Employer Job (PRSI) Incentive Scheme
If an employer hires a new
employee during 2010 and that employee meets the qualifying criteria, then the employer
will not have to pay employers PRSI in respect of that employee for one year.
The rate of employers PRSI is either 8.5% or 10.75% of the employee’s gross
pay. The scheme can cover employees already hired since the start of 2010 as
well as any hired before the end of 2010.
The main criteria are that the
job must be a new position of at least 30 hours work per week, that the new
employee must have been in receipt of social welfare payments for at least 6
months or in a FAS work placement programme for 3 months and that the new job
must be for at least 6 months. However, each application must first be approved
by the Department of Social Protection before the scheme can be applied. You
will need to complete a PRSI 20 form
and send it with a current tax clearance cert to the Department of Social
Protection (address on form).
There is a limit to the number
of new employees an employer can hire – 5% of existing workforce or, for
smaller businesses, maximum of 5 jobs.
Full details of the scheme can
be found on the Department of Social Protection’s website.