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Seanad Éireann debate -
Wednesday, 12 Dec 1990

Vol. 127 No. 1

Social Welfare System: Motion.

I move:

That Seanad Éireann, noting the increasing commitment to a pluralist inclusive vision of Ireland, recognising that the unemployed are the State's largest excluded minority, calls on the Government to take all necessary steps to ensure that the dignity and self-respect of unemployed people are enhanced by the social welfare system and other services, and calls specifically for:

1. an increase in payments to unemployed people to the levels recommended by the Commission on Social Welfare;

2. a revamping of social employment schemes to ensure that scheme workers are not deprived of Christmas bonuses, family income supplement, and supplementary welfare;

3. an end, for the long term unemployed, of the invidious requirement to sign on;

4. an end, for the long term unemployed of the cruel and degrading demand to "actively seek employment" in a society where no employment is available;

5. a fundamental review, for the long term unemployed, of the manner in which alleged "non availability for work" is used to harass unemployed people, diminish their initiative and is particularly used against unemployed women with children.

There is a considerable amount that needs to be said on this issue and, indeed, even in half an hour I am sure that I can cover it. May I say first of all that I would like to put on record my gratitude to the Minister's Department — I sought a considerable amount of information from the Department and it was promptly and comprehensively forthcoming, and I am grateful for that and I thank the Minister. What I want to do in this debate is not so much to focus on the unemployed, though I will do that, as to focus on the unemployed as a large, excluded minority in our State.

There are many minorities in Ireland. There are many oppressed groups in Ireland and I think that along with my colleagues here and, indeed, with many other people in Irish politics, I have made considerable efforts to support all of those minorities. I suppose all of us have watched....

May I explain that I am due on in the Dáil at 7 o'clock? I will be back again.

Very well. In recent weeks, with a certain irony I have heard a lot of people rush to nail their pluralist credentials to the mast. I would invite all of those people to think through their pluralism, to the country's largest excluded minority. I use the word carefully because women are actually a majority in our society and therefore do not fall under the category of excluded minorities.

We should begin to recognise our unemployed for what they are: a large homogenous minority, invisible to a considerable extent, sharing a common experience of pain and humilitation of a variety of kinds. I can quote from this evening's Evening Press. This is a report of a lecture given by Dr. Declan McLoughlin of the James Connolly Memorial Hospital in Blanchardstown. He said that the long term unemployed complained of increasing anxiety, depression, insomnia and lack of confidence. He also said that the mental and physical effects of unemployment on such a young population would wreak havoc in the community if the issue were not addressed. He listed the various symptoms and consequences of unemployment for its victims.

All surveys show that the majority of unemployed people want a job and think that unemployment is a bad experience. However, there comes a point when people can no longer sustain their motivation in the face of continual rejection, heightened awareness of their own shortcomings, disillusion with job-finding services, belief that all options have been conveyed and the knowledge that jobs are scarce anyway. I quote that because it is one of the regrettable and painful facts about unemployment that many people subscribe to quite extraordinary prejudices about the unemployed, and not only people who are uninformed. John Blackwell, in a background paper to the report to the Commission on Social Welfare, on the alleged effect of unemployment compensation and the work incentive, showed that there is no conclusive evidence. In a survey on the literature he quotes the so-called experts, and this is precisely what he says: "The literature assumes, in general, that unemployment brings with it a leisure component which yields positive satisfaction." These are the so-called experts surveyed by an expert and an expert who was not particularly sympathetic to those experts.

We start off considering the perception of the unemployed with that extraordinary assertion of the experts that there is something positive about unemployment; there is a sort of a leisure contribution — the free time thing. The first thing to be said is that all of the human statistics as distinct from the economic analysis of unemployment, say the opposite: unemployed people do not find it positive, beneficial, helpful or anything like that. They find it quite the opposite and, in the words of the doctor, depressing and heartbreaking, etc. That is the first thing that needs to be said about the unemployed.

