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Dáil Éireann debate -
Thursday, 24 Apr 1980

Vol. 319 No. 11

Ceisteanna—Questions. Oral Answers. - Social Welfare Entitlement.

11.

asked the Minister for Social Welfare if employees of universities who have had social welfare contributions deducted from their salary are entitled to a contributory old age pension on retirement.

All employees of universities who pay social welfare contributions at the ordinary rate giving entitlement to all benefits under the Social Welfare Acts may qualify for contributory old age pension on attaining age 66 years provided that they satisfy the statutory contribution conditions for such pension. The contribution conditions for contributory old age pension are as follows: 1. The claimant must have entered insurance before the prescribed age. (This varies between age 56 and age 60 depending on the claimant's date of birth); 2. He/she must have 156 contributions paid; 3. He/she must have an average of at least 20 contributions paid and/or credited from 1953 (or from date of entry into insurance if this is later than 1953) up to the end of the last complete contribution year before attainment of pension age.

In recent years, most universities revised their sick pay schemes for their permanent and pensionable employees and applied to my Department for a decision as to the rate of social insurance contribution payable in respect of them.

As those bodies are public authorities and as their sick pay privileges were regarded as adequate for the purposes of the Social Welfare Acts, it was decided that a modified rate of contribution was payable in respect of their permanent and pensionable employees. This modified rate of contribution does not confer title to old age contributory pension.

All such persons will qualify for a pension in their own right from the universities when they reach pension age.

In other words, they are better off than a Member of the Dáil. They can contribute and can get an old age pension.

The Deputy seems to be very worried at this stage about his old age pension.

I am worried about all the benefits of all the Members of the House.

I am calling Question No. 12.

12.

asked the Minister for Social Welfare if his attention has been drawn to the situation whereby people working fewer than 18 hours a week are exempt from all benefits except hospital expenditures under the PRSI arrangement, if he has satisfied himself that the category of workers known as house helpers or house cleaners, who previously benefited from having their social welfare stamps paid by a variety of employers, are now at risk of losing all benefits under the extended system and the proposals, if any, he has to rectify this situation.

13.

asked the Minister for Social Welfare the proposals, if any, he has to enable part-time workers, such as teachers, cleaners, waitresses who work fewer than 18 hours a week, to opt into the social welfare code on a contributory basis to enable them to benefit from the contributory pension and disability benefit schemes.

With the permission of the Ceann Comhairle, I propose to take Questions Nos. 12 and 13 together.

Prior to 6 April 1979, all part-time employees who were employed for the purposes of an employer's trade or business were insurable for all benefits under the Social Welfare Acts, irrespective of the duration of the employment or of the amount of the remuneration. In addition, persons such as private domestic workers who were employed otherwise than for the purposes of the employer's trade or business were insurable for all benefits if they worked for a total of 18 hours or more in the week for one or more employers or, if working for a total of less than 18 hours in the week, were mainly dependent for livelihood on the earnings from such employment or employments. All other part-time employees were insured for occupational injury benefits and under the Health Acts.

As from 6 April 1979, the date of the introduction of the PRSI contribution scheme, the position is that irrespective of the nature of the employment any person who works for 18 or more hours in the week in one or more employments, continues to be insured for all benefits under the Social Welfare Acts. Where the total number of hours worked is less than 18 hours in the week, the employee continues to be insured for all benefits if he or she is mainly dependent for livelihood on the earnings from such employment or employments. Any person who works for a total of less than 18 hours in the week and who is not so dependent continues to be insured for occupational injury benefit and under the Health Acts.

Any employee, part-time or otherwise, who has already been compulsorily insured for benefits which include contributory old age, retirement and widow's pensions may, subject to prescribed conditions, preserve their rights to these benefits by payment of contributions on a voluntary basis. There is no provision under the Social Welfare Acts which permits payment of voluntary contributions to establish title to disability benefit.

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