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Wage Subsidy Scheme

The FÁS Wage Subsidy Scheme provides financial incentives to employers, outside the public sector, to employ disabled people who work more than 20 hours per week.

A person on the Wage Subsidy Scheme is subject to the same conditions of employment as other employees. These conditions include PRSI contributions, annual leave, tax deductions and the going rate for the job.

Subsidies available through this scheme are Structured under 3 separate strands and employers can benefit under one or all, simultaneously.

Scheme Structure

Strand I subsidy is a general subsidy for any perceived productivity shortfall in excess of 20% for a disabled person, in comparison to a non disabled peer. An employee must work a minimum of 21 hours per week up to a maximum of 39 hours per week. The rate of subsidy is €5.30 per hour and is based on the number of hours worked, giving a total annual subsidy available of €10,748 per annum based on 39 hour week.  

Strand 2 applies where a company employs more than two disabled people. The company can avail of a grant to cover the additional supervisory, management and other work based costs. This top-up is based on the overall number of disabled employees employed and will range on a sliding scale from an additional 10% of wage subsidy for 3 to 6 disabled employees to a maximum of 50% of wage subsidy for 23+ disabled employees.

Strand 3 is where an employer employs 30 or more disabled workers. The employer can avail of a grant of €30,000 per annum towards the expense of employing an Employment Assistance Officer.

Application

  • The employer contacts their local FÁS office and obtains a Wage Subsidy Application Form;
  • FÁS, the employer and employee agree the wage subsidy to be paid following the first month of employment (download the Bank Authorisation form);
  • The employer pays the going rate for the job, as per any other employee.

Contact FÁS

If you are a disabled person or an employer and you need further information about the Wage Subsidy or other schemes, contact your local FÁS Office.

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