Fine Gael Limerick TD, Patrick O’Donovan, has this evening (Wednesday) called for the urgent need for the introduction of changes to the social welfare code that will allow for provision of social insurance cover for self-employed persons.
Speaking in Dáil Eireann, Deputy O’Donovan called for the publication of the report of the Commission to examine entitlements of the self-employed which was established in 2011.
“Access to supports for self-employed people who have a lack of employment is a huge issue which confronts me on a regular basis in my constituency. The construction and retail sector account for the largest drops in the numbers of self-employed people who are no longer able to make a living. I believe that there are issues that prevent them from accessing training and community employment places.
“It is important to point out that the self-employed not only pay PRSI for themselves, but for their employees. While I understand the reasons for the current classification of PRSI, it is clear that reform is needed. The pre-budget submission of the Small Firms Association suggested that changes to PRSI resulting in increased payments needed to be introduced on a purely voluntary basis, so that people could at least make the choice to opt in if they wished that would take account of not only their role as an employer but also their position as an employee. I believe that this needs to be given consideration.
“A large proportion of those currently leaving the country are self-employed people who have not been able to provide for themselves. Many of them worked in the construction sector. From my dealings with charities and individuals in my constituency, it is clear that the title “new poor” being attributed to certain elements of the self-employed is an accurate assessment.
“It is clear from all reports on the economic collapse and from commentary from a range of sectors and interest groups that the domestic economy will only begin to improve when local economic activity increases.
“For that to happen, we need to provide the risk-takers in our communities with some form of a safety net that gives them the security that there are State supports available to them if they do fall on hard times.”