Vol. 493 No. 3
1 Mrs. Owen asked the Tánaiste and Minister for Enterprise, Trade and Employment the way in which she proposes to intervene with under 25s who are six months on the unemployment register in view of her statement on the matter on 17 June 1998; the number of staff who will be involved and where they will come from; whether the same rules will apply to over 25s after one year's unemployment; and if she will make a statement on the matter. [16296/98]
In November 1997 I began discussions with the Minister for Social, Community and Family Affairs with a view to developing a strategy for systematic engagement with persons who have been on the live register for a given period of time. We agreed to develop a strong element of co-operation between our two Departments and FÁS in order to progress this initiative. As a consequence, the discussions were continued by officials of our two Departments in the following months.
A memorandum of understanding on co-operation has now been agreed between FÁS and the Department of Social, Community and Family Affairs and procedures for operational co-operation will be further developed in a series of protocols between the two bodies.
Ireland's Employment Action Plan, published and laid before the House last April, sets out in detail the strategy we intend to follow in this and other areas. Specifically, the plan refers to procedures being put in place to engage systematically with persons who have been on the live register for six months in the case of persons under 25 and one year in the case of those over 25, with a view to offering a job or other employability support. The first phase of the programme will concentrate on the under 25s and will be introduced systematically from September 1998.
The overall financial provision available for the employability pillar of the EU guidelines, under which this initiative falls, is just under £900 million. The process is modelled generally on the youth progression programme introduced for 18 and 19 year olds in October 1996. A first evaluation of that programme shows that it increased the rate of exit of 18 and 19 year olds from the live register by some 20 percentage points, from 30 per cent to 50 per cent.
The further phased extension of this programme to over 25s who have been unemployed for one year will obviously be informed by the experience of operating the first phase of the programme from September next.
When was the memorandum of understanding agreed between the Department and FÁS? The Tánaiste stated that procedures were being put in place with a view to offering a job or training. Does she agree she has gone back on her statement to the SFA meeting that adults who had crossed the 12 month threshold and who refused an offer of training or a job would be cut off social welfare benefit? What is the position regarding the skills of people to whom an offer is made? Will they be given advice on whether they should accept the offer or will they be automatically cut off social welfare benefit, as the Minister appears to imply, even if they consider they are not able to take up the job offer or training?
The memorandum of understanding was agreed a number of weeks ago, shortly after Easter I think, although I do not have the precise date. As I told Deputy Owen in my initial reply, the Minister for Social, Community and Family Affairs and I began discussions on this issue last November. Since then officials from our Departments have met on a bi-weekly basis. There have been a large number of meetings since last November. Agreement was reached between both Departments and FÁS shortly after the plan was published, as I understand it. I do not have the date when the memorandum was drawn up but I will revert to the Deputy on that matter.
As Deputy Owen knows, I referred to this matter when we were dealing with the Estimates for the Department a number of weeks ago. At that meeting I spoke about the need to introduce conditionality, when Deputy Richard Bruton complained that people were currently being sent by the Department of Social, Community and Family Affairs to jobs that were available. That is the existing law which is quite clear. Under current regulations, if one refuses employment or a training option one is automatically disqualified from unemployment assistance or unemployment benefit. A requirement of receiving that benefit is that one is available for work and that one accepts a reasonable offer.
I am simply extending the Youth Progression Programme for 18 and 19 year olds, which the previous Minister for Social Welfare, Deputy De Rossa, introduced during the lifetime of the last Government. The programme has worked extremely well and has provided opportunities for 18 and 19 year olds. Clearly, the opportunity will be matched to the skill of the person. There will be no question of somebody being asked to take something that does not suit their circumstances or skills.
There is an appeals procedure in the case of persons who may have their benefits taken away from them. An officer of the Department of Social, Community and Family Affairs will make the decision, which is the current law. However, in the event of somebody's payments or entitlements being taken from them, their dependants will be entitled to apply for supplementary welfare benefit. That is the existing law which will be more vigorously enforced. We will now offer opportunities and will provide them through systematic engagement and by contacting people. Once people under 25 hit the six month deadline they will be contacted automatically. They will be met by a representative of FÁS and will be offered the opportunity to train, to take up work if a job is available — perhaps community employment — or the chance to return to education. If they refuse reasonable offers we will make that fact known to the Department of Social, Community and Family Affairs and the normal procedures will apply in such a case.
Will the Minister confirm that after she made her statement at the Small Firms' Association, a number of Ministers — but particularly the Minister for Social, Community and Family Affairs — sought to distance themselves from her statements and to repackage what she had said. Will she confirm that kind of discussion took place with other Ministers behind the scenes?
We must now proceed to Question No. 2. The time is up for supplementary questions.
I can confirm that did not take place. The memorandum I brought to Government in April referred to this issue so nobody was under any misunderstanding.
The Minister got nobbled?
The Deputy is taking the wrong position.
The headlines read: "Ministers reserved on Tánaiste's proposal" and "Ministers move to refocus Harney plan".
That is not true. When I was at the Estimates meeting, Deputy Owen agreed with me.
The Minister had not made the statement then.
