Employer PRSI ‘change will ‘support local jobs in Longford-Westmeath’

Longford TD Micheál Carrigy has said changes to PRSI will help business owners in Longford-Westmeath to manage costs.

Deputy Carrigy said a new measure in the Social Welfare Bill will raise the weekly threshold for the lower rate of employer PRSI from €552 to €600.

“The minimum wage is due to rise in January, putting more money in workers’ pockets. Raising the PRSI threshold alongside it will help employers manage the cost of that increase.

“For a small business in Longford-Westmeath, the cost of offering someone more hours or taking on another member of staff matters. This is a practical step that supports higher pay while helping local businesses sustain jobs,” he added.

Deputy Carrigy said Budget 2027 provided significant support in terms of reduction in personal tax, as well as a 5.6% increase in the minimum wage, which next year will now be €14.94 an hour.

“A full-time worker on the new minimum wage will earn roughly €582.66 per week, and changes to employers PRSI mean that employers continue paying the lower 9.15% rate instead of jumping to the higher 11.40% rate, reducing the tax liability on small employers up and down the country.

“Small and medium sized businesses in places like Longford-Westmeath provide 90% of total employment across the country, and Fine Gael continues to support them to provide these vital jobs in our local economies,” he added.

Deputy Carrigy said Fine Gael understands the cost of doing business has increased, and the recent Cost of Business Advisory Forum report made a number of recommendations in this regard.

He stated to support small businesses and prioritise job creation and retention in future years, the Government has agreed to annual the 2029 timelines for the progression to a living wage.

Deputy Carrigy said recognising the scale of recent increases in the National Minimum Wage, the geopolitical volatility and economic uncertainty for business, it is important to continue to support business viability, while also ensuring that those on the minimum wage get annual wage growth in line with inflation at a minimum.