Vol. 432 No. 4
12 Miss Harney asked the Minister for Social Welfare the plans, if any, he has to review the maternity benefit scheme particularly as to the ceiling imposed on benefit in view of the changing status and salaries of many women in the workforce.
32 Miss Quill asked the Minister for Social Welfare the plans, if any, he has to review the maternity benefit scheme particularly as to the ceiling imposed on benefit in view of the changing status and salaries of many women in the workforce.
33 Ms O'Donnell asked the Minister for Social Welfare the plans, if any, he has to review the maternity benefit scheme particularly as to the ceiling imposed on benefit in view of the changing status and salaries of many women in the workforce.
I propose to take Questions Nos. 12, 32 and 33 together.
Maternity benefit is payable to women in employment for a period of 14 weeks, subject to certain PRSI contribution conditions. The rate of payment is 70 per cent of the claimant's reckonable earnings in the relevant tax year, up to a ceiling of £154 per week. A minimum payment of £60 per week is provided in cases where a claimant has no earnings in the relevant tax year or where her earnings are very low.
In this year's budget I increased both the minimum and the maximum weekly maternity benefit payments. From next month the minimum payment will increase to £65 and the maximum payment will increase to £159. As a result the earnings ceiling for maternity benefit will increase from £11,000 to £11,380.
The maternity benefit scheme is currently under review in the light of the EC Directive on the Protection of Pregnant Workers. The earnings ceiling is one of the issues being examined in that context. Further increases in the ceiling would have financial implications and would have to be considered in a budgetary context.
Thank God for the European Community. If it were not for the European Community we would probably still not have maternity leave. I think the Minister agrees that a ceiling of £159 is inadequate in view of the changing status and salaries of some women who thankfully have made it to the higher levels in the workforce. This ceiling is not fair, given that many of these women have to pay mortgages, car loans etc. I am glad this matter is being looked at. There is an anomaly under the present system because if a second period of maternity leave is taken within two years, the amount paid in maternity benefit is not included in the assessment of total earnings. In view of the fact that we have introduced taxation on disability benefit, should benefits not be allowable when assessing income? Does the Minister understand the point I am making?
I do, indeed, Deputy.
This anomaly sometimes causes hardship when there is a subsequent pregnancy within two years.
That is a question that should be considered in the context of the relationship between social welfare and taxation and, as the Deputy knows, that is being studied at present.
If a woman is working two days per week and is drawing unemployment benefit for the remaining days in the week, and this is likely to continue, is she entitled to full maternity benefit?
Obviously, that is a specific case.
It is the general application we are seeking.
As the Deputy will be aware, I extended maternity benefit to part-time workers. Some 27,000 women will now become eligible for maternity benefit at the minimum level. The question arises as to whether unemployment benefit is combined with maternity benefit, which is very similar to the question raised by Deputy O'Donnell, and this has to be considered in the context of the interaction of the two payments. This shows how substantial the impact of those relationships can be. I will take note of what the Deputies have said and I will ensure that their points will be considered in the review.
Is the principle of a dependent allowance applicable to maternity benefit as in any other social welfare payment there is an allowance for other dependent family members? I understand that does not apply to maternity benefit but does the Minister accept the need to include it?
That is a separate question which obviously has budgetary implications.
Let us come to Deputy Gilmore's question.
A Cheann Comhairle, you will be happy to learn that we will deal with a whole lot of questions together and the record for the day will be good.
