The Isle of Man Government has announced the implementation of a new financial incentive designed to encourage workers to take on second jobs and additional hours in the hospitality and retail sectors during the 2024 TT fortnight.
This initiative, spearheaded by the Department for Enterprise in collaboration with the Treasury and the Economic Strategy Board, aims to address the anticipated high demand due to the influx of visitors.
Yesterday, government announced four support measures to help struggling hospitality firms, including the launch of a new dedicated online support resource.
It comes following mounting concerns from the hospitality industry, and last month an urgent ‘call to arms’ meeting was held at the Creg-ny-Baa, which was attended by members of the Licensed Victuallers’ Association (LVA), the Isle of Man Restaurateurs’ Association and other representatives from the hospitality sector.
Following the meeting, the LVA issued a strong statement calling for changes to minimum wage legislation and tax policies.
This plea was supported by the Chamber of Commerce, which highlighted the escalating financial pressures on businesses. The newly introduced TT Hospitality and Retail Staffing Incentive Scheme will be available exclusively to businesses in the hospitality and retail sectors.
Under this scheme, businesses can apply for additional funding, which must be passed on directly to their staff.
Eligible businesses will receive financial assistance for every 10 additional hours worked by an employee each week, with a maximum of £100 per week per individual.
This support is specifically for hours worked beyond the standard 37-hour workweek during the qualifying period from Monday, May 27 to Sunday, June 9, 2024. Tim Johnston MHK, Minister for Enterprise, highlighted the dual benefits of the event. He said: ‘As the island gears up for the TT, we have heard from industry that there is a concern regarding the ability for businesses to scale up its staffing and deliver the expected level of service over the 2024 TT Race period.
‘It has long been understood that whilst the event as a whole provides significant economic benefit, in particular for hospitality and retail, it equally places increased demand on these sectors.
‘I hope this Scheme will provide some welcome financial assistance for businesses as they look to ensure they are able to maximise their opening hours over the two weeks, and pass this benefit directly on to their workers who are supporting with additional hours.
‘Clearly from an economic perspective, the island benefits from the additional visitor spend, and the wages being generated over this period feed back into our local economy.’
Dr Alex Allinson MHK, Treasury Minister, said: ‘The TT Hospitality and Retail Staffing Incentive Scheme is a short-term measure which seeks to relieve some of the pressures currently facing businesses in those sectors by incentivising individuals to earn more during a strategically important time for the sector and indeed the island’s economy.
‘In simple terms someone working an extra 10 hours over above their full time (37 hours per week) role, will receive an additional £50, with the maximum available being £100 per person, per week.
‘With TT due to begin shortly, I know many businesses already encourage their staff to consider supporting the local economy by taking a second job over the TT period, with the Isle of Man Government being no exception.
‘By introducing this additional support, I hope we will see more of our residents choosing to support the industry over this important and busy period.’
Government say the registration process for businesses is straightforward, requiring a declaration that they will pass the full monies to the individual workers.
A claim process will be available after the TT period concludes.
To find out more about the scheme, visit: https://www.iomdfenterprise.im/financial-support/funding/tt-hospitality-retail-staffing-incentive-scheme/
Potential applicants are encouraged to contact the Department for Enterprise by email at [email protected] or by telephone on 687333.