IBEC: Budget must not increase cost of employing people

Employers group IBEC is today urging the Government not to introduce any measures in the Budget which would increase the cost of doing business.

The group says increasing PRSI or pushing sick-pay costs onto employers would cost jobs and ultimately result in net losses to the Exchequer.

Finance Minister Michael Noonan delivers his Budget speech today, and is set to outline the cost of the new property tax to be introduced in six months time, along with a raft of other new charges and cuts.

"We would hope that Government can do this Budget without making it more difficult for companies to hire people," said IBEC chief economist Fergal O'Brien.

"It's going to be a tough Budget from an economic perspective, it will not be the most difficult Budget we've had, it is about half as difficult, at about 2% of the economy as opposed to 4% of the economy in previous Budgets."