Employers' Employment Contribution Scheme Act, 1981

Employer's employment contribution.

6.—(1) The employment contribution payable by an employer under section 10 of the Act of 1981 shall, for the contribution year commencing on the 6th day of April, 1981, be increased by an amount which shall be known and is referred to in this Act as “the employer's employment contribution”.

(2) The employer's employment contribution shall—

(a) be payable in respect of the reckonable earnings by reference to which the employment contribution is determined under the Act of 1981,

(b) be calculated at the rate of 0.2 per cent. of the amount of such reckonable earnings, and

(c) be deemed to be an employment contribution within the meaning of the Act of 1981.

(3) Subsection (1) of this section shall not have effect in relation to an employee to whom article 7 or 8 of the Social Welfare (Modifications of Insurance) Regulations, 1979 (S.I. No. 87 of 1979), applies.

(4) Sections 10 (1) (c) and 10 (1) (d) of the Act of 1981 shall apply to an employer's employment contribution in like manner as they apply to contributions by employers under section 10 (1) (b) of that Act.

(5) Notwithstanding any contract to the contrary, an employer shall not be entitled to deduct from the remuneration of any person employed by him (or otherwise to recover from such a person) the employer's employment contribution payable in respect of that person.

(6) (a) Subject to paragraph (b) of this subsection, all moneys paid in respect of the employer's employment contribution shall be paid by the Revenue Commissioners to the Minister for Social Welfare and shall be transferred by that Minister to the account of the Scheme.

(b) The Minister for Social Welfare shall remit 10 per cent. of the moneys referred to in paragraph (a) of this subsection to the Revenue Commissioners as a debt due in lieu of income tax or corporation tax to the Minister for Finance for the benefit of the Central Fund.