The second thing to remember is that one of the reasons we can have these contradictory and, indeed, untrue statements about the unemployed is because they are effectively, largely and geographically invisible. If we had, as I have said before, a racial minority which was concentrated overwhelmingly in certain areas of our cities, with poor housing imposed upon it, together with overcrowded, underfunded schools, a diminished if not destroyed physical environment, and increasing problems of substance abuse among its young people, large sections of our liberal establishment would scream "discrimination". They would scream "this is wrong, this is a minority that has been victimised", but when it happens to our unemployed it apparently becomes an issue which can be ignored. It has none of the "sexy" qualities of many of the other areas of minority rights and yet the unemployed are the largest minority in our society. We have many different minorities and many people complain about them. Within that minority of the unemployed, for instance, I will briefly refer to one minority and they are the travelling community.

The travelling community all round the country are required to sign on at 11.30 a.m. on a Thursday morning. If our Jewish countrymen or our Muslim countrymen or our black fellow countrymen or Church of Ireland fellow brethern were required to sign on at a particular time at every labour exchange in the country, every single member of the liberal Establishment would scream blue murder and yet the travelling community are subject to this. You can go to any labour exchange anywhere and pick out the travelling community; they are the people who sign on at 11.30 a.m. The joke is that this Government, and successive Governments, will deny that, and have done so. They will deny it by saying we do not pick on the travelling community, it applies to persons of no fixed abode. The joke of that is, of course, that the official rules of the Department of Social Welfare say you cannot get unemployment assistance if you do not have an address, so therefore, it does not apply to persons of no fixed abode. The truth is that it applies to the travellers and I think Senator O'Toole when he speaks will elaborate somewhat on that.

There is an increasing recognition of the devastation of the unemployed. It is recognised by the variety of schemes which the present Minister to his credit has introduced: schemes on educational opportunities, on part-time work, on participation and voluntary work. All of these are welcome but they are a little like the South African Government recognising the oppression of apartheid and making concessions on the margins of apartheid to make it more palatable. There are perhaps 1,000 people out of the 220,000 unemployed involved in education schemes. I do not know how many are involved in voluntary work. It is still a very small number out of 220,000 people of whom, according to the Department's own figures, perhaps 135,000 are long term unemployed. These schemes are there for most of those people but they do not seem to get through to them and it is worth wondering why.

These are indications that we are doing something to these people; these are recognitions that these people suffer. The doctor I quoted said that they suffer; there is considerable evidence on the subject from some other people and every community group will tell you that these people suffer from unemployment. It is not just the temporary loss of a job; it is the long term effects of exclusion from the job market. You have to look carefully at what it means to be unemployed and at what we do to the unemployed. The statistic of unemployment is thrown around as if it were the statistic of inflation — a thing that goes up and down. Eminent economic commentators do this. They say that inflation is 4 per cent, unemployment is 17 per cent; two different statistics. One is a measure of the price of goods and services; the other is a measure of human degradation. They should not be treated as if they were interchangeable calculations in an economic matrix. They are two totally different quantities; one refers to people, the other to things.

One of the popular perceptions of the unemployed is of a large-scale willingness or tendency to fiddle at the first possible opportunity. Sadly this is prejudice that is widely fostered by certain sections of the media with an enthusiasm that goes far beyond the factual evidence. The best evidence I have is from the summary of the report of the Craig Gardner Management consultant's review on payment systems issued by the Department. On page 10 of that report, the Craig Gardner report summary which refers to Dublin, says:

In terms of monetary expenditure, these figures suggest that about 1 per cent of unemployment payments and something like .8 per cent of disability benefit payments are claimed fraudulently.

We are talking about figures as low as 1.5 per cent. I do not think that that represents unemployment schemes being abused on a grand scale. I do not think it represents anything other than the minuscule tail of abuse in a system which apparently has succeeded in squeezing out most of the abuse. The problem is what else it has squeezed out in the process of dealing with abuse.

To understand what is squeezed out of people in this system you have to understand what is done to people. To qualify for unemployment assistance which is the one which I am most concerned about because it affects the long term unemployed, you have to do a number of things. The first is that you have to be actively seeking employment and the second is that you must be available for work. They all sound like laudable options except that when people's unemployment period stretches on for two months, four months and six months you still say that people must be actively seeking employment, must be actively available for work.

Actively seeking employment means proving you are looking for work. That would be very fine in a society where there was plenty of work available or where there was a prospect of plenty of work being available but neither is the case. There are 221,000 people unemployed in this country. The best forecasts for the next ten years will not push us much below 150,000 and that is being extremely optimistic. It could stay as high as 170,000 or 180,000 even with the most optimistic forecasts. You are talking about a large pool of people with an inadequate supply of jobs being told that they must be actively seeking employment.

