Covid-19 Pandemic Unemployment Payment

Dáil Éireann Debate, Tuesday - 30 June 2020

Tuesday, 30 June 2020

Ceisteanna (812, 813, 814, 815, 816)

Paul Murphy

Ceist:

812. Deputy Paul Murphy asked the Minister for Employment Affairs and Social Protection the estimated cost of the pandemic unemployment payment to the end of 2020. [12888/20]

Paul Murphy

Ceist:

813. Deputy Paul Murphy asked the Minister for Employment Affairs and Social Protection the estimated cost of the pandemic unemployment payment if it were maintained at €350 for all those availing of the scheme to the end of 2020. [12889/20]

Paul Murphy

Ceist:

814. Deputy Paul Murphy asked the Minister for Employment Affairs and Social Protection the estimated difference in cost of leaving the pandemic unemployment payment at current levels to the end of 2020, compared to reducing it to €203 for those previously earning less than €200 in wages from 29 June 2020. [12890/20]

Paul Murphy

Ceist:

815. Deputy Paul Murphy asked the Minister for Employment Affairs and Social Protection the estimated cost of the pandemic unemployment payment for July 2020. [12891/20]

Paul Murphy

Ceist:

816. Deputy Paul Murphy asked the Minister for Employment Affairs and Social Protection the estimated cost of the pandemic unemployment payment for July 2020 if it was maintained at €350 for all recipients. [12892/20]

Freagraí scríofa

Minister for Employment Affairs and Social Protection

I propose to take Questions Nos. 812 to 816, inclusive, together.

Following a recent Government Decision, the Pandemic Unemployment Payment (PUP) has been extended to week-commencing 10th August 2020.  The performance of the labour market in the weeks and months ahead, including the capacity of employers to respond to the phased return to work following the Covid-19 lockdown, and the level of any resulting residual unemployment, remains uncertain.

These estimates are informed by the forecast for unemployment in the Stability Programme Update, published in April 2020.  In that respect, they are subject to change as labour market and payment trends develop.

By week-ending Friday, 14th August 2020, the PUP scheme will have cost an estimated €3.3 billion.

The estimated cost of PUP in July 2020 is approximately €450 million.  The cost of maintaining PUP payments at €350 a week for those earnings less than €200 a week is estimated at an additional €53 million in July.

The cost of PUP in the period between August and December 2020 will depend on the ongoing suppression of the Covid-19 virus and on progress in reopening the economy and society.  Both of these factors will determine the extent of labour market recovery between now and the year-end and the approach that the Government will take with respect to what further changes, if any, may be made to the PUP.  These are matters that will be considered during the coming weeks and the estimated cost of PUP to the year-end will be determined as part of that process.