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Over half a million people receive Covid-19 unemployment payment this week, as IMF releases dire economic forecast

Over 42,000 employers have registered for the temporary wage subsidy scheme, according to the government.

PAYMENTS HAVE BEEN issued to 533,000 people who applied for the Covid-19 pandemic unemployment payment, the Department of Employment Affairs and Social Protection has said.

A further 54,000 people are receiving a payment for the first time this week and, in all, 625,000 applications have been made for the payment since 16 March.

It comes after new projections from the IMF suggest Ireland’s unemployment rate could rise sharply this year while the economy could also shrink significantly. 

In its world economic outlook report, the IMF predicted that the coronavirus pandemic would push the global economy to the edge, bringing the worst downturn since the Great Depression.

image004 A graphic released by the department of pandemic unemployment payments by county. DEASP DEASP

In an update today, the department also provided a geographic and industry breakdown of those receiving the payment.

The county with the most people in receipt of the payment is – unsurprisingly – Dublin with 152,700 people. Next is Cork with 55,600 people and Galway with 29,100.

The most affected industry is the accommodation and food service sector, with 115,500 people in receipt of the payment.

Wholesale and retail trade (81,400) and construction (71,000) are also affected. 

As well as over half a million in receipt of this pandemic unemployment payment, there are 210,000 people on the Live Register and over 42,000 employers have registered with the Revenue Commissioners for the temporary Covid-19 wage subsidy scheme.

Minister Regina Doherty said that the latest figures suggest “that we are perhaps reaching a plateau in terms of those on the Covid payment”. 

“It is clear that we are living through the most challenging of times,” she said. “Never before has there been such a need for welfare support from workers and employers, with more than three years’ worth of claims being processed in less than a month.”

The department also said that 40,000 people have so far contacted it to close their payment claim, with the majority of these because employers were taking them back onto payroll under the wage subsidy scheme.

A further 68,000 payments have been withheld for a variety of reasons, including still being in employment, who hadn’t been in employment prior to claiming the payment, they weren’t resident in the State or they’d submitted incorrect details.

It advised people to make sure their details are correct when applying, and said it was working with people to resolve these problems.

When it comes to the temporary wage subsidy scheme, the department said it was aware some workers may be incorrectly registered as part of scheme or may face difficulty in transitioning back from the pandemic unemployment payment to their employer payroll.

Any worker affected is advised to contact the department. 

A further 27,300 applications have been received for the Covid-19 enhanced illness benefit. 

Doherty added: “This is a temporary health crisis but it needn’t be a permanent economic emergency. As we reach the plateau of those on income support, we hope to bend and lower that curve also – getting as many back to work as soon as possible as and when the health environment permits.”

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    Mute Ale Ceaser
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    Apr 14th 2020, 2:31 PM

    How are we going to pay for all this?

    157
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    Mute john
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    Apr 14th 2020, 2:35 PM

    @Ale Ceaser: more tax when people go back to work

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    Mute Lorcan OReilly
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    Apr 14th 2020, 2:36 PM

    @Ale Ceaser: Tax I would expect an Emergency Budget in the Summer. I’m guessing but bill has to fall somewhere

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    Mute Ale Ceaser
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    Apr 14th 2020, 2:47 PM

    @Lorcan OReilly: It’ll be hard though – we’re already paying €5+ billion a year, on our National Debt. €14 million a day!

    34
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    Mute Ale Ceaser
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    Apr 14th 2020, 2:48 PM

    @Ale Ceaser: In interest alone.

    26
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    Mute Gavin Mckenna
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    Apr 14th 2020, 2:49 PM

    @Ale Ceaser: Really? Think you’re well aware how. Tax tax and eh…tax. Off you go to another article Ale. Good man.

    20
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    Mute Dnom
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    Apr 14th 2020, 2:49 PM

    @Ale Ceaser: we just borrow away. FG couldn’t care less as they are still blaming the last worldwide recession on FF and they’ll blame them for this also. So long as the landlords, Vulture funds etc still get paid their rent and so long as property doesn’t collapse in value. So long as revenue follows up all the frauds.

