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Paschal Donohoe is 'examining' maternity leave exclusion from Covid-19 wage subsidy

The Finance Minister had said previously that it wasn’t possible to change the Covid-19 wage subsidy scheme to suit each individual.

FINANCE AND PUBLIC Expenditure Minister Paschal Donohoe has said that he is “examining the issue” of women returning from maternity leave not being eligible for the Covid-19 Temporary Wage Subsidy Scheme (TWSS).

As part of the scheme, employees need to submit a payslip from January and February, which women who are on unpaid maternity leave wouldn’t be eligible for the scheme, and women who are on paid maternity leave would be only entitled to a fraction of their former salary.

The TWSS makes up to €450 available per employee on the basis that employers keep workers on their books. Revenue has advised employers to simply pay women the full pay that they’re entitled to, if they aren’t eligible for the scheme.

This anomaly would also affect people who are on paternity leave, illness benefit or off-pay leave, and has been criticised as having the “potential to be discriminatory”.

One employer said about the exclusion issue: “Employers are at risk of breaking legislation, and families are at risk of poverty.”

Speaking to reporters at Government Buildings yesterday, the Minister said this in response to a question from TheJournal.ie:

It particularly developed there over the last couple of weeks, and is a consequence of the fact that I had a particular date on the legislation in relation to the Wage Subsidy Scheme, and we had a focus on the WSS of looking at those citizens who were on the pay roll at that point in time.
I am examining that issue at the moment, but of course I do have to be mindful that there are many other groups of citizens at the moment who are looking to enter the wage subsidy scheme, and for different reasons that has not been possible. But I am examining that issue because it absolutely not my intention to be discriminating in any way against any part of or workforce or returning workforce.

He said that the Revenue Commissioner and the Department of Finance are “looking at that issue at the moment”. 

When asked about the issue on RTÉ’s Today programme minister for Justice and Equality Charlie Flanagan said that he “understands that this is an issue”, and he is due to speak to his colleague, Social Protection minister Regina Doherty about this.

The temporary wage scheme was meant to be temporary, he said, adding that half a million people are involved in it. “I don’t want to preempt any government meetings, but there will be news on this by the end of the week,” he said.

In a letter to the National Women’s Council of Ireland (NWCI), Donohoe’s Department said that the TWSS has developed “quickly”, and said that “it must be accepted that the TWSS simply cannot be adapted to meet the particular circumstances of individual employers or employees”.

The scheme does not distinguish between ordinary wages, shift allowances, overtime, bonuses or commission or between part-time or full-time employees. Moreover, the scheme has no role in relation to the employer/employee relationship in so far as terms, conditions and entitlements of the employment are concerned.

The letter advises that women who are due to return to work but cannot because of the Covid-19 pandemic are entitled to the Pandemic Unemployment Payment. This would mean that these women would have to be made unemployed, and wouldn’t be kept on their employers’ payroll.

The issue has been referred to the Irish Human Rights and Equality Commission by the NWCI, which said it was “a matter of concern”, and the IHREC would be examining the issue “in detail”.

It’s estimated that around 20,000 women claim maternity leave benefits each year, and around half of this cohort do not receive top ups from their employer.

Although the issue only affects women who have been on maternity leave in January and February, and returned to work in March, April or May, as time goes on and more women return to work, the number of women it affects will increase.

Added to this cohort are those who were on paternity leave, illness benefit, or off-pay leave in January or February. 

With reporting from Christina Finn at Government Buildings. If you are affected by this issue, please get in touch: grainne@thejournal.ie

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24 Comments
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    Mute Liam Byrne
    Favourite Liam Byrne
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    May 20th 2020, 10:38 AM

    If they are returning to work, they should be entitled to it. They are still employed by the company and in some cases the employer is making up the difference between the maternity payment and their normal pay.

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    Mute Aidan
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    May 20th 2020, 11:17 AM

    @Liam Byrne: yep, it really is that simple

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    Mute Dave Nomates
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    May 20th 2020, 1:08 PM

    Pisschal is looking at it,
    Translation = he’s hoping to limp it along to the summer holidays, Just as the new government is announced and just before they all feck off till September.

    34
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    Mute Henry Clarke
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    May 20th 2020, 10:53 AM

    Never mind examining it. It should be just a case of getting it done.

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    Mute David Corrigan
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    May 20th 2020, 11:15 AM

    @Henry Clarke: Our Packie needs to sound important so he puts out those kind of statements. In reality he has no idea what’s going on between the time he wakes up in the morning until the time he goes back to sleep at night.

