Further Focus on Government Related Cashflow Measures Essential
Chamber Welcomes Change of Course to Keep People WorkingSpeaking following the Government announcement of measures to introduce scaled funding of up to 70% of salaries, up to a maximum of €38,000 per year, Cork Chamber welcomed this crucial step.
“We have been advocating on behalf of members for a move to keep those who can work in work and this step is a positive directional shift for government that is aligned with business thinking. Our recent Chamber survey clearly shows a move from 50% to 60% of respondents predicting staff reductions, layoffs and reduced working hours in the medium term and this may help address the severity of measures taken.” said Chamber CEO Conor Healy.
“However, we have consistently spoken of the need for greater measures to ease the totality of cashflow. Cash flow measure such as VAT, PRSI, commercial rates, rent, mortgages and loan repayments all need to effectively be underwritten by government for a minimum of six months as three months will not be sufficient. For example, the current deferral of commercial rates is notionally helpful but does not go far enough.”
We must also commit now to medium term measures that will help build our recovery. We must keep the National Development Plan projects moving forward to ensure the construction sector remains ready for the challenges of housing and infrastructural delivery as the economy recovers. We cannot afford to let this sector falter like in the last downturn or we will compound societal and economic issues all the more.”
Audio of Conor Healy's comment here.