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    Mute Jim Buckley Barrett
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    Apr 14th 2020, 2:56 PM

    @Dnom: what would you suggest they do? Ignore the people made unemployed during this crisis? Have those people go hungry?

    59
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    Mute Ale Ceaser
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    Apr 14th 2020, 2:59 PM

    @Gavin Mckenna: Ireland’s Debt, per capita – is the highest in Europe already. At about €45k per person! If we borrow much more – we’ll be using virtually all our GDP to pay interest.

    22
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    Mute
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    Apr 14th 2020, 2:59 PM

    @Ale Ceaser:

    Well really we should force the ECB to print money IMO

    “That’s crazy” you say, and yeah it kinda is, but not as crazy as printing loads of money and then handing it to private banks for free, which is what they did several times after 2008 through quantitative easing.

    “But the Weimar republic tried that, and it was chaos, and Zimbabwe too!” and you would have a valid point, but remember that inflation is already an issue in every modern currency, and it’s generally accepted that there’s a level of “healthy” inflation. Right now the only people to benefit from this inflation are the wealthiest in society who have their assets in property, company stock, etc.

    If we can print money for the banks, we can (and should) print it for the people on the street.

    48
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    Mute
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    Apr 14th 2020, 3:01 PM

    @:

    And yes, I know this wouldn’t work as a singular solution, but my point is that printing money IS an option, it would just need to be controlled carefully. It’s done constantly, the only difference is punters on the street don’t get the money.

    23
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    Mute Gavin Mckenna
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    Apr 14th 2020, 3:32 PM

    @Ale Ceaser: And you’re solution is…

    You must have an inkling seen as you’re a man with so many comments to every article posted regards this the past 5 weeks.

    6
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    Mute Maximilian Wilde
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    Apr 14th 2020, 3:45 PM

    @Ale Ceaser: If you think the crash and austerity of 2008 was bad! Oh we ain’t seen nothing yet.

    19
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    Mute Ale Ceaser
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    Apr 14th 2020, 3:55 PM

    @Gavin Mckenna: My first post was yesterday! You still have the mental issues then?

    6
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    Mute MickN
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    Apr 14th 2020, 4:01 PM

    @Ale Ceaser: Dust off the money printing machine… Only way..

    10
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    Mute turnoverchain98
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    Apr 14th 2020, 4:09 PM

    @Ale Ceaser: credit union loan

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    Mute cryptodon
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    Apr 14th 2020, 4:32 PM

    @Ale Ceaser: Money printer go brrrrr

    1
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    Mute brendan fitzsimons
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    Apr 14th 2020, 4:39 PM

    @Ale Ceaser:

    Have you a better idea?

    Please share!

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    Mute JoeJoe
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    Apr 14th 2020, 5:54 PM

    @Dnom: The last “worldwide” recession was seriously exacerbated by the ineptitude and negligence of FF, and we will never forget that. People were screaming about it coming, but the noise in the tents at galway was too loud to hear. Even the Cowen turned up steamed for interviews and Bertie, the accountant with no bank account who was a demon at the horses. Will ya ever do one.

    11
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    Mute Dean
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    Apr 14th 2020, 3:10 PM

    @Ale Ceasar:
    It will just be the workers that will get taxed to debt to pay this back if FG/FF get back into power.

    Or else we could tax those who actually have money:
    - Local Property Tax (LPT) for every church in Ireland.
    - Get the banks to give us back our 65 billion. Now. That’s our money.
    - Church tax. Or a Church Wealth tax (where we tax their wealth).
    - Begin taxing the banks. (They make profit).
    - Get our full 12.5% corporate tax (as we’re not even getting that). America’s corporate tax was 35% up until about three years ago.
    - Stop the 183-days tax exempt rule (where residents don’t pay tax if they’re in this country less than 183 days)- Wealth tax (so we can pay essential workers a liveable wage).

    We need to get FG/FF out and give another party a chance. I’m sure another party can take advice from the Medical Experts, the same way the drop-out-of-college kid Simon Harris can take advice from the Medical Experts and relay it onto the public.

