I am aware of the situation referred to by the Deputy. The position under the Social Welfare Acts is that Rule 1 (2) of the Third Schedule, Part 1, to the Social Welfare (Consolidation) Act, 1993, provides that all cash income which an applicant may reasonably expect to receive during the coming year, other than specific payments-allowances excluded by the Act, must be assessed as means. Income from self-employment is assessable under this heading.
In cases of self-employment means are assessed on an income and expenditure basis i.e. gross income less expenses incurred in earning that income. The net figure is then divided by 52 to calculate weekly means. In assessing means, deciding and appeals officers have regard to the previous work pattern of the claimant and whether this is likely to be replicated in the future. Where it is likely that the recent work pattern will not be repeated and earnings will be reduced, this will be reflected in a reduced means assessment. It is open to any claimant to appeal the means assessment to the independent social welfare appeals office if dissatisfied.
Where a person resumes claiming unemployment assistance after having been in employment or on a training-education course, means are reviewed only where there are grounds for believing that an existing assessment no longer reflects the current situation. The same practice will be followed in relation to persons who reapply for unemployment assistance following participation in the back-to-work scheme.
The Programme for Competitiveness and Work recognises concerns identified by the social partners in relation to the operation of the C45 system. A specific commitment in the programme provides that the Black Economy Monitoring Group, which is drawn from the Revenue Commissioners, the Department of Social Welfare, CIF, IBEC and ICTU, will be asked to carry out a thorough review of the operation of the C45 scheme and to make recommendations on action to curb any abuse and to improve the scheme generally. A special sub-group of the Black Economy Monitoring Group has been set up to study the C45 scheme and is due to report to the group by the end of this month.
