The Department of Social Protection has reported 63,000 Covid-19 payment claims have been closed since last week.
According to the department, this is the largest number of people to return to work in a single week since the outbreak of the coronavirus began.
The Department also reported the largest age group of workers returning to employment this week were in the 35-44 category.
The three main sectors with the highest number of workers returning to employment were reported as the Hospitality sector, Wholesale and Retail and Mechanical repair services by the Department.
Construction also saw a large number of workers return to employment.
A little less than 413,000 people will now receive the Pandemic Unemployment Payment (PUP) this week,
Speaking about the reduction in claims on the Covid-19 payment, Minister for Social Protection Heather Humphreys said the reopening of the economy and the numbers able to return to work were encouraging.
"While the Pandemic Unemployment Payment continues to provide financial support to almost 413,000 people who are out of work because of Covid-19, the figures published today show that the re-opening of the economy is picking up pace," Ms Humphreys said.
"Some 63,000 people closed their claim in the last week alone which is very encouraging.
"With Phase 3 of Re-opening Ireland Roadmap underway, an increasing number of businesses are now beginning to start back again.
"In the last week we have seen the highest number of people return to work in a single week, since the crisis commenced," Ms Humphreys said.
Since last week’s payment, 63,000 people have closed their claim for a #COVIDー19 Pandemic Unemployment Payment— welfare.ie (@welfare_ie) July 6, 2020
Read more in our latest #Covid19 payment update here:https://t.co/teATc2vxv2#covid19Ireland pic.twitter.com/Cieql2AW6n
However, 110,000 people will receive the lower rate of PUP as the new two-tier system comes into effect.
This means that those who earned less than €200 a week before the Covid-19 outbreak began will see their claim reduced from €350 a week to €203.
The remaining 300,000 recipients will continue to receive the €350 a week rate.
Meanwhile, 410,000 employees' wages are currently being topped up by the wage subsidy scheme.
65,500 employers have registered with Revenue for the Temporary Covid-19 Wage Subsidy Scheme.
Those who will continue to receive PUP are asked to confirm their eligibility no later than July 13.