The Government has confirmed that the two schemes introduced to ease the impact of the economic disruption caused by the COVID-19 pandemic are to be extended.

The Pandemic Unemployment Payment (PUP) is to be extended until “at least” 10 August, when the final phase of the easing of restrictions is due to begin.

Earnings link

Minister for Employment Affairs and Social Protection Regina Doherty also announced that, from 29 June, there would be a “two-level structure” linking the payment to previous earnings.

For those who previously earned €200 a week or more in employment, the PUP rate will remain at €350 per week.

Those who earned less than €200 a week, however, will see their PUP fall to €203 a week – the same rate as the Jobseeker’s Benefit scheme.

'Fairer'

The department estimates that the reduction will affect about a quarter of those currently receiving the PUP. Minister Doherty described the move as “a fairer way to target resources”.

Finance Minister Paschal Donohoe said that the Temporary Wage Subsidy Scheme (TWSS) would remain in place until the end of August, and that a decision on a further extension or tapering of the scheme would be made later in the summer when the extent of the economic reopening became clearer.

Monitored

The Department of Finance said the cost of the TWSS remains significant with over €500 million a month paid out so far.

“The TWSS will therefore continue to be monitored closely in the coming weeks and months,” it said.

Figures released earlier today show that almost one million people are relying on the two schemes for income support.