In a further strand of Ireland’s wide-ranging immigration overhaul, the Government has approved an income-based contribution scheme for asylum seekers who are in paid employment. From late-2026, residents of Direct Provision or tented centres earning wages will contribute 10 %–40 % of their income—between €15 and €238 a week—towards the cost of food and lodging now covered entirely by the State. Roughly 7,500 asylum seekers currently hold work permits, filling labour shortages in hospitality, agriculture and healthcare.
Officials estimate the measure could recoup €25–30 million a year, money earmarked for faster asylum case-handling and improved reception facilities. Deductions will be taken at source by accommodation providers, so payroll departments will need written confirmation of the charge for tax and benefits calculations. A hardship waiver will apply to those earning under €97 a week.
![Working Asylum-Seekers to Pay Up to €238 per Week for State Accommodation]()
Advocacy groups fear the policy may push low-paid workers into undeclared employment to avoid deductions, but the Department of Justice notes that similar contribution systems operate in several EU states. The year-long lead-in is designed to give IT providers time to adapt payroll systems and to allow residents to adjust household budgets.
For employers, the immediate task is to stress-test net-income scenarios—particularly for shift-based staff—and ensure that salaries offered remain attractive once deductions are in force. HR teams should also review employment-permit policies to confirm that any hardship funding does not jeopardise minimum-salary thresholds required for permit renewals.
Mobility advisers should prepare updated cost-of-living guidance for incoming staff who may be subject to the new charges and clarify whether corporate relocation packages will cover any portion of the accommodation contribution.
Officials estimate the measure could recoup €25–30 million a year, money earmarked for faster asylum case-handling and improved reception facilities. Deductions will be taken at source by accommodation providers, so payroll departments will need written confirmation of the charge for tax and benefits calculations. A hardship waiver will apply to those earning under €97 a week.
Advocacy groups fear the policy may push low-paid workers into undeclared employment to avoid deductions, but the Department of Justice notes that similar contribution systems operate in several EU states. The year-long lead-in is designed to give IT providers time to adapt payroll systems and to allow residents to adjust household budgets.
For employers, the immediate task is to stress-test net-income scenarios—particularly for shift-based staff—and ensure that salaries offered remain attractive once deductions are in force. HR teams should also review employment-permit policies to confirm that any hardship funding does not jeopardise minimum-salary thresholds required for permit renewals.
Mobility advisers should prepare updated cost-of-living guidance for incoming staff who may be subject to the new charges and clarify whether corporate relocation packages will cover any portion of the accommodation contribution.
