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CUTTING VAT FROM 13.5% to 9% three years ago has resulted in the creation of 31,584 new jobs, according to a report this morning by the Restaurant Association of Ireland.
That includes an boost in direct employment in the food and accommodation sector of more than 20,000 jobs.
The report, entitled “9% VAT – Food, tourism and jobs: Rebuilding Ireland’s economy”, used Central Statistics Office (CSO) data, and concluded that the lowering of VAT in July 2011 was responsible for:
Speaking in response to today’s report, RAI Chief Executive Adrian Cummins said:
As this report proves, in terms of creating new jobs in the food and accommodation sector, the introduction of the new VAT rate in July 2011 has been a major success.
In a foreword to the analysis, economist Jim Power acknowledged that cutting VAT was not the exclusive cause of new job creation.
Clearly, the lower VAT rate is not the only factor at play, but it has made a significant contribution…
The lower VAT rate is a good example of a government intervention that is working and that is making a significant contribution to employment all over the country and the public finances.
Scroll down to read the report in full.
http://cdn.thejournal.ie/media/2014/08/pr86441_1_final-rai-national-economic-report.pdf
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Meanwhile in Trim they’re looking for unpaid waiters through JobBridge:
Based in TRIM (URBAN) Ref. INTE-816251
Description
The intern will gain practical experience in making food in deli and in kitchen. She/he must be willing to fulfill other duties like cleaning, using an espresso machine. The intern will receive formal/informal training in the following: Stock taking, cashing up, working on an electronic till, serving clients, making food. On completion the intern will have attained skills in running a cafe on a daily basis, health and safety.
Skills Requirements
Must have a drivers licence, must be fluent in English, must be neat. Applicant must be able to work in a team but should be able to lead at times and have initiative.
Please Note:
This is an Internship. An allowance of €50 per week will be paid in addition to your current Social Welfare payment.See eligibility criteria above.
Everything gets abused in this country.
Liars. They never passed it on. This is designed to fool the government again.
Even though VAT in restaurants was reduced by 4.5 % I have not noticed any drop in the bill the odd time that I can afford to go out. If anything it has increased slightly. Looks to me like the proprietors are using this reduction in VAT for their own gain. Surprise surprise.
I’m not falling for any of it. Seen this type of political shuffling before. No votes for FG, FF or Labour.
Did you really seen this stuph before. Are your literary talents gleaned from the pages of An Phoblacht?
Er, every single election that Fianne Fail won post 2000 was bought with the opposition trying to better them. If you recall, when FF won in 2007 Enda Kenny and Fine Gael were saying that FF weren’t spending enough. He promised 2,000 more Gardai that year, for Christ’s sake, which makes all the more of a mockery of his sudden change in policy and development of the non-existent Five Point Plan in 2011. The reality is the political parties have been buying elections in Ireland for years, but don’t let facts get in the way of you having a go at the Shinners.
The facts are that SF and the IRA are intertwined. The facts are that thousands were murdered on this island by the IRA. The facts are that all parties except one condemned these murders.
The original commentator’s point was in relation to elections being bought by political parties. My comment provided evidence in support of his claim. Neither of us indicated that we support Sinn Fein, in fact I referred to them as “Shinners”, which would suggest that I am not a Sinn Fein voter. Regardless of these facts, you are still mouthing about a subject that neither of us have raised. I suggest you read the comments again and leave you anti-Sinn Fein speech for someone who cares to debate it with you.
What does Sinn Fein. the IRA or an Phoblacht have to do with Michael’s comment or mine? We’re talking about the established parties have a propensity to buy elections.
Incidentally, every political party in Ireland has blood on their hands from one decade or another. Do you need to be reminded of Fianne Fail’s past? Or maybe Cumann na nGael who were established by the fascist Eoin O’ Duffy who wanted Ireland to fight for Franco in the Spanish Civil War? Or the like of certain members of cabinets and their husbands who were involved in the murder of a man in broad daylight in Cork City in 1975, in relation to the Official IRA?
To clarify, I referred to SF as “Shinners” which would suggest that I do not support them, I just have a non-blinkered knowledge of history. You’ve some nerve to talk about facts.
I don’t support any political party. In fact I believe that the party system is fatally flawed. In the last two years independent TD’s have had a much bigger impact in Ireland than all the parties combined. As they actuality campaign on their constituents behalf. Something none of the parties do, unless you are one of their faithful members.
Why do hairdressers and beauticians pay 9%, Dr’s pay 0% vat (even if they do acupuncture) and acupuncturist pay 13.5%. I’d love to employ someone but all that money going out every 2 months makes it v difficult. My options are to either up my prices or not hire. Where does it go from here?
A Jobbridge position in a café is a disgrace. Honestly, it’s state sponsored slavery.
Shameful.
Fantastic news! lets hope for similar job creation measures this october. A caveat of this news though, what are the quality of these jobs as the hospitality sector is notorius for poor working conditions.
Absolutely shocking use of the word caveat in a sentence…..
And still not a pay rise in sight for front line staff in this sector.
Why is it that Sunday lunch is between 1&2 € more than any other day, some places claim to pay their staff more for working on Sunday which I believe is nonsense, I think it’s greed
Most places would put lamb or beef on for the Sunday lunch which cost about three times the price of other meats at wholesale so that’s why the Euro or two would be added
The JLC that gave hotel and some other workers an extra 33% on Sundays was done away with but still applies to staff hired before the abolition of said JLC. What happens in this case more often than not is the aforementioned staff get Sundays off and newer workers do the Sunday shift
An other, lamb,beef and three or four other choices are available in my area 7 days a week, I’ll put it another way if I have beef one day during the week it’s €10, if I have beef on Sunday it’s €12.50, staff are not paid any extra and how I know is my sister works there
Created by stealing from pension funds. Many affected pensioners have had their pensions cut for the rest of their lives to pay for this tax concession to the vintner’s lobby.
As Eddie Hobbs said at the time, this was the equivalent of taking money out of people’s savings accounts.
There shouldn’t be a vat cut but Hobbs is an idiot. Will never forget his Rip Off Republic shite from years ago.
Oh and restaurants in Dublin are actually quite good value for money and in line with what you’d see in any western European city of a similar size, bar the countries where the staff are paid even less than they are in Ireland.
Fantastic news.
And not one of those jobs is a job bridge internship.
My niece works in a restaurant where all tips are collected by the management and the floor staff are paid two euro per hour worked so if your shift is four hours you get e8 on top of your below minimum rate wages, this is sheer greed and exploitation by management. Staff who complain have their working hours cut and simply leave.
Hasn’t stopped them putting up prices of food and alcohol
I’ll believe those figures when the report is independantly verified.
Proof that cutting taxes and not raising or bringing in more of them stimulates the economy…
Its a vested interest group putting their interpretation on some CSO statistics to pursue an agenda…”grain of salt” comes to mind.
It was supposed to drop prices in restaurants, but in most cases it went straight to the pockets of the vintners, one of the strongest lobby groups in the Dail. It was taken from the pension funds (savings) of ordinary workers and pensioners. The funds reduced pensions for the lifetime of the pensioner for each year that the ‘levy’ applied, i.e. this vulnerable group took two hits on their fixed incomes already and look set to be hit again, often by a substantial amount.
Apart from this being ‘three card trick’ economics, it sends out a wrong message to young workers. It says, don’t make provision for your old age, some amateur economist in the finance minister’s job will just take it from you. Better off letting the state worry about your old age.
you should all be happy the VAT is 9,5%…based in Sweden and it’s about to jacked up to 25% from 12,5% by our next looney left govt.
have your say