Written answers

Tuesday, 30 June 2020

Department of Finance

Wage Subsidy Scheme

Photo of Fergus O'DowdFergus O'Dowd (Louth, Fine Gael)
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31. To ask the Minister for Finance if a reply will issue to correspondence from a person (details supplied) regarding the temporary wage subsidy scheme. [12730/20]

Photo of Paschal DonohoePaschal Donohoe (Dublin Central, Fine Gael)
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The Temporary Wage Subsidy Scheme (TWSS) is provided for in section 28 of the Emergency Measures in the Public Interest (Covid-19) Act 2020. Of necessity, the underlying legislation and the scheme itself were developed quickly, having regard to the objective of getting financial assistance to employers and employees, where businesses have been seriously affected by the pandemic and the necessary restrictions introduced to fight the spread of the Covid-19 virus.

The key eligibility criterion for the TWSS requires that the employer must make a declaration which states that, based on reasonable projections, as a result of disruption to the business caused or to be caused by the Covid-19 pandemic, there will be a decline of at least 25% in the future turnover of, or customer orders for, the business for the duration of the pandemic and that as a result the employer cannot pay normal wages and outgoings fully, but nonetheless wants to retain its employees on the payroll.  In the case of the public sector this criterion is not met. Thus, the TWSS is not available to employers in the Public Service and Non-Commercial Semi-State Sector.

It is noted that the person who is the subject of the Deputy’s question applied to her employer to resume work, while she was on a period of approved special leave without pay following maternity leave. The issue of the person’s resumption of duty in such circumstances is a matter for the employer concerned.

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