Those who run the system, through no fault of their own are forced into impossible dilemmas which cause impossible pain for the unemployed by forcing unfortunate wretches to go through the sham of looking of jobs when everybody knows that there is not a single job available. I met a personnel manager in a factory in County Galway recently, who said he was sick and tired of having to write letters to people telling them that he had no work. He was only doing it because the unfortunate person who contacted him would be told that he could not qualify for unemployment assistance if he did not have evidence that he had actively sought work. This man had no jobs available. I know of many instances of foremen on building sites with big signs outside saying "no vacancies", still having to go through the ritual of telling men that they have no work because the men were told that if they did not go and look for work they would be disqualified. It is a humiliating, degrading ritual and there is a simple alternative to it.

The second requirement, of course, is that you must be available for work. This is the one which has produced the education scheme, the part-time work scheme, the voluntary work scheme. They are all very well but the one thing to remember in all of these is that for an unemployed person to do anything they must get approval. To go on voluntary work they must get approval, to go on an education scheme they must get approval. They must get approval to do a whole lot of things. Though it is well-intentioned and a good idea, as far as it goes, it still conveys the impression of a suspect minority needing to be controlled, needing to be kept under the watchful eye of those of us who will make sure that they do not stray from the straight and narrow.

If it were done to a racial minority or to a religious minority we would be up in arms in outrage. Yet, it is done to our largest excluded minority consistently by the system, not by the individuals who run the system, but by the system itself. It is the system that is wrong; it is the system that hurts people. The "availability for work" provision has at times been loosened but essentially you must be either idle or doing something the system approves of or else you are not available to work. It is meaningless in a society where work is not available. It explains nothing and it means nothing in a society where work is not available.

I would like to explain to the Minister a simple alternative to all of this. The simple alternative is as follows. If one wants to know whether people are actively seeking employment, if one wants to know whether people are available for work, offer them a job. Offer them a job that has pay and conditions similar to those which a trade union in the area would agree with. If somebody says, "No, I do not want that job," then you have proved that they are not available for work and you can say, "These people are not really looking for work because when they were offered a job they would not take it." So why do we not do that? Because there are not jobs available. We go through this meaningless ritual of degradation and humiliation to do something that is impossible. There are no jobs available for all these people. I do not know why it is not so self-evidently correct as to be demanding and screaming out for a change. We put a quarter of a million people through a ritual like this to search for jobs, to prove they are looking for jobs, for something that does not exist. It is a dreadful system. It is a hangover from a totally different world.

We have gone through extremes of this. I produced a report two years ago on the job search scheme in which I surveyed all the centres for the unemployed around the country asking them what they thought of the job search scheme and they all though very little of it. The Jesuit Centre for Faith and Justice have produced a report in which they concluded it was simply a scheme to harass the unemployed, to put pressure on the unemployed, to keep them under control. Lots of people have come to the same conclusion about that scheme and it is now, thankfully, fading out. The best estimates of the Department of Social Welfare show that 10,000 full-time jobs were filled through the job search scheme, not because of it, but through it. The real survey would have to be done to see how many of them would have been filled anyway, even if there were no job search scheme. That was a ritual which further stigmatised the unemployed and tied them down.

Adding to our insistence on availability for work — this non-existent work — are the conditions attached to the social employment scheme. The problem always is that a whole lot of well-intentioned things are done — for example, the education programme, the part-time work scheme, the social employment scheme. They are done with the best intentions in the world. But it becomes another badge of humiliation. Anybody who saw those angry people marching up and down outside the gate last week would have to wonder why it is something that actually gives people work could be so hurtful. The reason is, first, that many of them feel they are shanghaied into doing something that pays them very little more than they get on the dole; but they have to do it or else their unemployment assistance will be cut off. It pays somewhat more, not a lot more. But they have a problem. If they look for the family income supplement they will be told they cannot have it because they are not working. Therefore, they have a financial crisis and they go to the community welfare officer who tells them, "You cannot have it because you are working."

That is the story of the people outside the gate of this House this week. One side of the system tells them, "You cannot have our benefit because you are not working" and the other side tells them, "You cannot have our benefit because you are working." On top of that, they are told that because they are on the social employment scheme they are not eligible for the Christmas bonus that people on the dole get.

