Judy Martin unveiled the details of plans this week as part of the £150 million fiscal stimulus support package, aimed at lessening the impact of the Covid-19 pandemic on the Island’s economy.
Other initiatives included within the package have included giving £100 vouchers to all Jersey residents to encourage them to spend money with local businesses, direct payments to low-income households and extending the amount of time businesses have to pay GST and social security bills.
If the proposition is successful, social security contributions could be reduced by 2% from 1 October until 30 June 2021.
As a result, employees earning up to £4,558 per month will only have to pay 4% contributions instead of 6%.
And self-employed Islanders with a business income of up to £4,558 per month will only have to contribute 10.5% instead of 12.5%.
Rates paid by employers would remain the same.
A report accompanying the proposition, said: ‘The Council of Ministers proposes to reduce Social Security contributions for nine months to increase the take-home pay for approximately 55,000 workers and self-employed Islanders.
‘This is part of the £150 million fiscal stimulus support package the Council of Ministers announced in July to help the economy – [to] help people and businesses – to recover as quickly as possible from the effects of the Covid-19 pandemic and social restrictions.’
