ISME, the Irish Small and Medium Enterprises Association has welcomed the latest employment figures but has warned the government that SMEs are being forced to take a cautious approach to hiring - due to labour cost uncertainty. The association reminded government that job growth will only come when SMEs know their costs.
Because of the cost uncertainty, job growth is slowing, with the seasonally adjusted Live Register figure decreasing by 2,200, leaving 330,000 people signing on the dole, ISME calims. Long-term claimants still account for 46.4% of the total.
ISME CEO, Mark Fielding commented on the figures, "Despite the positive exchequer figures, SMEs are still not seeing the benefits of the recovery as yet. The Government cannot simply sit and wait for SMEs to create new jobs, especially when they continue to promise wage increases.
"They must assist by cutting state-influenced costs, overhauling the social welfare system and making it profitable and worthwhile for people to work, through the taxation system".