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Dáil Éireann debate -
Wednesday, 17 Nov 1999

Vol. 511 No. 1

Written Answers. - Social Welfare Benefits.

Tony Gregory

Question:

151 Mr. Gregory asked the Minister for Social, Community and Family Affairs if he will consider a millennium bonus for old age pensioners. [23852/99]

An amount of £42 million is provided in my Department's 1999 estimates to provide for payment of a Christmas bonus for approximately 705,000 recipients of long-term social welfare payments including old-age pensioners.

This estimate is based on the payment of a bonus in 1999 similar to the bonus paid in 1998 and earlier years, that is 70% of the person's normal weekly payment subject to a minimum payment of £20.

The Christmas bonus is applicable to recipients of the following long-term social welfare payments: disablement pension, death benefit, by way of pension, old age contributory and non-contributory pension; retirement pension; invalidity pension; widow's and widower's non-contributory pension, orphan's contributory and non-contributory pension; pre-retirement allowance, blind pension, carer's allowance; one parent family payment; unemployment assistance at the long-term rate; disability allowance; payments to people formerly in receipt of deserted wife's benefit and allowance and prisoner's wife's allowance.

Any change in the Christmas bonus or the provision of special bonus to mark the millennium would have substantial cost implications and would have to be considered in the context of other priorities and commitments.

However, as the Deputy is no doubt aware as indicated in the Government's review of An Action Programme for the Millennium, social inclusion remains the primary economic goal of this Government going forward into the millennium. In particular, the Government is committed to increasing all pensions for older people – including widow's and non-contributory old age pensions – to £100 per week by 2002; and increasing all pensions in line with average industrial earnings over the lifetime of the Government

Jim O'Keeffe

Question:

153 Mr. J. O'Keeffe asked the Minister for Social, Community and Family Affairs if his attention has been drawn to the fact that the home help income of a spouse is excluded from the calculation of means in the assessment for disability assistance but is included in the calculation of means for invalidity pension; and if he will ensure, as a matter of urgency, that the regulation is changed to provide that income from employment by a health board as a home help is not counted as means in the decision on the grant of qualified adult allowance to an invalidity pensioner. [23748/99]

Disability allowance is a weekly payment which is payable to people who satisfy the medical conditions of the scheme, are aged between 16 and 66, and who satisfy a means test.

In common with other means tested payments, the position currently is that any income earned by the spouse of a disability allowance claimant from employment as a home help is not taken into account for the purposes of determining entitlement to a qualified adult allowance.

Invalidity pension is an insurance-based payment payable to claimants who are regarded as permanently incapable of work and who satisfy the relevant PRSI contribution conditions. In determining whether a qualified adult allowance is payable to claimants of invalidity pension, account is taken of spousal earnings from any source.

I should point out that the treatment of spousal income as between invalidity pension and disability allowance is not comparable as spousal income impacts on the level of the personal rate payable in respect of the means tested disability allowance payment, while spousal income has no impact on the personal rate of invalidity pension.

In cases where the earnings of the spouse of a claimant of invalidity pension exceeds the specified limit, currently £60 per week, for payment of a qualified adult allowance, it may be that the claimant would be better off on disability allowance. If the Deputy has a particular case in mind, perhaps he would provide me with the relevant details, and my Department can arrange to have this issue investigated.

Bernard J. Durkan

Question:

154 Mr. Durkan asked the Minister for Social, Community and Family Affairs the reason part-time unemployment benefit has been terminated in the case of a person (details supplied) in County Kildare; and if he will make a statement on the matter. [23749/99]

The person concerned was in receipt of unemployment assistance up to June 1999 when, following a review, her claim was disallowed on the grounds that she was not genuinely seeking work. No appeal was made in this case.

The person contacted my Department's job facilitator in May 1999 and was given information, on request in relation to training courses available locally. She has not been in touch with the job facilitator since that time.
She has not claimed unemployment benefit. Any claim made will be examined in full and she will be notified of the outcome without delay.

Seán Ryan

Question:

155 Mr. S. Ryan asked the Minister for Social, Community and Family Affairs the reason an assessment of income for eligibility for one parent family payments where gross earnings of £115.38 per week is not counted as means while an occupational pension of any amount is so assessed; and the plans, if any, he has to amend this anomaly in view of the fact that it is unfair to people who have had to leave the workforce to look after their family and have contributed towards their occupational pension. [23752/99]

The one-parent family payment is a social assistance scheme whose main objective is to provide financial support for lone parents who are bringing up children on their own. In common with other social assistance schemes the OFP features a means test which is intended to ensure that available resources are targeted at those who are most in need. The means test associated with the OFP operates broadly along the same lines as other social assistance schemes. However, there are major differences in the treatment of earnings under the OFP means test because of particular policy objectives associated with that scheme.

It is generally accepted that the most effective route out of poverty for lone parents is through paid employment. Accordingly, the policy is to encourage and facilitate lone parents in moving into the paid labour force so that they may avoid long-term welfare dependency. The earnings disregard of £115.38 per week is the main element of this policy and it is designed to recognise the additional costs which a lone parent may face in moving into employment and to ensure that the financial implications of making such a move are straightforward and easily understood by lone parents. Treating other income in the same way as earnings would not be in keeping with this policy objective.

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