Talk about a scheme that is full of good intentions. It is so tied up with a perception of the unemployed that they have to be squeezed in on every side. The problem is a central perception that these people cannot be trusted with their own lives, incomes and so on. It is a classic perception of a society of a suspect minority, a minority which cannot be trusted not to run away with, metaphorically speaking, the family silver, that is, the unemployment assistance; a suspect minority which cannot be trusted to look for work under its own initiative, which apparently we presume will not work unless it is coerced to work. This is a classic majority perception of a racial or religious minority, a classic one from Northern Ireland, the US, wherever you like to go.

A classic perception by the majority of the minority is that they will not work because they do not want to work, not because there is no work available. Out of all that comes this increasingly invisible homogenous non-thought about a minority. It is time we thought about the unemployed instead of talking about unemployment.

I would like to suggest to this House a succession of proposals. I want to go through each of them with some thought at this stage. They are the proposals contained in the motion. Each of them deserves to be elaborated upon. The first of these is the necessity for a substantial increase in the rate of payments. There are two reasons for this. One is the sheer justice of the case which is that the money that is available currently is inadequate. The figures at this stage should be £61 for a single person and £100 for a single person with an adult dependant. The current rates for unemployment assistance for the long term unemployed are £52 for a single person and £31 for an adult dependant, which adds up to £83. We are talking not about large incomes but minimum incomes and we are still a long way away from the recommendation of the Commission on Social Welfare. It is important to appreciate that those figures understate the recommendation, because the Commission on Social Welfare recommend that child dependant rates for unemployed people should be big enough to support the children, which means that a quite dramatic increase in the child dependant figures is also necessary. That is the first primary requirement. Let us get away from the side arguments that this would represent a disincentive to work. The overwhelming evidence is that people want to work. The only people who believe that the unemployed do not want to work are econmists who never talk to the unemployed, who look at statistical evidence, who attempt to generate cause and effect relationships where none exist.

Anybody who has spoken to unemployed people will know the lengths to which they will go to work. I knew a man who actually hitched 30 miles every morning and evening in order to do a social employment scheme just because he wanted to do something. He ended up, like everybody else, being degraded, humiliated and hurt by that. The list of people is endless. The Department's own statistics are endless and prove beyond doubt that people do not abuse social welfare. Social welfare abuses people. It is not the fault of the Department's officials. It is the system and its perception that has degraded people and humiliated them.

With regard to the signing on requirment, I am not sure what it is supposed to prove. When we had no information technology, when we had all the other problems of cumbersome paperwork, etc., there may have been a reason. One only needs to talk to somebody about the shock of the first visit to the labour exchange. I have a friend, a journalist, who was put temporarily out of work by an industrial dispute which did not affect him. He went down to his local labour exchange to sign on. He is a confident, articulate, self-assured person who knows his rights. He came out of it after one visit with a large lump of his dignity taken from him, not by the officials, but by the system. One visit by an educated, articulate, confident man — a man who had a job as a by-line specialist correspondent in a national newspaper — to the labour exchange and he felt that he had lost a large portion of his dignity. For people who do this week after week for a large part of their adult lives it is guaranteed to destroy their dignity. It cannot be any other way.

I have described at length the actively seeking employment requirement. In a society where there was a shortage of labour and a surplus of jobs, it may have been an idea but in a society where work is scarce and people without work are numerous, to send one quarter of a million people chasing jobs around the country is an exercise in collective humiliation of a minority. It should end. If there is a need for control then it is up to those who administer the system. Successive Governments have looked at this. It is not the fault of any particular Government. It is up to them to devise an alternative system. For anybody who has been on the dole for six months, for whom FÁS, the Department of Social Welfare and all the other schemes have failed to provide anything, can we at least say after six months "Yes, we have failed you. We cannot give you a job, we cannot offer you the hope of a job, we cannot offer you anything. All we can do is give you a few miserable bob to keep you away from total humiliation." Let us drop this requirement to go seeking work on people who have been humiliated over weeks and months and, in some cases, years — drop it completely. Similarly, with the whole question of non-availability for work: for the long term unemployed it is a meaningless phrase. To suggest that people have to prove their idleness or have to have their non-idleness approved of by the system is, again, to add to their humiliation and degradation.

