PUP Cut Taking Money Out Of The Economy When We Need Investment

  • PUP cut taking money out of the economy when we need investment
  • 140,000 people still on PUP as many industries still not fully re-opened
  • PBP to propose large increase in basic social welfare payments in upcoming budget

Many of those on the PUP will see their income fall by €50 from today, as rates of payment have been cut. The changes are:

Pre-pandemic wagePrevious PUP rateNew PUP rate
€400+€350€300
€300 – €399.99€300€250
€200 – €299.99€250€203

This means many workers will now have a weekly income of €100 to €150 less than pre-pandemic levels.

People Before Profit have warned that this will unfairly punish those still out of work through no fault of their own, and also take money out of the economy “precisely when we need major investment, to rebuild our society”.

PBP Social Protection spokesperson, Paul Murphy, said:

“Not only is this cut unfair, it is also damaging to the recovery. This will take millions out of peoples pockets precisely when we want them going back out and spending, helping to rekindle the economy.

“The numbers on the PUP have fallen rapidly, as people get the opportunity to go back to work they are taking it. But for many, it is still simply not possible to return to work as their industries are not fully re-opened yet. For instance, for those in the arts and entertainment industries, it will be at least another month or more before things properly re-open. This cut in peoples income does nothing to actually create jobs, all it does is punish those who are still out of work through no fault of their own.

“The pandemic has highlighted just how inadequate our previous levels of social welfare supports were. When it really came to it, even Fine Gael had to admit it was impossible to expect people to live on €203 a week, yet that is what we expected of many, and it seems that is what they want to go back to. Instead we need to be dramatically improving basic welfare payments in this country, which People Before Profit will be proposing in our upcoming alternative budget.”

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