IBEC: Any new costs for business will cost jobs

IBEC has warned the Government that any hike in costs to employers in Budget 2013 will force more companies out of business.

The warning comes as a survey carried out by the group found that businesses are still in fear of the introduction of a statutory sick pay scheme, which would see the cost of sick leave passed from the Government to employers.

Brendan McGinty of IBEC said such a move would hinder growth.

"(The changes to sick pay) would simply be an extra tax on employment, at a time when jobs should be the priority," he said. "We really are urging government not to go there...and do everything in its power to reduce costs."