The fast-approaching end of the government’s furlough scheme has prompted Northern Ireland’s Finance Minister Conor Murphy to plead with the Chancellor to extend the scheme beyond September.
The minister, who has written to Rishi Sunak, said there is a growing risk of large-scale redundancies amongst the 36,000 Northern Ireland workers who are still on the support which is due to end on 30th September.
He urged the Chancellor to follow the lead of the Irish government which is keeping its furlough equlivalent – the Employment Wage Subsidy Scheme – in place until the end of the year.
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Across the 海角视频, 1.6 million people are still on furlough, just a fraction of the nine million at the peak of the pandemic in May 2020.
Economists have joined Mr Murphy in warning the government that redundancies could be rife once furlough ends, or workers may be forced into low paid jobs.
There has been suggestion that workers coming off furlough could help fill widely-flagged shortfalls in other sectors – such as lorry drivers, meat processors and others – although given many of those still on furlough are from the hardest hit sectors such as retail and hospitality, it’s likely to need significant training if that were to work.
“Many industries are still recovering from the impact of the pandemic with over 36,000 people here remaining on furlough,” Mr Murphy said. "I am concerned that closing the scheme at this stage could lead to large scale redundancies.
“An extension is needed to support businesses, sustain jobs, and protect the livelihoods of workers and their families. I have written to the Chancellor urging him to extend the furlough scheme beyond the end of September.”
“The approach taken by the British Government is in contrast to the Irish Government which is keeping its Employment Wage Subsidy Scheme in place until at least the end of December. This disparity of wage support across the island of Ireland could particularly impact businesses operating in border counties, especially in our hospitality and retail sectors who still continue to rely on these jobs support schemes, North and South.”