GETTING people back to work through tax and welfare reforms must be a top priority, Combat Poverty has argued in its pre Budget submission to the Government.
Such work friendly reforms would help people out of the poverty trap, said Mr Hugh Frazer, director of the Combat Poverty agency.
It was critical that the Government responded by grasping the opportunity presented by exceptional levels of economic growth to tackle the linked problems of poverty and unemployment, he said.
"This requires a redistribution of existing resources in favour of the poor and making judicious choices about using buoyant tax revenues to implement tax and welfare measures which provide a springboard for people from welfare into work. Available resources should not be sucked into tax cuts for the rich. Resources should instead be invested in a strategic way to enhance the job prospects of the unemployed and underpin economic competitiveness."
The agency makes specific proposals to reduce the high marginal tax rates for the lower paid improve work incentives for unemployed families and fight child poverty provide an adequate income for welfare recipients provide incentives for the jobless to take up part time work tackle the regressive structure of employer PRSI, and provide a statutory scheme of housing income support.