Trade unions have criticised Taoiseach Simon Harris’s recent package of support for small and medium-sized businesses, stating that it unjustly burdens the lowest-paid, sick, immigrant, and retired employees. Their comments were made in response to the Government’s decision last week to financially scrutinise any further sick pay rights for small businesses and halt the move towards a minimum living wage.
In a meeting before a Dáil debate on the new business assistance plan, the Irish Congress of Trade Unions’ (ICTU) executive council was outspoken in their disapproval of the Government endorsing these steps. According to the ICTU, the collection of “anti-worker policies” are not defensible, given the country’s currently thriving economy and almost fully employed workforce. It noted that employment growth in the hospitality and retail sectors is outpacing the average for all sectors.
While acknowledging some restaurant closures, the ICTU argued that such turnover is typical in the hospitality industry, regardless of the economic climate. Both closures and openings in the industry tend to be above average, signaling an environment naturally characterised by frequent change. This context should be considered when discussing individual cases of businesses shutting down, the ICTU argued.
The trade unions maintained that they have always recognised specific industry challenges and agreed that vulnerable but viable businesses should receive support. However, they argued that assistance should be aimed, temporary, and approved through dialogue with both trade unions and business advocates. They stated that workers should not be left to shoulder the cost.
The ICTU pointed out that the package was skewed in its favour of business groups and seemed to be a political move before upcoming elections. They warned that any attempts to undo prior commitments to improve wage minimums and income security would harm vulnerable workers while benefiting all businesses, not just those in difficulty.
The union warned that the proposed cessation or slowing down of sick pay provision would benefit every business owner in the country, irrespective of their prospering or struggling status. It would disadvantage half of the private sector workforce, equating to over a million employees, who currently have no sick pay entitlement.