    But the FF/FG policies definitely need to go. We can’t go back to the health crisis (before Covid19), or landlord’s rack-renting prices, non-affordable homes, homelessness, etc.

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    Mute David Corrigan
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    Apr 14th 2020, 3:51 PM

    @Dean: The shills are going to have a field day with you Dean! :-O

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    Mute Sean Callan
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    Apr 14th 2020, 4:38 PM

    @Dean:
    We should begin by leveling the tax field.
    For a period of , say 12 months , suspend all tax loopholds, especially the very ‘creative’ ones, from which only a small section of our community benifit, party donations? may fall for a while , but we are in this together ,or so we’re told!! .
    Present policies have created more millionaires than nurses, How was this allowed to happen??
    FF/ FG must now implement a tax regime which is totaly transparent and fair to all , The deals created for Vulture funds , the many tax havens , etc must be suspended, ”
    Is our present Government strong enough to implement these measures?

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    Mute Earth Traveller
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    Apr 14th 2020, 3:04 PM

    So the graphic tells us that the counties with the largest populations have the largest numbers of claimants and those with the smallest populations have the least. Who would have thought it?

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    Mute Brian Ó Dálaigh
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    Apr 14th 2020, 3:50 PM

    @Earth Traveller: Agreed. A more informative graphic would be claimants per capita. I suspect some of the hardest hit would be along the western seaboard, Dublin and other areas with a high level of dependence on hospitality and construction.

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    Mute Dnom
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    Apr 14th 2020, 2:54 PM

    Minister Doherty calls this a temporary health problem. Regrettably there are three outcomes 1 you get it and survive. 2 you get it and don’t survive. 3 you cocoon for the rest of your days.

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    Mute Earth Traveller
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    Apr 14th 2020, 3:00 PM

    @Dnom: 4 you don’t get it

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    Mute John Feeney
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    Apr 14th 2020, 4:21 PM

    @Dnom: 5. You cocoon & wait to get the vaccine which we will hopefully have soon.

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    Mute brendan fitzsimons
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    Apr 14th 2020, 4:43 PM

    I’d go for option 5….

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    Mute Michael Maher
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    Apr 14th 2020, 3:10 PM

    The Bull McCabe , No priest died during the famine; only poor people like us.
    No TD will die during this recession only poor people like………………

    61
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    Mute Gary O CONNOR
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    Apr 14th 2020, 2:58 PM

    FFG will hit the weakest as always and protect the status quo.. 100 years and nothing changes. This time they will ride roughshod over 700,000 votes.. Wonder who has the cajones to prop them up. One time either commanded a government, now together they cant.
    Oh how the mighty have fallen..

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    Mute Earth Traveller
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    Apr 14th 2020, 3:01 PM

    @Gary O CONNOR: So nothing has changed in this country for 100 years?

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    Mute David Corrigan
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    Apr 14th 2020, 3:52 PM

    @Earth Traveller: You must be new to planet Earth. Welcome friend!

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    Mute james foley
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    Apr 14th 2020, 9:05 PM

    @Gary O CONNOR: that’s why we have one of the best social welfare systems in the world

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    Mute thesaltyurchin
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    Apr 15th 2020, 10:30 AM

    @james foley: Define ‘best’ in social welfare terms? More money for poor people to spend in a hugely overinflated society, with little public healthcare, threadbare transport infrastructure, zero housing? I fail to see what’s wrong with that statement, perhaps yes slightly exaggerated for effect but really we have done nothing except kept voting for the same carnival accountants to provide very little in the way of services. Like we should be proud that we give so much of our money away for people to burn instead of investing it in things that everybody could benefit from? Doesn’t matter now, we will be pi$$ing money out of the country for the rest of our lives, our children’s lives and their children’s lives, probably still with no infrastructures of our own. But yea, bualadh bos for all the political parties of the last 100 years. enjoy your lifetime pensions for 8 years work with no recompense if you were a snake or not.

