Wage subsidy support for niche sectors
Deputy Grealish seeks changes to the wage subsidy scheme for tourism-related niche businesses that have lost most or all turnover. The Taoiseach says Government is monitoring the scheme and the impact on heavily affected sectors such as travel and hospitality.
Will changes be considered to the employment wage subsidy scheme as announced in the Financial Provisions (Covid-19) Bill, specifically for businesses involved exclusively in tourism, travel agents, gift shops and the chauffeur industry? These are small niche industries that have been decimated by the pandemic. They urgently need support to survive to the end of 2021. The new employment wage subsidy scheme has been designed for companies that have lost 30% of turnover, but businesses such as travel agencies, gift shops and chauffeur services have reported losses of up 100% of turnover since March. These businesses will not be in a position to top up the employment wage subsidy scheme leaving employees with €203 a week, the same as job seeker's benefit. This is not sustainable or realistic. I ask the Taoiseach to look at tourism in more detail and introduce specific support for companies that are not even trading at 30% of turnover.
Comment on this
It is a very difficult situation for certain sectors, particularly in hospitality and tourism. Travel agents are one sector which has had a collapse in revenue and income more generally. The Government took a decision to continue and extend the wage subsidy scheme to April of next year and there will be ongoing monitoring of the impact of that extension on certain jobs and enterprises. The Government is also looking at sectors which, because of Government mandate arising from public health advice, are not in a position to keep going now or to be viable. We are looking at those sectors as well.