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Breaking News Ireland: Minister Cuts Minimum Hours for Disability Employment Subsidy

Ireland lowers the minimum hours for its disability employment wage subsidy from 15 to eight as the Minister urges employers to create more jobs.

Ireland’s disability employment gap remains too wide, Social Protection Minister Dara Calleary has said, as the Government lowers the minimum weekly hours required for a wage subsidy from 15 to eight. The change is designed to help more employers offer sustainable jobs to people with disabilities.

Key facts about the disability employment changes

  • The minimum required employment hours have fallen from 15 to eight.
  • The wage subsidy scheme currently supports 2,695 employees and 1,614 employers.
  • The scheme has been extended to voluntary, community and non-commercial semi-State organisations.
  • Employers can receive between €7.50 and €10 per hour for eligible workers, depending on staff numbers.
  • The Government is seeking greater participation from employers across Ireland.

Breaking News Ireland: why the subsidy rules are changing

Speaking in the Dáil, Mr Calleary said the number of people with disabilities in employment is still not sufficient. The revised rules are intended to remove one barrier for employers and workers who may benefit from shorter, gradual or more flexible working arrangements.

The change follows engagement with disability organisations and employers, as well as recommendations from a 2024 review of the scheme. That review had already reduced the minimum requirement from 21 hours to 15. The latest decision brings the threshold down again, to eight hours.

The Minister described the move as potentially significant, while acknowledging that it is only one part of a broader effort to narrow the employment gap between disabled and non-disabled people in Ireland.

Who can benefit?

The revised scheme is aimed at employers who recruit eligible workers with disabilities and need financial support to make those positions viable. Its expansion to community and voluntary organisations also widens the range of workplaces able to participate.

According to the figures provided by the Department of Social Protection, 1,614 employers were using the scheme in October, supporting 2,695 employees. State spending on the programme reached €22.1 million in 2025.

How Ireland’s disability wage subsidy works

The payment varies according to the number of disabled employees a company has:

  • Employers with one to six eligible employees can receive €7.50 per hour for each worker.
  • The rate increases to €8.50 per hour for employers with up to 16 eligible employees.
  • Companies employing 25 or more eligible workers can receive €10 per hour.

For larger employers, the grant for an employment assistance officer is also increasing. Where a company with at least 25 disabled workers employs someone in that role, the annual State payment will rise from €30,000 to €45,000.

Employment assistance officers can help with workplace integration, communication, practical adjustments and ongoing support. These measures are intended to give employers greater confidence while helping workers remain in employment.

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Minister points to Mr Price as an example

Mr Calleary highlighted discount retailer Mr Price as an employer that has made disability inclusion part of its workforce model. He said 18 per cent of the company’s employees have disabilities and described it as an example other firms could learn from.

The Minister said some employers may see the process as risky or difficult. He argued that visible examples of successful recruitment can help change that perception and encourage more businesses to investigate the subsidy scheme.

Following engagement with Mr Price during Disability Work and Skills Week, the Department reported increased communication from employers interested in taking part.

Disability employment gap remains a major concern

Maurice Quinlivan, chair of the Oireachtas committee dealing with disability matters, welcomed the reduction in required hours. He said people with disabilities can make a substantial contribution to the workforce when the right supports are available.

However, he also called for the wage subsidy to be increased further. He urged the Government to strengthen career supports for young people with disabilities, particularly during the transition from school to further education, training and work.

Mr Quinlivan referred to the Walk Peer programme, which is designed to provide employment routes for students in special schools. Transition supports can be important because young people may otherwise face a gap between leaving education and finding suitable training or work.

What happens next?

Mr Calleary plans to continue discussions with employer groups during January. The Government will be looking for more companies and organisations to use the revised scheme and create additional opportunities.

The immediate test will be whether reducing the hours threshold leads to a meaningful increase in participation. A larger number of supported positions would indicate that the change is helping employers offer roles that might not previously have met the scheme’s minimum requirement.

For employees, the policy could make part-time work, gradual progression and supported employment more accessible. For employers, the financial assistance may help cover some of the additional costs associated with recruitment and workplace support.

Frequently asked questions

What has changed in the disability employment scheme?

The minimum employment requirement has been reduced from 15 hours to eight hours. The scheme has also been extended to voluntary, community and non-commercial semi-State organisations.

How much financial support can employers receive?

The hourly subsidy ranges from €7.50 to €10 per eligible employee, depending on the number of disabled workers employed by the organisation.

How many employers and employees currently use the scheme?

As of October, 1,614 employers were using the scheme to support 2,695 employees.

Why does the change matter?

Lowering the threshold may make it easier for employers to offer shorter or more flexible working arrangements, potentially helping more people with disabilities enter or remain in employment.

What this means for Ireland

The Government’s latest move recognises that a single employment model does not suit every worker. Reducing the minimum hours may help remove a practical barrier, but the wider disability employment gap will require sustained action from employers, policymakers and education providers.

For now, the clear message is that Ireland needs more inclusive workplaces, stronger transition supports and employers willing to turn recruitment commitments into lasting jobs.

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