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THE EMPLOYMENT WAGE Subsidy scheme will run until 30 April 2022, Minister for Finance Paschal Donohoe has confirmed in his Budget 2022 speech.
The Government previously announced plans to wind down the scheme by the end of 2021 but it was widely expected that it would be extended.
Speaking in the Dáil this afternoon, the minister confirmed the scheme will be extended by four months but will be closed to new entrants from 1 January next year.
“The scheme will continue to support businesses, encourage employment and help to maintain the link between employers and employees,” Donohoe said.
Businesses still in receipt of the subsidy by 31 December 2021 “will continue to be supported by the scheme until 30 January”, he said.
“Across December, January and February, a two rate structure of €151.50 and €300 will apply,” Donohoe added.
For March and April of next year — the final two months of the scheme — a flat rate subsidy of €100 will be in place.
The reduced rates of employers Pay Related Social Insurance will no longer apply for those months, Donohoe said.
The EWSS supported almost 327,000 workers in August, according to the most recent figures available.
Commenting on the decision, Chartered Accountants Ireland (CAI) said the extension of the EWSS will give “vital certainty” to the 39,000 employers still signed up to the scheme.
“Today’s decision to extend the EWSS until 30 April 2022, avoiding any cliff edge, will come as a major relief for many small businesses that are still not operating at full capacity, for example in the tourism, hospitality, and entertainment sectors,” said Norah Collender, Professional Tax Leader at CAI.
“These supports cannot last forever, but their presence over the last 18 months has been an example of a targeted, partnership-based approach by the state which has kept many businesses afloat.”
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Do the government not see that industries are on there knees as they can’t get staff. Does extending the wage subsidiaries help?? At this stage people just need to retrain.
@Tombmunster: plenty of staff available when the PUP is finished. Country almost fully open and still close to 100k getting the pup is a joke.
@Roy Dowling: the only joke is yourself.
I’m 100% behind supporting people who need this payment to keep a roof over their heads and feed their family, buy school uniforms, etc. But there are those ( hopefully small) who continue to take the piss. People who could be back working, people who quit their jobs in the pandemic, people who keep employers waiting, people saving their pandemic payments because they are supported by others, people working for cash and taking the payment…. I never heard of any checks being done. Even now checks could be done to encourage those who can work, back to work. I’m not talking about everyone!!! I’m not talking about those who need this payment. I’m talking about piss takers…and I know them.
@Anne: You did read the article? This isn’t about the PUP, its about the employment wage subsidy scheme. It supports businesses by paying a portion of employees wages. Those businesses that can’t operate at full capacity, who have had their turnover reduced due to covid.
@Anne: Get down off your high horse, this isn’t about the PUP. Easily knowing you weren’t affected by the pandemic at all by that pathetic rant against something the article isn’t even related to.
The millionaires, businesses and politicians love the pup payment even more than the unemployment benefit because it keeps the eyes off them
The PUP should have been stopped a few months back, and revert to normal social welfare assistance for those who need it.
Businesses on they’re knees for staff and 100000 on an emergency scheme since March 2020!
@sean de paore: It’ll create demand in the talent market, especially for front line positions, which in turn will promote badly needed wage increases for those that do want to return and work. For the rest, let them claim PUP and face the personal tax burden when the debt needs collecting.
@sean de paore: The article isn’t about the PUP but don’t let that stop you attacking those on PUP. The PUP has helped prevent me becoming homeless and bankrupt.
Plenty of lazy bar stewards dont want to work they’re happy sitting on they’re asses picking up the pup
have your say