Treasury to pay salary and NI costs
More than 100 new work placements are being created for those who've been jobless for three months or more.
The treasury will back the initiatve by paying salary and national insurance costs for private firms to a maximum of 70 per cent of the living wage.
It's as unemployment stands at 881 people following the impact of the ongoing health crisis, more than double the total this time last year.
The scheme is set to last 12 months, but will need Tynwald approval in October to progress.
It's part of a government economic recovery programme, backed with a £100 million fund to protect jobs in the financial fallout from coronavirus.
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