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    Mute Konrad KA
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    Apr 14th 2020, 3:51 PM

    The only way we can help it is when they finally opens up hospitality industry, don’t go right away to Albufeira, but holiday in Ireland, dine in Ireland, etc. Support local economy. The rest is in the hands of government and smart economy stimulation.

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    Mute Steve Creaton
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    Apr 14th 2020, 4:03 PM

    On top of all of this debt, Ireland will soon have to to pay for the new new multi financial framework settlement. That needs to be worked out by June and you can bet any money that is going to be a lot more than 1% of GDP. On top of tbst we will pay a share to refloat Spain and Italy. Ireland is now completely stuck in a debt it can no longer get out of . The Euro has trapped this country. The future is not bright.

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    Mute John Mc Avinue
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    Apr 14th 2020, 5:24 PM

    @Steve Creaton: Nearly all countries have a level of debt that they’ll never be able to get out of. The US and UK being perfect examples

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    Mute Ale Ceaser
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    Apr 14th 2020, 5:48 PM

    @John Mc Avinue: National Debts are rarely repaid. The important thing is to be able to fund the interest on them – and the US and the UK have no difficulty in doing that. We do however, with the highest National Debt in Europe – €47k per capita. This costs €5.2 billion a year – €14 million a day! Post-virus – it’ll be a lot more.

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    Mute Tom o brien
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    Apr 14th 2020, 3:51 PM

    The poor people will pay for this just like 2009 when ffg cartel payed off the bond holders and brian cowans golfing buddie got to stay in his wicklow mansion

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    Mute MickN
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    Apr 14th 2020, 4:04 PM

    @Tom o brien: Now Enda is working for the vultures and Hayes is the banks new mouthpiece, they had FG in their back pockets all this time,it cost lives and families..

    23
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    Mute Seán Dillon
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    Apr 14th 2020, 3:32 PM

    Surely when its over we can come up with another way of working through this, rather than crippling economies for years to come.

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    Mute Rochelle
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    Apr 14th 2020, 3:46 PM

    @Seán Dillon: The way is depopulating Dublin and encouraging work from home as the standard model.

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    Mute brendan fitzsimons
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    Apr 14th 2020, 4:44 PM

    @Rochelle:

    Weird.

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    Mute 3isamagicnumber
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    Apr 14th 2020, 4:26 PM

    Everyone availing of the emergency payment or of the 70% payment will be hit with a tax bill come December. The rough calculation on this is €30 to the €100 received. The emergency payments are in fact taxable payments and as we are all now responsible for our own taxes, it will be up to us to pay. I guess this will go some way to recouping revenue.

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    Mute John Walsh
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    Apr 14th 2020, 8:02 PM

    People have quit their jobs in retail to get the €350. When people apply there are no checks with the employer to confirm they were let go. Joke.

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    Mute Danny Ennis
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    Apr 14th 2020, 4:56 PM

    Bend over worker

    9
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    Mute Mick Hannigan
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    Apr 14th 2020, 2:54 PM

    What day do you actually receive the payment?

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    Mute Richard
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    Apr 14th 2020, 2:57 PM

    @Mick Hannigan: Thursday.

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    Mute Earth Traveller
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    Apr 14th 2020, 2:59 PM

    @Mick Hannigan: Tuesday

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    Mute Brian Ó Dálaigh
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    Apr 14th 2020, 3:48 PM

    @Mick Hannigan: Tuesday

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    Mute brendan fitzsimons
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    Apr 14th 2020, 4:46 PM

    @Mick Hannigan:

    I’m not eligible so I don’t get it any day….

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    Mute Carol Cunningham
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    Apr 14th 2020, 7:29 PM

    It is a bit crazy in the sense that I have a student who told me she was earning 80 euro a week in a non-essential shop: she is now on 350 euro a week and she told me her friends who work in the likes of spar and centra are madly jealous. They could have worked off peoples pay slips: it could have worked

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    Mute Carol Cunningham
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    Apr 14th 2020, 7:35 PM

    @Carol Cunningham: As in the dole office could have worked off what people were earning, instead of giving the same to all.

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