IHF Joins Forces With SME Alliance To Demand Major Reforms – Is The Government Listening?

IHF joins with SME Alliance in a nationwide campaign to push the Irish government for change

by MADDI | INDUSTRY NEWS

Pictured at Leinster House for the launch of the SME Alliance campaign were (from left): Vincent Jennings, Chief Executive Officer, Convenience Stores and Newsagents Association; Neil McDonnell, Chief Executive, ISME: Lisa Eccles, President, Irish Hairdressers Federation; Adam Hallissey, Public Affairs Manager, Restaurant Association of Ireland; Carole Hingerton, Founder and Owner, Lettershop; Jackie Conboy, Co-Founder, Music & Entertainment Association of Ireland; Suzanne Bannon, Director, John Bannon Ltd; and Keelan Bourke, Head of Commercial, Retail Excellence.

With salons across Ireland facing sky-high costs and endless regulations, IHF president Lisa Eccles is calling for serious action to save the industry from collapse. “We are the backbone of local communities, providing vital services and jobs, yet many of us are struggling to keep our doors open,” Eccles said. “The government must act in this budget to ease the burden on small businesses like ours before it’s too late.”

The IHF is calling for a National Minimum Wage reform. They argue that the current system is outdated and unfair, especially when 48 per cent of the workforce is employed in higher-paying public or multinational jobs. They want future wage increases capped at inflation rates and public sector pay excluded from calculations.

Next, they’re advocating for tax reform, pushing for a permanent 9 per cent VAT rate on personal services and a rollback of the current 23 per cent VAT rate to its historic 21 per cent. Additionally, the IHF supports applying the 8.8 per cent Pay Related Social Insurance (PRSI) rate to the full National Minimum Wage, currently €495.30 per week – a recommendation the SME Alliance understands the government has already accepted for Budget 2025.

They’re also proposing an Industrial Relations reform. With SMEs making up 68 per cent of the workforce, they’re demanding pro-rata representation of key decision-making bodies, such as the Low Pay Commission.