New-employee PRSI rate halved, minimum wage cut reversed from July 1

Finance Minister Michael Noonan has announced a halving in the lower rate of PRSI for new employees until the end of 2013 on jobs that pay up to €365 per week.

The measure, which the Minister said was intended to "ease the cost on employers of taking on new employees" will take effect on July 1.

The minimum wage will also be restored to its former level of €8.65 on July 1. That will require new legislation, which is being prepared by Social Protection Minister Joan Burton.

The existing jobs PRSI incentives scheme will remain in place until the end of this year.