Statutory sick pay would damage jobs and growth according to an employers group.

The government is keen to put the responsibility for sick pay back on employers which is something that could save the Department of Social Protection €90 million

But employers group IBEC is warning such a move will affect companies" bottom lines making Ireland a difficult place to do business. 

Government priorities

Brendan McGinty is the Director of HR Services with IBEC.

He says they have asked business people themselves to quantify the possible losses.

"Employers - when they evaluate the potential effects of a statutory sick pay scheme, are telling us that 42% are saying it would affect heir sustainability - but about half are stating that such a move would affect their ability to recruit new staff; and about 47% saying it would affect their ability to retain existing staff" he said.

Mr. McGinty is also questioning the priorities of government.

"Everybody agrees I think that jobs should be the number 1 priority - and clearly, the message needs to go out...that such a move to introduce statutory sick pay which has been muted would increase labour costs and reduce the capacity of those companies that we"re relying on to maintain and create jobs" he added.