Labour leader Alan Kelly has said the government’s decision to “taper off” the Pandemic Unemployment Payment is “completely wrong” and believes it will be reversed.
Mr Kelly said he has “deep concerns” about the cut off of the payment given so many people in the arts, travel, hospitality and entertainment sectors will remain out of work in the months ahead.
He believes the government will be forced to reverse the decision as there “are so many unknowns” in relation to the pandemic.
He said: “I think the government has made a wrong decision here and it’s going to be something that will have to be reversed.
“I think there’ll be a lot of public anger and from the sectors who will be affected.
“There will be a considerable number of people still unemployed because of the pandemic...there’s quite a quantity of people who lost their jobs because of the very necessary public health measures.”
Mr Kelly said he would like the current rate of the PUP to stay in place until some time next year.
Mr Kelly also said the government’s decision to extend special powers to gardai until November is a contradiction given they are looking to cut back on the PUP in mid-September.
Labour’s spokesperson on Finance, Public Expenditure and Reform, Ged Nash, said many Ministers have been using the term “cliff edge” and how it would be avoided.
However, he said if an individual is on the PUP and in September will see a €50 per week drop in income, “that is a cliff edge fall in anyone’s income when you’ve got rental costs, fixed utility costs and fixed childcare costs.”
He said: “We believe there will be a revolt in the government backbenches when they understand the cuts that they are proposing will have on hard working people who are very anxious to get back to work.”
