SFA Comment on March CPI Figures

Thursday, 9 April 2015

Prices fall 0.6% in year to March

Businesses struggle to achieve price increases

No justification for broad pay increases

The Consumer Price Index (CPI) figures released today by the CSO show a decline of 0.6% in the year to March. The Director of the Small Firms Association, Patricia Callan commented: “despite the significant increase in business activity levels this year, many businesses are struggling to achieve price increases in the marketplace. Price competition in all sectors remains strong and consumers have benefited from this competition. The most significant increase in prices was recorded in the Education sector, and this shows the need for the Government sector to keep control of its cost base. With the Irish economy now experiencing deflation, there can be no justification for an increase in the National Minimum Wage or for broad-sweeping pay claims. However, small companies will continue to reward employees who demonstrate productivity improvements at individual firm level.

Ends.

For further information, please contact Patricia Callan, SFA Director, at Tel: 01 605 1602 or 087-6999345, e-mail: patricia.callan@sfa.ie, Twitter: @SFA_IRL
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