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Dáil Éireann debate -
Wednesday, 24 Nov 1993

Vol. 436 No. 2

Written Answers. - Social Welfare Benefits.

Bernard J. Durkan

Question:

49 Mr. Durkan asked the Minister for Social Welfare if his attention has been drawn to the views of the Ombudsman on the matter of the extension of contributory old age pension entitlements to those who are currently ineligible despite having several years contributions; and if he will make a statement on the matter.

To qualify for an old age contributory pension a person must have entered insurance at least ten years before reaching pension age, have at least 156 contributions paid and have a yearly average of at least 20 contributions registered since January 1953 when the unified system of social insurance came into effect, or the time they started insurable employment, if later.

The specific case referred to in the Ombudsman's report referred to a case where a public servant retired at age 64 and then signed on for credits at his local employment office. Since credits are linked to the last paid contribution and this person's last paid contribution was at the modified rate appropriate to civil servants which does not provide cover for old age (contributory) pension, these credits could not be used for the purposes of qualifying for an old age contributory pension. Accordingly this person did not qualify for a pension despite having earlier paid contributions at the full rate for a number of years.
The whole issue of contribution conditions for social insurance pensions, including the position of persons with gaps in their insurance records, is among the issues being addressed by the National Pensions Board in its final report on a new national pensions system. I expect to receive the board's reports shortly and the matter will be considered further in this context.

Patrick D. Harte

Question:

50 Mr. Harte asked the Minister for Social Welfare if he will reverse the situation whereby the supplementary welfare rent allowance still requires the first £15 to be paid by the claimant.

Charles Flanagan

Question:

56 Mr. Flanagan asked the Minister for Social Welfare the situation regarding exceptional needs payments under the supplementary welfare allowance scheme specifically in relation to rent and mortgage arrears.

I propose to take Questions Nos. 50 and 56 together.

Under the provisions of the supplementary welfare allowance scheme, health boards may pay a weekly supplement towards rent or mortgage interest payments to people whose means are insufficient to meet their needs. The supplement is calculated so that, after payment of rent or mortgage interest, the recipient has an income equal to the rate of supplementary welfare allowance appropriate to his family size, less £5. This £5 represents the minimum contribution which clients are required to pay from their own resources.

Assistance under the supplementary welfare allowance scheme is not normally given in respect of rent or mortgage arrears. Health boards would consider an exceptional needs payment towards the payment of mortgage or rent arrears only in exceptional circumstances and where it had been established that such a payment would prevent eviction or re-possession of the property.

Liz O'Donnell

Question:

51 Ms O'Donnell asked the Minister for Social Welfare if it is still the law that, under the Social Welfare Act, a person (details supplied) in County Dublin who has remarried forfeits any title to pension by virtue of her first husband's insurance record, even though the second marriage only lasted ten months because of the death of her second husband; and the changes, if any, that are envisaged in the law relating to contributory pensions and widows.

A widow's contributory pension may be paid on the basis of the insurance record either of the widow or of her late husband. Where a widow remarries, title to the pension is automatically extinguished. Should she become widowed a second time, title to pension is based on her own insurance or on that of her husband at that time. The insurance record of her former husband cannot be used to establish entitlement to widow's pension subsequently.

The question of social insurance cover for widows is being examined by the national pensions board in the context of its proposals for a new national pensions system. I expect to receive the board's report very shortly and the question of changes in the social insurance provisions for widow's pensions will be examined in the light of the report.

Frances Fitzgerald

Question:

52 Ms F. Fitzgerald asked the Minister for Social Welfare if he will reverse the situation whereby applications for deserted wives benefit are now means tested if their earnings are over £10,000 per annum.

Deserted wife's benefit is payable in full to those whose relevant earnings are less than £10,000 and who satisfy the various conditions. For those where the relevant earnings are between £10,000 and £14,000 a reduced rate is payable depending on the level of the earnings.

The introduction of the income limit was intended to direct scarce resources towards people in greatest need. Since the introduction of the limits, a very small number of applicants have actually been refused the benefit because their income exceeded the £14,000 limit.

Desertion is not the type of risk that is normally covered by social insurance. Ireland is the only member of the EC that pays a social insurance benefit for desertion. The whole question of provision for desertion will be examined in the context of the introduction of divorce legislation and having regard to the requirements of equal treatment for men and women in the social welfare system.

Michael Bell

Question:

54 Mr. Bell asked the Minister for Social Welfare the entitlement of applicants who are in receipt of rent or mortgage subsidy weekly payments from health boards, and who are in receipt of unemployment assistance or unemployment benefit payments and who opt to go onto a FÁS course or social employment schemes; if his attention has been drawn to the fact that, contrary to Government policy that there should be no loss of any benefit or the level of benefits, the rent or mortgage subsidies are being withdrawn; his views on whether this is acting as a serious disincentive to applicants to participate in FÁS courses or social employment schemes; if he will state the guidelines set down by his Department to health boards regarding this matter; and if he will make a statement on the matter.

Trevor Sargent

Question:

76 Mr. Sargent asked the Minister for Social Welfare the reason participants in social employment schemes are not guaranteed rent allowance or medical cards if they are living away from home.

I propose to take Questions Nos. 54 and 76 together.

Participants on social employment schemes, which are administered by FÁS, are eligible to apply for rent or mortgage interest supplements under the supplementary welfare allowance schemes. The amount of the supplement is determined by the health board having regard to the circumstances of the case. The maximum supplement is the amount which after payment of rent and mortgage interest, would leave the recipient with an income equal to the rate of supplementary welfare allowance appropriate to his family in size, less £5.
People participating on social employment schemes are required to work for an average of two and a half days each week for which they are paid a weekly allowance of £77 for a single person and £110.70 for a married couple.
These allowances are higher than the equivalent rates of supplementary welfare allowance. Furthermore participants are free to engage in other work or activities during their time off.
In the 12Programme for Economic and Social Progress partnership areas, participants in the community employment development programme, which replaces the social employment schemes in these areas can, on a pilot basis, retain their rent or mortgage supplement at the rate in payment prior to participation in the schemes. The question of extending the same arrangements to people on schemes outside the Programme for Economic and Social Progress areas would depend on the outcome of the pilot scheme and on the financial implications.
Under the Health Act, 1970, medical cards are issued to people who, in the opinion of the chief executive officer of the appropriate health board are unable, without undue hardship, to provide general practitioner services for themselves and their dependants.
The Department of Health has advised that income guidelines are available to assist health boards in determining eligibility. These guidelines are revised annually to take account of the marital status of the client, the number of dependants, and the individual's financial commitments. In addition, weekly payments under social employment schemes are excluded in assessing an applicant's income.
The Department of Health has also advised that people who have held a medical card while on the live register are allowed to retain their medical card for a period of one year after securing a placement on any of the pilot schemes applicable to the long term unemployed.
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