    59
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    Mute Ciaran O'Mara
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    May 20th 2020, 2:31 PM

    @Henry Clarke: if you read section 28 of the Emergency Act passed in March, it only applies the payments to “specified employees”, that is defined as an employee on the payroll of the employer on February 29.
    So you need to change the law to give workers returning from maternity leave the payment. That needs a Seanad to pass it. We dont have a complete one yet as we have not elected a new Taoiseach.

    So this problem cannot be solved until we get a new government.

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    Mute Henry Clarke
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    May 20th 2020, 4:52 PM

    @Ciaran O’Mara: I was on paternity leave for 3 weeks at the start of Feb and as such I didn’t have the required 9 weeks pay to qualify for a full covid subsidy. I as only getting an average of my wage over 6 weeks. Hard to try live on that. But I called the helpline/revenue and stated my case that I wasn’t on the company books (my boss didn’t top up the paternity payment) because of being on paternity leave. They agreed to my request and I received the full subsidy. So if revenue or sept of social Welfare Can make the decision to pay me, surely the ministers in charge shouldn’t have any trouble coming up with a quick solution.

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    Mute Ciaran O'Mara
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    May 20th 2020, 6:16 PM

    @Henry Clarke: You were lucky as the section in the Act is quite clear. We need legislation to fix this and that needs a government to appoint senators to pass the law.

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    Mute Henry Clarke
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    May 20th 2020, 9:20 PM

    @Ciaran O’Mara: phew. Say nothin so

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    Mute james kelly
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    May 20th 2020, 11:13 AM

    This is my wifes last week on maternity. I stopped working 2 weeks before the covid payment camd in to have a spinal operation.niether of us are entitled to the 350. As far as i knos we will be getting 380 a week for me my wife and 2 kids. Already lost 1 car. Accounts overdrawn. I was a store manager. My part time/teenage, living at home staff are earning more than me. Not company owner, expendable to him and the government. Dont know whats around thd corner. I cant afford my loans now either.

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    Mute Henry Clarke
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    May 20th 2020, 11:52 AM

    @james kelly: jaysus. That’s tough James. Sorry to hear of your trouble. Hopefully things start to look up for you soon.

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    Mute james kelly
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    May 20th 2020, 1:20 PM

    @Henry Clarke: thanks henry

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    Mute Marie Lynch
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    May 20th 2020, 5:46 PM

    @james kelly: James go to CIC citizens information centre they may be able to advise you on what’s available from social welfare also they have a money advise and budgeting service who may be able to negotiate with your lenders on your behalf during this time

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    Mute Marie Lynch
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    May 20th 2020, 5:51 PM

    @Marie Lynch: also apply for a medical card
    from HSE

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    Mute Motherofthree
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    May 20th 2020, 10:48 AM

    This should be quick and relatively easy to implement, get it done.

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    Mute LFCMAD_94
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    May 20th 2020, 10:41 AM

    Never mind that McDonald’s is open today

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    Mute Diarmuid
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    May 20th 2020, 11:01 AM

    Whats the delay? They know the issue, get it bloody done. FG were quick enough to extend the Cinderella clause for tax exiles, can they not get their finger out for women returning from maternity leave?

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    Mute Criostoir Mac Ranghaill
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    May 20th 2020, 12:07 PM

    Paschal enough waffle no need to examine payments
    Get your finger out and pay these deserving mothers their rightful rewards.

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    Mute Margaret Deacon
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    May 20th 2020, 12:17 PM

    Maybe he can consider over 66 s also we are losing a lot as both of us were working

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    Mute Florin Strango
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    May 20th 2020, 11:47 AM

    In last 9 years me and my wifey paid around 55 000 in taxes…ok some of it goes to our prsi …but we will get this pension when u are still ,maybe on 68 years….you need to have 520 contribution….we ha ve left 48 weeks.Now even we did not get a free gp visit for our little boy…any benefits…these 350 or some of it will be paid back by me ..the goverment gives u with one hand and take with two..UNTIL 2021 DECEMBER …TOUGH TIMES …wages will be cut…bosses will abuse the situation…landlords will increase demands…jobs will be lost…low skilled jobs will demand workers…believe me a lot people will go back to their countries…i was getting 600 pw as hospitality supervisor…

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    Mute Nelse
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    May 20th 2020, 11:53 AM

    @Florin Strango: I hope you mean 55000 per year, not 55000 in 9 years

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    Mute Florin Strango
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    May 20th 2020, 6:41 PM

    I did work part time from 9 years …a total…of 3-4 years….How much you pay for a week?Same my working years for my wife ….

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    Mute Margaret Kane
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    May 20th 2020, 4:38 PM

    What entitlement do you get if your on two days a week due to the covid 19

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    Mute Marie Lynch
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    May 20th 2020, 8:35 PM

    @Margaret Kane: Margaret you need to contact your local INTREO social welfare office have your pps number and they will advise you Or your local CIC office

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