The issue is not simply modification to the system; it is an end to the system, because what the system has done is to create a stigmatised minority of about a quarter of a million people and, with their dependants and children, at least a half a million people in our society. It has created it, stigmatised it, put labels around it of "dosser", "fiddler", etc., and in the process has given them not enough money, but an excess of pain and suffering, and has achieved no purpose either for the Exchequer, for the unemployed or for the labour market.

May I say, in conclusion, that if the argument is to be made that the real solution to unemployment is the creation of jobs, I would be the first to stand up and cheer. I remind the House that the best forecasts suggest that we will have at least 150,000 people unemployed by the year 2000 and it will probably be closer to 175,000 or 180,000 or maybe even 200,000 depending on what happens. Those 200,000 people are a homogeneous, coherent minority — excluded, invisible and unheard. They do not appear on television, they do not have anything. There are more people unemployed than go on continental holidays; yet, we do not hear about them the way we do about continental holidays. There are more people unemployed than buy expensive clothes in Grafton Street, and yet we have a television programme every week about expensive clothes in Grafton Street. We make them invisible and, once made invisible, we humiliate them by our assumptions, by our systems and by the continuing presumption of their unworthiness of our support. I suggest to this House that modifications and tinkering at the margins of the system will not do. It is the system which destroys them, it is the system which must be changed and it is with that in view that I move the motion.

Senator Ryan has given a most comprehensive outline of the thinking behind this motion. In seconding it, all I can do is perhaps to add to the edges of what he has already said to us. The point I immediately want to make is that I wish to emphasise the group of people about whom we are speaking. The unemployed of Ireland are the people who populate our prisons, are the people who populate our labour exchanges, are the people who populate our most overcrowded areas. The unemployed lose out in every aspect of life. They lose out both in the social media in which they operate and also in the way they are treated by the system.

I do not believe — and neither does Senator Ryan, the proposer of the motion — that there is any great conspiracy out there to get the unemployed, but it is the uncaring response of bureaucracy which has created such huge levels of indignity for the unemployed. In many ways it is perhaps fair to say that the system responds to the views of the population. The truth is — and we have all seen it happen — somebody has been working, and working hard, for 20 or 30 years and suddenly through no fault of his or hers the factory, the office, the company or whatever closes down and that person finds himself or herself in late middle-age with no employment. He or she is suddenly a member of the ranks of the unemployed and becomes somebody who is spoken about in hushed tones around the neighbourhood. From that moment on it is as if there is some stigma attached to that person because he does not work, because he is unemployed. That is there in society. The continuation of that, and where it gets worse, is when those who in a sense feel superior — indeed, they are superior because they are in employment — and have been somewhat looking down at the unemployed person — suddenly in turn find themselves unemployed. Then it is indignity piled upon indignity. They can no longer cope with their changed status and they also see themselves in terms of low self-esteem and they too comply to the type we assign to the unemployed.

I want to make a comment which I often make about people in any form of employment whenever I hear people talk about lazy politicians or politicians not doing their job, whenever I hear people say the same about any group of people, whether they be teachers, doctors, solicitors, or roadworkers. There will always be the philosopher in the pub who will in a generic statement say that they are all a shower of dossers. The reality is that the percentage of idlers or lazers among the unemployed is no higher than it is among the employed. That is the reality. The number of people who are prepared to doss does not vary between employment and unemployment except for a very small minority. The vast majority of the unemployed are people who wish to work, who have made every attempt to find work and many of whom worked as long as there was work available to them. They worked hard and did their work well. It is unfair then that they are cast suddenly as leeches on society, are presented as people who seem prepared to suck us dry, when all they really want to do is work.

Without a shadow of a doubt, we have failed to bridge the gap, we have failed to make our community understand that to be unemployed is a handicap we should respond to in the way we would to other handicaps by helping and supporting people. We do not do that. In this society it is much easier for us to point the finger, to blame and to take the cruel line that that person is unemployed, therefore, that person is a drain on society; the attitude is "That person is sucking us dry. We can do without him". Therefore, when you get a tax bill there is a tendency to say "Here am I going to work early in the morning and coming home late and your man did not get up yet and when he did it was only to watch television". There is nothing as bad — and many of us I am sure would have come across it — as knowing the person whose life was routine, clockwork — up in the morning, out to work, pride in his or her work, doing everything that was required to be done, supporting the family, contributing to the community — suddenly finding himself or herself unemployed. This person goes through the system of the labour exchange, suffers the total indignity — as outlined so graphically by Senator Ryan when he spoke — and then finds himself without dignity, unable to keep his head up in society. He finds himself cowering behind closed curtains during the mornings and afternoons and getting up to watch satellite television for half the night — anything rather than face people out there. This is all because we have made it a crime to be unemployed; we have made it unacceptable to be unemployed, though we have not offered the jobs.

