Written Answers. - Unemployment Assistance Eligibility.
Charles Flanagan
Question:
181
Mr. Flanagan
asked the
Minister for Social Welfare
if his attention has been drawn to a difficulty being experienced by Bord na Móna workers and other seasonal workers relating to the fact that seasonal income is being taken fully into account when assessing means for unemployment assistance during off-season layoffs, which will result in many families suffering significant cuts in welfare payments in the course of the off-season; and if he will make a statement on the matter.
[876/94]
Since 1992, social welfare legislation has provided for the assessment of all income from insurable employment as means for unemployment assistance purposes. The legislation also provides for an amount of earnings to be disregarded as a work incentive. For example, a single person entitled to assistance at the long term rate may earn up to £25.17 per day for up to three days per week — £75.51 weekly — and receive full rate assistance totalling £30.50 for the three days not worked. A married person with a dependent spouse and two dependent children may earn up to £35.67 per day for three days per week — £106.11 weekly — and receive assistance totalling £62.00 for the three days not worked.
The method of assessment laid down by legislation is to calculate the net income, i.e. gross income less tax, PRSI. union dues and VHI payments, that the person may be expected to receive in the year immediately following the date of assessment, deduct the disregard in respect of each day worked and to express this on a weekly basis.
I understand that the Bord na Móna workers to which the Deputy refers, are seasonal employees and their earnings over the summer months are thus averaged over the whole year.
The means assessment of any person claiming assistance may be revised at any stage, if there are grounds for believing that the existing rate of means will no longer reflect the expected income over the year ahead. In any review the procedure is to estimate the means over the year following the review date.
Most Bord na Móna workers have an entitlement to and claim unemployment benefit when unemployed. This benefit is not means-tested and entitlement is based on their PRSI insurance record. However, some have opted to claim long term unemployment assistance as, until recently, July 1994, the long term rate of assistance was higher than the rate of unemployment benefit. Any person who availed of this option in the past may now resume claiming benefit if this is more beneficial.
Persons who do not have an entitlement to unemployment benefit, either because they do not have sufficient qualifying contributions in the relevant year or, having claimed their full entitlement to 390 days benefit, require 13 further PRSI contributions to requalify, may claim unemployment assistance, which is means-tested. If they qualify for a reduced level of assistance but still find themselves in difficulties, they may claim supplementary welfare allowance which is paid by the health board.
