Alarming High Levels of Redundancy in 2004

5 Aug 2005

The second highest number of redundancies since 1984 occurred last year. The latest figures from the Department of Enterprise, Trade and Employment (DETE) show that 24,696 redundancies occurred in 2004, a difference of just over 900 between 2003, which had the highest amount of redundancies in the last 20 years. These figures have arisen from a change in the way the Department compile their redundancy statistics.

‘It is important to recognise that the redundancy level in Ireland is actually worse than the figures portray’ said Eric Conroy, General Secretary INOU. ‘These figures do not include employees with less than two years' eligible service with an employer, employees who are under 16 years of age or who have reached the qualifying age for old age pension, therefore the figures do not give a true reflection of the scale of job losses’.

The INOU is calling for the re-introduction of a Pay Related Unemployment Payment, which would go some way to cushioning the blow of redundancy.

‘Redundancy can have a devastating impact both on the individual and their family. The loss of a job and the consequential reduction in income can be traumatic. Individuals who lose their job often mistakenly believe that social welfare unemployment payments are pay related. The current personal rate of Unemployment Benefit is €148.80 per week and this can come as quite a shock to people who for many years have worked and contributed to the PRSI system. With such high levels of redundancy it is vital that the Government look at re-introducing Pay Related Social Insurance’ added Mr. Conroy.