The solution to unemployment is job creation and we have failed in job creation. When I say we have failed, I think we all have played some part in that failure. All of us elected public representatives have failed to make it work. I am not taking the easy option here; I just want to create some sort of consensus here today. It is easy enough to point the finger at Government — and, indeed, I would be critical of Government at many levels — but this is stretching far above and beyond that. We have failed as elected public representatives to create the climate for job creation or to force job creation onto the sectors who can do that. We have not managed to do it for our people.

The group who were demonstrating and agitating last week outside the House were those on the social employment schemes. I know many of them. There are 2,000 of them working in national schools throughout the country. I use the word "working", because of course they are working. As Senator Ryan so clearly illustrated, it is strange how they can be working for one set of circumstances and not for another set of circumstances. Without a doubt these are people who are dependent on a wage per week which is no more, or marginally more, than they would be getting if they were not doing any work at all. It seems an incredible harsh and cruel thing to do — to punish them for working by not giving them the Christmas bonus which is available to everybody else on social welfare. I appeal to the Minister not to come back and tell me that working on an social employment scheme is not social welfare. I am not interested in titles; I am not interested in letters, I am just interested in the reality of the poverty and the indignity and the suffering of these people. It seems incredible that we would create a system where we would punish those who are trying to make ends meet, to do their best, to contribute in the only way open to them, which for many of them is the social employment scheme, with all its flaws, at least creates an outlet, an opportunity, a work milieu for people who would otherwise be unemployed and who get for their work only the most minimal of wages. They are without a shadow of a doubt entitled to their Christmas bonus. It seems a most heartless thing that we have refused to give them that.

I urge that that would be one of the things that the Minister would respond to in a very positive way and at least clear it up for the future if we have lost out on it for this year. Those people are indeed facing a very poor Christmas. They are being punished for working. I met many of them last week and they said they were marginally better off by being on the social employment scheme. Certainly, coming up to Christmas they would have been far better off to be sitting at home in the morning and just collecting welfare at the end of the week.

I do not understand the logic of signing on. I really want to press this point. The State needs accountability for every cheque it hands out. I do not have anything difficulty with that; I thoroughly support that. In all walks of life the State should insist on getting its value and check every cheque that goes out to make sure it is going to the right place and that it is required to be spent. I want to make that quite clear, and I think Senator Ryan made it quite clear, that this is not an attempt to create a situation where the State can be defrauded. I think that is the least part of the State's worry. The State knows the number unemployed and knows the amount being paid to them. If there is a very small proportion of people who are defrauding the State by collecting and at the same time working on the black economy, then I suggest we employ people to make sure that does not happen again, because nobody supports it and those of us who speak on behalf of the unemployed do not support defrauding the State either, under any system. For those tiny minority who are at it, another structure should be set up to root them out and to deal with them in the way required by the law.

But the illogicality of requiring people to get into the queue every week and to go through the whole torture of inquisition, or whichever way it is dealt with in different ways in different places, does not make any sense to me. It is part of the unemployment industry. That is what it is. There are many people whose structures and bureaucracies depend in fact on a continuation of unemployment. Those people would be better off by doing other things, and I have not the slightest doubt they would be the first to say so themselves. It seems that coupling this with the requirement that they be seen to be actively seeking employment is the greatest nonsense imaginable. I do not understand how people can be actively seeking employment when the employment does not exist.

Where are all these jobs that are not being filled? Where are all the vacancies that are not being filled? Where are all the employers who are crying out looking for workers and cannot get the workers? It is an utter nonsense. Many of these people on unemployment are wasting valuable bus fares or petrol money or whatever it is, travelling around trying to participate in the charade of actively seeking employment which does not exist. Chasing a dream is what it is, Minister. It certainly does not make any sense at all. There could be a far more effective and efficient way of accounting. I would not insult the Minister by going through the various different ways. Senator Ryan, in passing, mentioned information technology. It would be just as easy to push a card into the wall every week as it is to go through this whole process of procedure and charade that is there at the moment.

