Irish hair and beauty industry receives advice on safety and continuity during COVID-19 crisis

With the majority of hair and beauty salons and spas across Ireland temporarily closing or about to close as a result of the COVID-19 crisis, the advice being given to those businesses has moved from health and safety and hygiene guidelines into areas such as HR, finance and tax.

Since last week, the country has been in the delay phase of the virus, which is essential for the protection of life. The critical implementation of social distancing has meant that businesses like salons and spas must remain shut to the public for now in order to protect their clients, employees and their families.

Taoiseach Leo Varadkar made a televised address on St Patrick’s Day to appeal for co-operation and to reassure the nation. Once the country wins the health battle, there’s an an economic one to fight, he noted. “We went into this crisis with a strong economy and the public finances in good order. We have the capacity and credit rating to borrow billions if we need to. I am confident that our economy will bounce back.”

As the Irish Government works to tackle the COVID-19 outbreak and safeguard the health of its people and economy, the following list outlines some of the supports salons, spas, suppliers and their staff can avail of during the coming weeks:

•  Industry guidance: Organisations like Habic (Hair and Beauty Industry Confederation) are keeping members regularly updated on social media, with a range of supports available to businesses that are confused, struggling or seeking direct guidance. With the Irish business environment changing so rapidly as the Government responds to the crisis, Habic’s Facebook page is updated accordingly.

• Business continuity planning: The Department of Business, Enterprise and Innovation has a user-friendly six-page document entitled ‘Business Continuity Planning: Checklist of preparatory actions in responding to COVID-19’, which is available to download on its website www.dbei.gov.ie. The checklist identifies a range of issues for businesses to consider in responding to the outbreak. Public health advice posters are also available to download on the website.

• Employer options: The Employer COVID-19 Refund Scheme is for employers who have closed their business but continue to pay workers a minimum of €203 weekly. This can be claimed back from the Government, which is encouraging employers to retain employees where possible. While the refunds will take some time to process, the banks will provide working capital finance in the form of overdrafts or short-term loans to cover costs. Employees receiving this payment from their employers do not need to join the Live Register.

• Employee/self-employed options: The COVID-19 Pandemic Unemployment Payment is available to all employees and the self-employed who have lost employment due to a downturn in economic activity caused by the pandemic. It will be paid for a period of six weeks at a flat rate payment of €203 per week and is designed to quickly deliver a social welfare payment to the unemployed and provide income security during this period.

• Government loan assistance: Also available is the COVID-19 Business Loan from Microfinance Ireland, which is a Government initiative to support small businesses through the current period of uncertainty and protect job creation or sustainment in Ireland. And Local Enterprise Offices in every county provide a range of business supports for micro-enterprises, including business continuity and preparedness advisory supports connected to the COVID-19 outbreak.

• Revenue measures: Revenue now has measures in place to assist SMEs experiencing cashflow difficulties arising from the crisis. It advised that businesses experiencing temporary cashflow difficulties should continue to send in tax returns on time. The application of interest on late payments is suspended for January/February VAT and both February and March PAYE (Employers) liabilities. Furthermore, all debt enforcement activity is suspended until further notice, and current tax clearance status will remain in place for all businesses over the coming months.
  Meanwhile, as self-isolation and social distancing are currently the new normal in Ireland, it’s more important than ever that businesses maintain a visible online presence. While they may not be able to physically see or interact with clients, they can keep them regularly informed about the status of their businesses through a variety of social media channels.

A statement from the National Public Health Emergency Team on the evening of St Patrick’s Day, 17 March, confirmed that there are now 292 confirmed cases of COVID-19 in Ireland, a number that is expected to rise on a daily basis. The HSE is working rapidly to identify any contacts the patients may have had, to provide them with information and advice to prevent further spread.