Employment Wage Subsidy Scheme

Author: Brandon Louw

    1 minute read    

The Employment Wage Subsidy Scheme (EWSS), a COVID-19 relief measure, is effective from tomorrow (1 September 2020) is currently expected to run until 31 March 2021 (although provision has been made for a possible extension at a later stage). This scheme replaces the Temporary Wage Subsidy Scheme (TWSS) which comes to an end today (31 August 2020). 

If your business’s turnover has been impacted by COVID-19 and you require cash flow relief to pay employees, you may qualify for the new EWSS. The specific eligibility requirements for receiving the EWSS are outlined on our help page.

As a result of the changes discussed above, we have made adjustments to the system to assist you in making claims and to keep you compliant:

  • The Temporary COVID-19 Wage Subsidy Scheme system item on SimplePay can no longer be added to payslips dated after 31 August 2020. 
  • We have created a new system item called Employment Wage Subsidy Scheme which can be added to payslips dated after 31 August 2020. 

The new EWSS system item should only be added if you are a qualifying employer AND it should only be added to the payslips of qualifying employees. You need to evaluate eligibility on a monthly basis. Revenue may consider it an offence if you add it to payslips if the qualifying criteria have not been met for that period.  

Adding the new EWSS system item to an employee’s payslip will have no impact on an employee’s payslip or any of its calculations. However, it will be reported to Revenue when completing your submission for the pay period so that claims can be calculated and validated, since the subsidy amount depends on an employee’s earnings:

Employee Gross Weekly Wages Subsidy Payable
From € 151.50 to € 202.99 € 151.50
From € 203 to € 1,462 € 203

The total subsidy amount calculated for all employees as a result of these claims will then be paid out by Revenue on a monthly basis.

For more information on this scheme, head to our help page.

Team SimplePay