New wage subsidy scheme to put businesses under 'severe pressure'

The Employment Wage Subsidy Scheme goes live on September 1 and is expected to cost the exchequer €2.3bn by the time it comes to a conclusion on March 31.

Employers claim the Government’s new wage subsidy scheme, which comes into force on Tuesday, will place “severe pressure” on already struggling businesses and hit those on low incomes hardest.

The Employment Wage Subsidy Scheme, successor to the temporary subsidy scheme which has supported more than 62,000 employers and 600,000 employees, will go live from September 1.