I also want to reiterate the point raised by Senator Ryan about the travellers. It is nothing other than sectarianism. It is nothing other than apartheid. I had a meeting with a group of travellers last night. It was with the Dublin Travellers Education Group. They described to me, as they do on a regular basis, what it is like being a traveller, being unemployed, trying to cope with the system, the barriers that are put in their way, the difficulties that are created for them and how they are made to feel like a herd of the lowest untouchables in the State. Many of these people are very articulate in the way they can put forward their point of view. It seems utterly unacceptable that this group, of all the groups in the State, should be treated so differently, that they have to do what they have to do. Anybody can see this on a Thursday morning. They have the children with them as they dare not leave them in the trailers, particularly at this time of the year with heaters and everything else on and a danger of fire in these trailers and, as we saw during the week, deaths from hypothermia and so on. So they have to take the children with them. Does the Minister know that on any Thursday the education classes for travellers around this city are halved, because the children are all brought into town with their parents while they are trying to cope with the system of gaining unemployment. Any teacher of travellers in this city will confirm that view. It is an utter nonsense and it achieves nothing except further hardship for an already persecuted group of people, people with their own cultural identity.

I had intended dealing with many other issues but I just want to make one passing reference to a matter which is very close to my own heart in the area of the unemployed and that is a group of long-term unemployed who never get to claim for anything. I am talking about teachers. I had a meeting two weeks ago with three teachers who have been teaching for the last five years. They have been teaching for as many days employment as they can get over the last five years — a day here, two days there. There would hardly be a week over the last five years when they have not had some form of employment, but they have never had enough to put up stamps. They are a group of people who despite being available for work, despite actively seeking work in the sense of showing up at our head office every morning and waiting for somebody to ring up and call them in to do a day's substitute teaching or whatever, are never able to put up the requisite number of 39 stamps or whatever it is in order to get into the system. Those are people at the two ends of the spectrum: the third level professionally educated people, the teachers, who do not get to claim at all; and the travellers at the other end of the scale, who have not had access to education, have also been discriminated against.

The system does not make sense at the moment. The Minister is a man who has brought in many reforms and made many changes for the better. That is widely recognised. He has tried to consolidate the legislation, tried to create a sense of awareness and response to the needs of the community. I appeal to the Minister tonight to look at the points in this motion to see if there is a way by which this could be achieved with more dignity; to see if there is a way that this problem can be addressed, where we do not give offence to those who are already suffering from the trauma, hardship and cruelty of being unemployed. I appeal to the Minister to respond positively to this motion and I appeal to my colleagues on the Government benches to withdraw the amendment, which does nothing at all to address the issues which we have raised in the motion.

Ba mhaith liom i dtosach báire go foirméalta an leasú don rún seo a mholadh:

To delete all words after "Seanad Éireann" and substitute the following:

"having regard to the problems associated with unemployment, particularly long-term unemployment:

(a) welcomes the substantial progress that has been made by the Government in implementing the rates of payment recommended by the Commission on Social Welfare for this disadvantaged group through special increases given in successive budgets,

(b) welcomes the introduction by the Minister for Social Welfare of a flexible and innovative approach through special educational schemes and employment-related measures specifically directed at the long-term unemployed,

(c) acknowledges the Government's record of improvements in the delivery of social welfare services with particular emphasis on the dignity and privacy of those dependent on those services,

(d) notes the priority attached by the Minister for Labour to the problems of the long-term unemployed through the continuation and improvements in training-employment schemes to assist that group return to the workforce, and

(e) notes the resolution on the long-term unemployed adopted by the Council of Social Affairs Ministers during the Irish Presidency".

The commitment by Fianna Fáil to social welfare goes back to the first time we came into Government, when in 1933 they introduced unemployment assistance for the first time. The situation about the unemployed is that obviously the long-term solution must lie in trying to provide employment for as many people as possible. However, it appears that for the foreseeable future there will be people who will be dependent on unemployment assistance. It is my experience that there can be — and I would accept this — an indignity for people being unemployed. There is a whole social problem associated with unemployment. For example, I have so often noted a big difference between small farmers dependent on unemployment assistance to supplement their income and people who are unemployed. However, in the last few years progress has been made in improving the system.

