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Dáil Éireann debate -
Thursday, 4 Mar 1999

Vol. 501 No. 5

Written Answers. - Employment Support Services.

Michael D. Higgins

Question:

15 Mr. M. Higgins asked the Minister for Social, Community and Family Affairs if he will reduce the unemployment duration for participation in the back to work area based allowances schemes from 12 to six months. [6444/99]

Liz McManus

Question:

19 Ms McManus asked the Minister for Social, Community and Family Affairs if he will merge the area based allowance and the back to work allowance schemes for persons considering self-employment. [6442/99]

I propose to take Questions Nos. 15 and 19 together.

Both the back to work allowance and area allowance, enterprise, schemes have been very successful in encouraging the long-term unemployed to take up employment and self-employment opportunities. They form an integral part of my Department's employment support services designed to activate the long-term unemployed to leave the live register by providing financial support to help them make the transition to full-time employment or self employment.

Area allowance, enterprise scheme was introduced initially in designated partnership areas of high unemployment to encourage the unemployed and lone parents to undertake self employment. With effect from 1 January 1998, the scheme was extended nationwide, thus pro viding the samelevel of support to applicants for self-employment irrespective of where they live.
All persons who have completed one year on the area allowance enterprise, progress automatically to the back to work allowance for a further three years. In effect therefore both schemes have already been merged.
I am conscious, however, that the different names of the schemes may cause confusion. With the agreement of the partnership companies I have, therefore, decided to amend the name of the area allowance, enterprise, to the back to work allowance, enterprise. This scheme now involves a four year cycle of financial support available nation-wide to long-term unemployed persons and other welfare recipients opting for self employment.
For person opting for employment the back to work allowance is available. Support under this programme is available for three years. Revised application forms and information leaflets to reflect this change will be available shortly in local offices of my Department and in the offices of the various partnership companies.
The target group of both back to work allowances schemes is the long-term unemployed. This is the group who encounter the greatest difficulty in making the transition back into the active labour force and who thus need the financial and other supports which the schemes provide. Persons unemployed for less than 12 months are in a better position to obtain employment and do not
require the same level of support or incentive to do so.
The focus of the schemes will continue to remain on the long-term unemployed, of which there are still significant numbers on the live register. It is not intended, therefore, to reduce the qualifying period for access to these schemes.
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