Industry and Employment Correspondent
Penalties for employers who intentionally misclassify workers as self-employed, resulting in the loss of PRSI and employment rights entitlements, should be explored by the Department of Social Protection, according to a draft Oireachtas Committee report.
The confidential report also recommends exclusion of such employers from government public procurement contracts, targeted inspections, and anti-victimisation legislation for workers caught up in so-called bogus self-employment .
The Joint Committee on Social Protection, Community, Rural Development and the Islands has been investigating the prevalence of this phenomenon, where employers deliberately misclassify employees as self-employed contractors.
This generates significant PRSI savings for the employer, but adverse consequences for workers.