Wages of newly-hired staff could be subsidised by the State under a fresh stimulus proposal.
The plan, soon to be announced by the Government, would be aimed at helping to stimulate economic recovery.
Meanwhile, changes to the pandemic unemployment scheme come into effect this week.
The original weekly pay of €350 will now only go to those who earned €200 or more before the pandemic. Those who earned less will see their payment cut to €203.
At the moment, just under 439,000 people are receiving the weekly unemployment payment.
Meanwhile, the current Temporary Wage Support Scheme is only available to businesses and their staff who were employed before the pandemic began. The incomes of 405,000 employees are currently being supported by the State through this scheme.
Members of the business community have insisted that continued State support is needed for economic growth and recovery.
Last week, Fergal O’Brien, director of policy with employers’ group Ibec, called on the new Government to assist businesses as part of the July stimulus package.
He said: “We need to save as many businesses and jobs as possible and it’s urgent that happens over the month of July.
“We need a simple grants system that will work, lower cost loans and support for hospitality and domestic businesses to get people in jobs and back spending.”
On Friday, the Central Bank of Ireland predicted that the Government’s budget deficit will rise to over €23billion this year - and this is before the additional costs under the July stimulus measures are taken into account.
The financial regulator also warned that, according to a worst-case scenario, the deficit could reach over €30billion if the pandemic makes an early return.
However, it also said Government supports for struggling businesses should remain in place for the moment.
