De Rossa challenges PDs on PRSI

THE Minister for Social Welfare, Mr De Rossa, has challenged the Progressive Democrats to say how they will make up the financial…

THE Minister for Social Welfare, Mr De Rossa, has challenged the Progressive Democrats to say how they will make up the financial shortfall arising from their proposal to abolish PRSI charges.

Would they raise other taxes to pay for the £900 million shortfall such a decision would cause in the social insurance fund, Mr De Rossa asked, or would they stop paying insured workers their pensions and other benefits?

Perhaps the Progressive Democrats intended to means test, or cut, the contributory pensions to which workers had paid for years, the Democratic Left leader said.

"The electorate should demand answers to these critical questions," Mr De Rossa said.

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"So should the 1.55 million workers who pay PRSI in the expectation of receiving non means tested entitlements in the event of illness, unemployment, old age or retirement..."

Because Ms Mary Harney had said the Progressive Democrats' tax policy was not negotiable, Fianna Fail should also now say whether it would accept these proposals, Mr De Rossa said.