Holly Cairns
Question:1253. Deputy Holly Cairns asked the Minister for Social Protection her views on extending the criteria of the wage subsidy scheme to include apprenticeships. [40781/22]
View answerTuesday, 26 July 2022
Questions (1253)
Written answers
The Wage Subsidy Scheme (WSS) is an employment support to private sector employers, the objective of which is to encourage employers to employ people with disabilities and thereby increase the numbers of people with disabilities participating in the open labour market.
The scheme provides financial incentives to private sector employers to employ people with a disability for between 21 and 39 subsidised hours per week under a contract of employment. The contract of employment offered must be for a minimum of 6 months and the employee must be paid the going rate for the job (which must be at least the statutory minimum wage).
The basic rate of subsidy is €6.30 per hour giving a total annual subsidy available of €12,776 per annum based on a 39-hour week.
The Wage Subsidy Scheme is not designed for education, training or apprenticeship programmes which are temporary in nature, but aims to provide substantial full-time jobs in the open labour market for jobseekers with a disability.
Supports for apprentices (including those with a disability) and employers who offer apprenticeship positions are delivered by SOLAS. In April 2021, the Minister for Further and Higher Education, Research, Innovation and Science and Minister of State for Skills and Further Education launched the Action Plan for Apprenticeship 2021-2025. The Action Plan sets out a five year strategy to deliver on the Programme for Government commitment of reaching 10,000 new apprentice registrations per year by 2025. The plan provides a roadmap to a single apprenticeship system and new supports for employers and apprentices. Last December, the Apprenticeship Incentivisation Scheme was announced which provides an annual grant of €2,000 for employers who employ apprentices in one of the 37 apprenticeships which have been established since 2016. SOLAS, as the statutory agency overseeing the apprenticeship system, has responsibility for developing, delivering and administering this scheme.
I can assure the Deputy that I will keep my Department’s employment support schemes for people with disabilities, such as the Wage Subsidy Scheme, under review to ensure that they continue to meet their policy objectives. A full review of the WSS scheme will also be carried out by my Department later this year. However, any potential changes to these schemes can only be considered in the wider budgetary and policy context.
I trust that this clarifies the issue for the Deputy.