It was announced yesterday – 19 October 2020 – that Ireland will be placed on Level 5 COVID-19 restrictions from midnight tomorrow – Wednesday 21 October.
As a result of these new restrictions, the COVID-19 Pandemic Employment Payment (PUP) will be increased. The Employment Wage Subsidy Scheme is also being amended to align with the amendment to PUP. This means that there will be 5 payment bands and associated rates:
Please note that the subsidy will be paid to the employer and will not be shown on the employee’s payslip. In order to claim the EWSS, an employer must have Tax Clearance and must meet the minimum 30% reduction in turnover or customer orders test (unless you are a registered childcare provider).
- Gross Salary from 0 to €151 = €0 in subsidy
- Gross Salary of more than €151 and less than €203 = €203 in subsidy
- Gross Salary of more than €203 and less than €300 = €250 in subsidy
- Gross Salary of more than €300 and less than €400 = €300 in subsidy
- Gross salary of more than €400 and less than €1,462 = €350 in subsidy
The main aim of this scheme is to ensure where possible employees retain their link with their employer rather than become unemployed. This revised scheme will run to the end of January 2021.
This change to payment rates will apply for payments issued from Tuesday 27 October (PUP is paid weekly on a Tuesday) in respect of all existing and new applicants.
If you would like any more information on this, please contact a member of our payroll team.
+353 42 933 9955