Co-operative seeks government approval for employment grant plan

SMALL rural firms may gain access to an employment grant that would support 200 jobs, if the Government approves a proposal by farm services co-operative group FRS Network.

Minister for Small Business John Perry welcomed FRS Network’s three-year proposal, the social benefits of which included taking people off the live register, along with gains in PRSI, PAYE and VAT.

FRS Network chief executive Peter Byrne said: “The proposal to the state is a very logical one in the present climate and will encourage more people off the dole and into the workforce.

“It will allow small business to get hiring again and re-build their businesses.”

FRS proposes that the Government awards an employment grant to SMEs over a three-year period on a declining scale for any additional staff employed. The cost to the exchequer would be less than paying unemployment benefit over the three years.

Mr Perry said: “A comprehensive Jobs Strategy is being prepared in the department, which will provide an action plan to support the creation of employment in the economy.

“It is only by creating the right environment for businesses to expand that we will see new jobs coming on-stream. FRS’s proposal will be considered in the context of that strategy.”