ireland, and the cost base is significantly less there. Whilst employers do make the initial sick pay payment, they are able to offset this against their PAYE tax bill later. In addition, it has less of an immediate cashflow implication as the payment is just £81.60
for 28 weeks there compared to €188 a week for 2 years here”, commented Mr Martin.

Government’s Action Plan for Jobs

The IHF welcomes the Governments announcement in November to publish an
Action Plan for jobs. Very importantly they have confirmed that the promised loan guarantee scheme for SME’s and micro-finance fund will be established in the first quarter of 2012. It is important that the loan guarantee scheme will be open to business in all sectors and give small indigenous businesses the support they so badly need to survive.

In this budget the Government must regain confidence among consumers and encourage additional spending. At all costs it must not damage job creation efforts. If their No 1 priority is job creation then implementing additional taxes on the employer will have a catastrophic effect
on the growth of businesses and their potential to general jobs. Businesses are on the margin trying to maintain cashflow and survive. The 200,000 small businesses in this country, employing 655,000 people are crucial to our economic growth.

IHF Initiative – this notice will be circulated to IHF members encouraging them to put this into their local newspaper – so the same message is being spread around
the country.

 SUPPORT YOUR

LOCAL IHF REGISTERED

HAIRDRESSER

 YOUR LOCAL SALON:

Provides a professional service.

Has fully trained stylists.

Employs staff in the community.

Pays wages, rent, rates & taxes.

Is properly insured.

Grows the economy.

We value your business, now more than ever.

Please support your local IHF registered
salon.

Small Business Saturday – 3rd December

The SFA has called for this Saturday, 3^rd December to be “Small Business Saturday”. We are urging all sections of Irish society to make a special effort to buy from small Irish businesses on this day, which for many is the start of the Christmas shopping season. If everyone spends just €10 extra on Irish products, the result will be an extra €30million nationally.
This would have a significant impact on small businesses and on jobs.

Please spread the word and support this initiative.