asked the Minister for Social Welfare whether he is aware of the hardship imposed by his Department on recipients of unemployment assistance who were self-employed prior to application, by not paying them at the full rate; and if he will make a statement on the matter.
Ceisteanna—Questions. Oral Answers. - Unemployment Assistance.
16.
Under the Unemployment Assistance Acts payment of unemployment assistance at the full rate is made only where the applicant is assessed as having no means. Where there are means the rate of payment is reduced accordingly. This arises from the nature of the assistance scheme under which payment is subject to an individual means assessment which applies to all applicants irrespective of the nature of their previous employment, if any. I am not aware that it causes any particular hardship in the case of persons who were previously self-employed. Their means are assessed by a social welfare officer in accordance with the statutory provisions of the Acts referred to and the officer is obliged to take into account the income which the person may reasonably expect to receive during the coming year. All the relevant circumstances, including the level of earnings in the previous year where appropriate, are taken into account. Allowances are made for expenses and by averaging the income over a period of a year, allowance is made for good and bad periods.
Is the Minister aware that it is virtually impossible for persons who were self-employed and are now unemployed to get unemployment assistance at the maximum rate? It appears that in many instances the income during the past year is being taken into account and not the prospects for the year ahead.
The means are assessed by the social welfare officer and he does not necessarily have to depend on information in regard to earnings in the past year. He is also obliged to take into account the earnings that would accrue to an applicant for unemployment assistance in the coming year. If he considers that the income for the coming year is at a certain level it can then be determined whether the applicant can be paid unemployment assistance. It is not entirely on his last year's earnings that the assessment is made. His prospective earnings for the coming year also have to be taken into consideration.
Is the Minister aware that there is a difference in the calculations in the rate of unemployment assistance payable to self-employed as against employees who may be re-employed within the next month or two? In other words, is the Minister aware that an employee is treated differently from a person who is self-employed?
As the Deputy says, this is so. This system of assessment of means for the self-employed has obtained since 1933. I will not say if that is a good argument for changing it but I have a certain amount of sympathy for the people the Deputy has in mind. I still believe this is a fair system. As I said, possible means for the coming year must be taken into account before an assessment is made.
Has the Minister discretion in the matter or is he tied by statute?
I am tied by statute— the 1933 Act.
It that specified in the statute?
Yes, it is covered by section 13 (1) of the Unemployment Assistance Act, 1933.
Even if it is covered in an Act these people have been assessed on an imaginary assessment. There seems to be a bias against these people because an imaginary income is held against them. The Minister should have a look at this.
17.
asked the Minister for Social Welfare why a person (name supplied) in County Galway has not received unemployment assistance since July, 1976.
The person concerned was paid unemployment assistance up to 13th July, 1976, on the basis that his means consisted of the yearly value of a holding and profit from the letting of a turf bank. Payment to him was then suspended following the receipt of information which indicated that he had not fully disclosed his means. Inquiries into this aspect of the case have been protracted but it is now hoped that they can be completed at an early date and a decision given in the matter.