People Before Profit TD Bríd Smith has called for tech companies to pay a ‘solidarity tax’ to help the country through the COVID-19 pandemic.

Deputy Smith has criticised the cuts to COVID-19 payments while cases are rising and fresh restrictions look increasingly likely.

On Newstalk Breakfast this morning, she said the payments need to be immediately restored – and called for companies that have profited through the outbreak to pay higher taxes.

“I would be very happy to see those who profited hugely during the pandemic – like the tech companies – pay a solidarity tax to society because their profits soared while workers’ wages went down,” she said.

“I would be happy to see a flattening the curve of the income in this society – a sharing of the wealth in this society – so that we can get through this together.”

The Pandemic Unemployment Payment was originally available to all workers who lost their job as a result of the pandemic at a rate of €350 per week.

The payment was split into three rates earlier this month – €300 for people who were earning over €300 per week; €250 for those earning €200-300; and €203 for those earning less than €200.

Meanwhile, the Temporary Wage Subsidy Scheme, which offered businesses subsidies of up to €410 per week, was replaced by the Employment Wage Subsidy which offers a maximum of €203.

Deputy Smith said the cuts “send out the wrong social message” at a time when officials need to convince people to follow COVID-19 guidelines.

“Why the hell would you cut the subsidy that you have given to exist; to be able to follow the public health guidelines and to let people know that, indeed, we are all in this together,” she said. “As soon as it starts to rise again, we start cutting their payments.

“It is a huge cut. If you were getting €350 a week and it is down to €300, or €300 down to €250 or indeed on the wage subsidy scheme from €410 down to €203, that is a massive cut and it will make your life very difficult to maintain.”

She said the fact that the payments are calculated based on earnings in January and February means anyone whose earnings are seasonal has been impacted.

“There are seasonal workers who don’t get work in January and February but maybe has earn a lot more in the rest of the year,” she said.

“They had part time hours probably cut back in the months after Christmas. They could be artists or taxi drivers or people in the gig economy who don’t always earn that low and sometimes peak it up.”

She said she has no problem with the “tiny minority” of people who were earning more through the payments than they were when they were working.

“I am happy to see that because we do need that to sustain people through the pandemic,” she said. “People who can’t go back to work; who can’t get another job.2

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