I understand that Dublin Corporation engaged some 200 people from midJune to end-September 1997, some of whom would previously have been long-term unemployed. All of those engaged for this short-term full-time work were liable for Class A PRSI contributions.
As a consequence of paying full Class A PRSI contributions, some of those workers engaged by Dublin Corporation would have requalified for unemployment benefit when the scheme ended. In the case of persons who re-qualify for unemployment benefit, their earnings in the relevant tax year determine whether they receive a graduated rate or the full rate of unemployment benefit. Persons entitled to a reduced or graduated rate of unemployment benefit are entitled to claim unemployment assistance if it is more beneficial to them. However, long-term unemployment assistance is not payable where the claimant is entitled to full rate unemployment benefit. The Deputy will be aware that the social welfare secondary benefits of Christmas bonus, free fuel allowance and butter vouchers are not awarded to recipients of short-term benefits.
I should mention that I am having the wider issues of the effects of secondary benefits on the incentive to take up employment and training opportunities examined at present.