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Cooney calls for review of Wage Subsidy Scheme for disabled

Fine Gael TD for Clare, Joe Cooney, has called for a fundamental reform of the State’s wage subsidy scheme for people with disabilities, arguing that the current model is rooted in a charitable and compensatory mindset rather than genuine empowerment and equality.

Speaking in the Dáil, Deputy Cooney highlighted that the maximum rate under the wage subsidy scheme is capped at 50 per cent of the minimum wage, a structure which he said sends the wrong signal to employers and society.

“State policy is effectively telling employers that people with disabilities can only ever work at entry level,” Deputy Cooney said. “That is the wrong approach. We should instead be building capacity and recognising value, by creating clear pathways for people with disabilities to progress to the highest levels they can attain.”

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Deputy Cooney said the core flaw in the current wage subsidy scheme is that it is framed around compensating employers for a perceived lack of ability.

“That is not empowerment, it is charity,” he said. “The employment support schemes that work best are those that focus on enabling people with disabilities to do their jobs to the fullest and to contribute on an equal basis with others. Disability is not a deficit. With the right supports, people perform to the highest standards.”

He pointed to real-world examples where targeted employment supports have delivered benefits not just for the individual, but for employers, colleagues and wider society.

He continued, “When we invest properly, everyone gains, including the employee, the employer, the workplace and society. That is what a modern disability employment policy should look like.”

Responding in the Dáil, Social Protection Minister Dara Calleary TD acknowledged progress in increasing employer participation in the scheme but accepted that more needs to be done.

The Minister noted that while 474 employees were supported under the scheme when the previous employment support closed in 2005, today more than 2,500 employees across 1,518 employers are benefiting. He also outlined recent Budget 2026 increases to wage subsidy rates and additional supports for employers.

Deputy Cooney welcomed the Minister’s engagement but stressed that reform must go beyond rate increases.

“I acknowledge the improvements made, but the underlying philosophy of the scheme must change,” he said. “We need to move decisively from a compensatory model to one that genuinely supports equality, progression and full participation in the workforce. People with disabilities have extraordinary skill and talent to offer. Our policies must reflect that.”

Deputy Cooney said he will continue to engage with the Minister to ensure the wage subsidy scheme evolves into a system that truly enables people with disabilities to contribute on an equal footing in the workplace.

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