Today's Sunday times reports that both the temporary wage subsidy scheme and pandemic unemployment payment will be extended as part of next week's July Stimulus Package.
The payments were originally due to end in August.
The wage subsidy scheme is expected to be expanded to cover thousands of seasonal workers however the 85 per cent rate is likely to be reduced.
The scheme has cost the state more than 2 billion euro since March.
The number of people claiming PUP dropped from 600,000 in May to 350,000 last week.
Those who had been working part-time were moved from 350 euro a week to the standard job seekers benefit rate of 203 euro
It's understood the government will also look to scale down the rate further by examining whether to incrementally cut the top PUP rate from 350E to 300E and then to 250E.