The Social Welfare and Pensions Bill 2011 which was published last month, provides for a number of the measures announced as part of the Government's Jobs Initiative. Among these measures is the having of the lower 8.5% rate of employer PRSI contribution to 4.25%.

Section 3 and section 23 of the Social Welfare and Pensions Bill 2011, amend the provisions relating to PRSI contributions. The Jobs Initiative announced the halving of the lower 8.5% rate of employer PRSI contribution where reckonable earnings in a week do not exceed €356. This amendment will apply to contributions payable from 2 July 2011 to 31 December 2013.

Section 3 also amends changes made in the Social Welfare and Pensions Act 2010 in relation to the recording of weekly social insurance contributions as a result of the abolition of the employee PRSI relief on employee pension contributions.

The Social Welfare Bill 2011 together with the explanatory memo were published on the Oireachtas website at http://www.oireachtas.ie/viewdoc.asp?fn=/documents/bills28/bills/2011/2311/b2311d.pdf