Paul Connaughton
Question:2 Mr. Connaughton asked the Minister for Social Welfare if he will outline the criteria used to assess eligibility for unemployment assistance.
Ceisteanna—Questions. Oral Answers. - Social Welfare Benefits.
Joe Sherlock
Question:6 Mr. Sherlock asked the Minister for Social Welfare the number of persons who have been disallowed unemployment payments during the past 12 months on the basis that they are unavailable for work; if he will outline the number of these in relation to which a recent move to a rural area had been taken into account as one of the factors determining availability for work; if he will further outline the general criteria his Department uses to determine availability for work; and if he will make a statement on the matter.
I propose to take Questions Nos. 2 and 6 together.
Unemployment assistance is a means-tested payment. Applicants have to show that their means, as assessed in accordance with the relevant statutory provisions, are less than the maximum rate payable in their specific case. Having satisfied the means test, applicants must then show that they satisfy the statutory conditions for receipt of payment of unemployment assistance. These conditions are that a person must be capable of, available for and genuinely seeking but unable to find, suitable employment, having regard to age, sex, physique, education, normal occupation, place of residence and family circumstances. These conditions are a common feature of unemployment schemes worldwide.
In regard to the criteria of availability and seeking work, these are broadly (i) the extent to which a claimant has made efforts to obtain employment since becoming unemployed, (ii) the type of work the claimant is seeking, and (iii) the reasons for any restrictions which the claimant may be placing on the kind, place and hours of work sought. In this context a change of residence would be evaluated to assess whether it resulted in a restriction on the type of work available to that person, having regard to their level of education and work experience. This evaluation also takes account of domestic or other commitments or circumstances which might have influenced the change of residence.
Proof of compliance with the statutory conditions must be presented to a deciding officer, who is appointed to decide on the evidence before him/her, that an applicant is entitled to payment of unemployment assistance. Each case must be decided on its merits having regard to the statutory requirements, the person's circumstances and the evidence furnished to support the claim.
Decisions made by deciding officers are open to appeal to an appeals officer, who is independent in the carrying out of his functions as an appeals officer.
Continuing entitlement to unemployment payments is tested regularly as part of the ongoing operation of the unemployment schemes.
There has been considerable publicity given to recent cases where this continuing entitlement was tested in one specific area. In that exercise 236 people were interviewed in the west Cork area within the last nine months. The majority continued to receive their payments without interruption having satisfied the statutory conditions. Eighteen of those investigated signed off immediately and another 59 were disallowed on the grounds of failure to satisfy the statutory conditions. Twenty-one of those disallowed appealed against their disallowances and seven were successful in their appeals. Fourteen lost their appeals including five who did not attend their appeal hearing.
The grounds given in respect of some of the disallowances were that the claimants were not available as they had placed an unreasonable restriction on their efforts to secure employment through choosing to live in a remote area.
Another 14 cases have appealed their disallowances and their cases have been listed for appeal hearings which will be held soon. It is clear that the cases were decided on the basis of the evidence presented in respect of each individual case, in accordance with the statutory conditions, and that the right of appeal was available to all who were disallowed. There was no departure from the normal criteria in use for many years.
National statistics are not maintained on the number of disallowances or of the reasons for such disallowances. Accordingly, it is not possible for me to supply the figures sought.
The Minister has sent a most worrying signal to people wishing to live in rural areas apart altogether from the situation in west Cork. Would the Minister confirm here today that the criteria laid down for eligibility for unemployment assistance will be applied consistently nationwide; whether to a person in Dublin city who cannot find work, or another person who cannot find work in a rural area in Mayo, Galway or Cork, assuring them that they will all be treated similarly? The Minister will agree that a great deal of money has been pumped into building up inner city areas. Yet the signal coming from his Department over the past few weeks would appear to suggest that they want to stop people from going back to rural Ireland, something that cannot be accepted.
I am very glad to give the Deputy the assurance he seeks. Perhaps that signal could have been implied from a newspaper headline of a written answer to a parliamentary question tabled by Deputy Connaughton some time ago. The reply given to that parliamentary question tabled by Deputy Connaughton did not refer to any lifestyle whatsoever. But one of the national newspapers then carried a headline "no dole threat for good lifers". I should stress that there is no change at all in the relevant criteria. What brought this particular matter to light was the experience in the west Cork area. I am glad to inform Deputy Connaughton and others that there has not been, nor will there be, any change in the criteria to be applied. I should say also I am very pleased to note the progress made by Mr. Jim Connolly of the rural resettlement group; one of the aspects which should be encouraged is that people in urban areas who have been unemployed have a greater chance of a much better lifestyle if they move to rural Ireland. Therefore, I want to allay any public fears caused by the headline devoted to the reply given to Deputy Connaughton — not his fault at all; it had nothing to do with Deputy Connaughton — not his fault at all — by saying there has been no change at all and that people can be assured that that will continue to be the case. Every so often, the Department of Social Welfare examine all of the people on their register nationwide, but there has not been, nor will there be any change in the relevant criteria.
Paul Connaughton
Question:3 Mr. Connaughton asked the Minister for Social Welfare the reason his Department will not accept pre-1953 contributions in the calculation of entitlement for old age contributory pensions even though such contributions can be considered for a widow's pension; and whether this and other anomalies are being addressed by the Pensions Board.
Contributory widow's pensions has been in operation since 1936. Since that date contributions payable by insured persons have included an element towards the cost of that scheme. Accordingly, contributions paid since 1936 by an insured person are taken into account in calculating the yearly average number of contributions for the purposes of that scheme.
In 1953 the unified system of social insurance was introduced which subsumed the widows and orphans pension scheme, the national health insurance scheme and the unemployment benefit scheme.
The old age contributory pension scheme was introduced in 1961. To qualify for this pension a person must have entered insurance before the age of 56 years, have at least 3 years paid contributions and have a yearly average of at least 20 contributions registered on his/her behalf since 1953 on the date of entry into insurance, if later. Contributions paid by insured persons prior to 1961 did not contain an element in respect of that pension.
However as a concession, and to enable persons reaching pension age at that time to qualify immediately for a contributory pension, contributions paid prior to 1953 were taken into account in calculating a person's entitlement to pension. These transitional arrangements operated until 1973. From that date contributions paid prior to 1953 were no longer counted for the purposes of satisfying the yearly average test. However, they are still reckonable for the other two conditions.
The whole issue of contribution conditions for social insurance pensions are among the issues being addressed by the National Pensions Board in their final report on a new national pensions system. I expect to receive the board's report within the next few weeks and the matter will be considered further in this context.
These pro rata pensions and so on are a web if ever there was one. In asking this question I assume the Minister will genuinely help if he can. Would he agree it is not very difficult to try to get across to a person who is or should be entitled to a contributory old age pension that he or she is not so entitled when the same rules do not apply to widows? Would the Minister not agree that there is something terribly wrong here?
I do not accept what Deputy Connaughton says. In line with many of the social welfare schemes administered by my Department, I should say one would need to be traipsing around with a computer in train to ascertain all of the qualifying conditions. I accept what the Deputy says. I hope, within my time in the Department, to streamline some of these conditions because they are confusing. Hopefully, the new National Pensions Board will address that matter. However, over the past couple of years, with regard to pension conditions and so on — since 1988 and even last year — changes have been effected. It would be my hope that, resulting from the report of the National Pensions Board, that confusion will cease.