On Wednesday 15 April, the Minister for Finance announced further updates to the Temporary Wage Subsidy Scheme.
Where the employee’s earnings have now been reduced by:
The subsidy will be tapered where the gross pay paid by the employer plus the subsidy amount exceeds €960 net per week.
No subsidy will be payable to an employee where their post-COVID average net weekly pay has fallen below €960 but their employer pays sufficient gross salary which equals an amount that is more than 80% of the employee’s previous average net weekly pay.
Employees previously earning up to €586 net per week:
Employees previously earning in excess €586 net per week:
Tapering of the subsidy will apply in all instances where the gross pay paid by the employer plus the subsidy amount exceeds the employee’s previous net weekly pay to ensure that no employee would be better off under the scheme. The only exception where tapering will not apply is where an employer pays an additional payment which when added to the subsidy does not exceed €350.
If you require assistance in accessing these supports or with any challenges you currently face during this crisis, please contact a member of the tax team or your normal Crowe contact.