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Dáil Éireann debate -
Tuesday, 12 Mar 1991

Vol. 406 No. 3

Written Answers. - Social Welfare Funds.

Paul McGrath

Question:

185 Mr. McGrath asked the Minister for Social Welfare the funds which were collected since the cessation of the intermittent unemployment insurance under part 5 of the Social Welfare (Consolidation) Act, 1981 in each year to 1990; the way in which these funds were dispersed; whether a surplus still remains in the fund and, if so the amount; if he anticipates any further claims on the fund; and if he will make a statement on the matter.

The supplementary unemployment fund was terminated under the provisions of the Social Welfare (Amendment) Act, 1984. Under the terms of the Act, contributions ceased with effect from 7 January 1985.

The intermittent unemployment scheme, which had provided insurance against loss of earnings for manual workers in the building, painting and civil engineering trades, was abolished as it was considered to be no longer necessary in view of the existence of a guaranteed 40 hour week for workers in these industries.

The information requested by the Deputy is not readily available on an annual basis, as the accounts for the period since the abolition of the scheme have been consolidated into the final account of the supplementary unemployment fund. The final account covers the period from 1 January 1985 to the termination of the fund on 31 March 1989. The total amount of the receipts for this period, and their sources are as follows:

Contributions by employers and insured Workers

£341,202

Receipt from the 1985 Social Welfare Vote

£385,391

Amounts recovered in respect of overpayments

£6,374

Income from investments

£2,291

Total

£735,258

The total amount of reimbursements to employers of supplementary benefit paid to insured workers in the period was £933,061. The opening balance on the fund at 1 January 1985 was £224,962 leaving a surplus on termination of £27,159.
The surplus of £27,159 was transferred to the Social Welfare Vote as an appropriation-in-aid, and in partial repayment of the substantial Exchequer contribution made to the supplementary unemployment fund in 1985. Similarly, further sums, amounting to £4,690 and £14,944 in respect of contribution arrears were received, as a result of successful legal action, for crediting to the Social Welfare Vote in 1989 and 1990, respectively. Further sums, amounting in total to £48,711 are the subject of court orders as a result of successful legal action, and may therefore be received in future.
No further claims for supplementary benefit are expected.
The final account of the fund has been audited by the Comptroller and Auditor General. The account is currently with the printers and will be laid before both Houses of the Oireachtas in due course.
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