Does anyone know how this scheme works? My wife works for a large company directly impacted by this crisis. Before this scheme was announced, her company reduced the hours worked and pay by 50% for the months of April and May. So basically the company agreed to pay 50% of the salary for everyone.
We then had a position where this scheme was announced where the State will basically pay 70% of the average net weekly salary up to €410 a week and the company can top up if they are in a position to do so. My wife and all other employees took this to mean that they won't be down to 50% of the salary as the State has stepped in and the Company had already agreed to pay 50% and so most have been in a position to pay. Now the company has turned around and said that employees pay will basically be the €410 and the company will top this up if necessary to ensure that employees get 50% of their average Salary. My wife works part time so social welfare is now basically paying her entire wage and the company who was in position to pay before this scheme was announced is paying nothing or a nominal amount. There is also no incentive to work for those months either. She is going to work knowing that it the taxpayer that is paying her salary. I thought the idea of the scheme was an alternative for company's rather than letting off staff and to ensure that employees would keep as much income as possible. I didn't know large companies with large cash reserves and thousands of employees who said they were in a position to pay 50% salary for two months are basically using the scheme to have a zero payroll for those months.
The taxpayer is getting screwed on this.
We then had a position where this scheme was announced where the State will basically pay 70% of the average net weekly salary up to €410 a week and the company can top up if they are in a position to do so. My wife and all other employees took this to mean that they won't be down to 50% of the salary as the State has stepped in and the Company had already agreed to pay 50% and so most have been in a position to pay. Now the company has turned around and said that employees pay will basically be the €410 and the company will top this up if necessary to ensure that employees get 50% of their average Salary. My wife works part time so social welfare is now basically paying her entire wage and the company who was in position to pay before this scheme was announced is paying nothing or a nominal amount. There is also no incentive to work for those months either. She is going to work knowing that it the taxpayer that is paying her salary. I thought the idea of the scheme was an alternative for company's rather than letting off staff and to ensure that employees would keep as much income as possible. I didn't know large companies with large cash reserves and thousands of employees who said they were in a position to pay 50% salary for two months are basically using the scheme to have a zero payroll for those months.
The taxpayer is getting screwed on this.