Written answers

Wednesday, 3 June 2020

Department of Finance

Wage Subsidy Scheme

Photo of Steven MatthewsSteven Matthews (Wicklow, Green Party)
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40. To ask the Minister for Finance the number of women that have been unable to access the temporary wage subsidy scheme due to being on maternity leave in the months preceding the application by their employer for the business support and that are instead claiming the pandemic unemployment payment. [8411/20]

Photo of James BrowneJames Browne (Wexford, Fianna Fail)
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52. To ask the Minister for Finance if his attention has been drawn to instances in which persons that can return to work attempt to avail of the temporary wage subsidy scheme but cannot avail of it in view of the fact they returned from maternity leave later than 6 March 2020; and if he will make a statement on the matter. [8383/20]

Photo of Cian O'CallaghanCian O'Callaghan (Dublin Bay North, Social Democrats)
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88. To ask the Minister for Finance if the temporary wage subsidy scheme will be extended to those returning to work from maternity or parental leave; and if he will make a statement on the matter. [8982/20]

Photo of Paschal DonohoePaschal Donohoe (Dublin Central, Fine Gael)
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I propose to take Questions Nos. 40, 52 and 88 together.

The Temporary Wage Subsidy Scheme (TWSS) is one of a number of significant measures that have been introduced since the beginning of March to attempt to minimise the negative impact on the labour market through an exceptional period, where at least one million workers are now relying on some form of State support.

The aim of the scheme is to maximise staff retention and firm viability by maintaining the link between the employer and employee. As of 29 May 2020, over 57,400 employers have registered with Revenue for the TWSS, over 501,500 employees have received at least one payment under the scheme and the cumulative value of payments made to employers is €1.29 billion.

Last Friday I announced an important change to the TWSS to deal with the issue of those returning from maternity or adoptive leave which was raised by various parties and interest groups.

Officials had been looking at how it might be possible to address the issue in a way that ensures consistent treatment with other employees who were on the payroll in January and February, whose salaries were taken into account in determining TWSS payments for employers.

Following Government approval, a change to the TWSS will be made as an exceptional measure to accommodate the salaries of those who have returned to work after a period of maternity or adoptive leave who consequentially were not on the payroll during the relevant period.

The amendment will be legislated for later in the year as part of the usual Finance Bill 2020 process but in the interim, Revenue has agreed that this provision will be implemented from 26 March, where applicable.

I am satisfied that this change addresses the matter raised and ensures appropriate operation of the TWSS in recognition of the unique circumstances applying to those returning to work after a period of maternity or adoptive leave by allowing for commensurate treatment with other employees who were on the payroll on 29 February.

Further details of how the measure will operate will be published by Revenue shortly, but I would highlight that the manual process being adopted will require input from employers so I would encourage them to contact Revenue when it is launched to allow for payments to be processed as quickly as possible.

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