Dáil Éireann Debate, Tuesday - 9 June 2020
49. Deputy Thomas Pringle asked the Minister for Finance if the temporary wage subsidy scheme for the tourism and transport sector will be continued into the medium- term; and if he will make a statement on the matter. [9685/20]
View answer63. Deputy Paul McAuliffe asked the Minister for Finance his plans regarding the extension of the temporary wage subsidy scheme; and the way in which it will apply to different sectors. [10071/20]
View answer73. Deputy Michael McGrath asked the Minister for Finance if the lower 0.5% employer PRSI rate will continue for as long as the temporary wage subsidy scheme is in place; if this will be extended beyond the duration of the scheme; and if he will make a statement on the matter. [10317/20]
View answerI propose to take Questions Nos. 49, 63 and 73 together.
The Temporary Wage Subsidy Scheme (TWSS) is provided for in section 28 of the recently enacted Emergency Measures in the Public Interest (Covid-19) Act 2020 (The Act).
The underlying legislation and the TWSS itself were developed having regard to the Government objective of providing assistance to employers and employees, where businesses have been seriously affected by the Covid-19 pandemic and the restrictions which were introduced as a result. The scheme is available to eligible employers across all sectors, excluding the Public Service and Non-Commercial Semi-State Sector. This includes businesses that have closed due to the Covid-19 restrictions and those that continue to operate and employ their workforce. The sector to which Deputy Pringle refers is no different in this regard.
In relation to the future of the TWSS, I have always been clear that this support cannot last forever, but I am satisfied that the scheme should remain until the end of August. As the public health restrictions are eased in the coming weeks, I will expect to see a continued decline in reliance on the scheme throughout the summer as the economy continues to re-open and people are able to return to work. This economic recovery will be monitored and will inform a decision later in the summer on the need for further extension or tapering beyond August. Furthermore, I acknowledge that certain sectors will face particular challenges into the future as we gradually re-open our economy, and this is one of many factors that will inform future decisions.
