A new SME initiative in Ireland is calling for immediate and essential reform in the key areas of the national minimum wage and taxation, as well as recognition for SMEs and employer representation at the Labour Employer Economic Forum (LEEF) and on the Low Pay Commission.
SME Alliance includes a number of organisations, such as Isme, the Hair and Beauty Industry Confederation (Habic), the Irish Hairdressers Federation (IHF), Retail Excellence Ireland and the Restaurants Association of Ireland.
It is calling for a range of measures to be introduced by the Government as it warned that businesses have been decimated by a number of factors, including rising costs.
It wants change around the calculation of the minimum wage to reflect the fact that 48% of the workforce are employed by the public service or multinationals with higher salaries; the 8.8% rate of PRSI applied to the entirety of the National Minimum Wage; and the standard 23% VAT rate reduced to its historical 21% rate.
It also said the food service and grooming sectors require the permanent establishment of a 9% VAT rate.
“The retail industry has been decimated by several rising costs, including the minimum wage, statutory sick pay, insurance premiums and general inflation, and are dealing with ever-increasing instances of crime and anti-social behaviour,” said Jean McCabe, CEO of Retail Excellence Ireland.
“Every week we are seeing shops go out of business and people losing their jobs. We are not in a recessionary environment, so the onus is on the Government to give the industry the support it needs to navigate this particularly difficult time.”