Full list of people eligible for new €450 weekly payment

The government have confirmed this week that they will be rolling out a brand new payment of up to €450 a week.

The new Pay-Related Benefit system in Ireland will ensure that people with a strong work history receive enhanced benefits if they lose their employment.

It is set to come into effect later this year. Here’s everything you need to know about it, who will be eligible and how it works.

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What is Pay-Related Benefit and who can claim?

The new payment will be made available to people in Ireland who just became unemployed and are seeking employment.

Unlike the jobseekers’ allowance, the pay-related benefit will be proportional to the PRSI the recipient paid up to five years before they became unemployed.

How much is it?

The weekly rate of payment for people who have at least 5 years paid PRSI contributions will be set at 60% of previous earnings, subject to a maximum of €450 for the first 3 months.

After that, the rate will reduce to 55% of earnings, subject to a maximum of €375 for the following 3 months.

A further 3 months will be paid at the rate of 50%, up to a maximum €300 payment.

For people who have between 2 and 5 years paid contributions, the rate will be set at 50% of previous earnings subject to a maximum for €300 per week and 6 month’s duration.

When will it come into effect?

The Minister will bring forward a commencement order for the introduction of Pay Related Benefit later this year once the necessary IT systems have been developed.

People who lose their job before that date will be remain entitled to the existing Jobseeker’s Benefit.

How can the government pay up to €450 a week?

As per the PRSI Roadmap, which was agreed by Government last November, there will be a programme of incremental increases in all classes of PRSI (employer, employee and self-employed) totalling 0.7 percentage points over the next five years.

These increases will support the retention of the State Pension Age at 66 and help to address the long-term sustainability challenges facing the Social Insurance Fund and provide for the introduction of Pay-Related Jobseeker’s Benefit.