I would like to pay tribute to the staff in the Department of Social Welfare. As somebody who does a lot of work with people who depend on social welfare, I find the staff of the Department courteous and very helpful in providing information quickly. However, I would highlight a problem that I have often come up against. A person in business will hire a consultant to deal with the tax office on their behalf. Obviously that remedy is not available to those in receipt of unemployment benefit and they can experience difficulties in dealing with the system, not because the system itself is malign but because they do not normally deal with bureaucratic systems. It is important that people would be available to advise them on how to avail of what is due to them.

In the Social Welfare Bill introduced this year there were increases of up to 11 per cent. Wide ranging steps were taken to provide better benefits for people, for example, the age for the dependent child allowance was raised in certain cases. A lone parent allowance and a carer's allowance were introduced and this is particularly relevant to the question of actively seeking employment. One group of people I used to feel sorry for were those people who were not able to seek employment because they were actively caring for people who needed care. This year that group were catered for with the introduction of this new scheme. It often worries me that with the negative approach that is taken at times, people do not understand that new schemes were introduced and that steps were taken to provide for people in those circumstances. That scheme opened up new horizons for people who had no work and who also had the difficulty that they had to look after somebody in need of full-time care and attention.

There was also an improvement in means testing, which is very important for unemployed people. For example, bhí ceist mná tí na Gaeltachta. Bhí sé sin an-tábhachtach don dream atá ag brath orthu siúd an Ghaeilge a chur chun cinn. Ach chomh maith leis sin, bhí feabhas ar an gcaoi a mheastar ioncam feirmeoirí i mbliana. Steps were taken through the family income supplement to improve the lot of the low income worker. At the end of the day, we must give an incentive to employers to take as many people as possible into gainful employment. Many other schemes were introduced which enable people to take up gainful employment for example, the part-time job incentive scheme, the new education opportunity scheme for the unemployed and the voluntary work option. All these give a wide choice to people on unemployment assistance to engage in voluntary work, education, part-time work or whatever. I am sure the Minister would like to do a lot more in this area. As urban unemployment increased there was not only that problem to be faced but also the lack of activity in that area. The demand for the social employment schemes proves their success. The introduction of the child dependance allowance last year was a great step forward in social employment schemes. For married people or people with child dependants, the social employment schemes became attractive.

It is also a fact that for people with small farms, etc., who are means tested and go on social employment schemes, the benefit of being in the scheme, compared to social assistance, is great. One of the improvements I would like to see is to have the schemes running slightly longer than at present. Perhaps a two-year term could be introduced over a period, which would enable more work to be done.

One point that has not been stressed is that the social employment scheme also affords somebody an opportunity to take up any other type of employment they want to when they are off. These social employment schemes either work on a two-and-a-half day week on and a two-and-a-half day week off or a week on, week off system. It has afforded people an opportunity to take up employment on a small scale without being worried about means testing. Many young people are not aware that they can do this under the social employment scheme. I would like to see this point being stressed. As a co-op manager, I know that we were often able to give supplementary work to people on social employment schemes when we needed temporary employees. This boosted their income considerably. I understand that a single person on long-term unemployment assistance, including the bonus at Christmas, will earn £244 over the Christmas period compared to £278 for somebody on a social employment scheme. So a person on a social employment scheme will be considerably better off over the Christmas period than somebody on unemployment assistance. As well as that, as I pointed out, they have freedom to supplement their income either from self-employment or paid employment during this period.

It is fair to say that over the last few years there has been an innovative reforming approach to social welfare. The rates of payments and the whole social welfare code here now compare very favourably with what our neighbours across the water have. We must build on what has been done. We have to ensure that the rough edges in the system — and I would be the first to admit that there are still rough edges — are eroded in a step-by-step approach. It is very important that the attitude of the public at large towards people on social security should change. As politicians, we can influence that.

In the community where I live no differentiation is made between those who are in employment and those who unfortunately are unemployed in either social standing or any other way. That is an attitude that has been generated by that community. That is not something that can be laid down by Government. We lead by example. As a co-op manager and as a politician I would not treat differently somebody who is on unemployment assistance and somebody who has a job.

The main problem arises in an urban context in that people have different lifestyles and are more segregated than they are in rural areas. The only way to tackle that problem is to encourage more integrated communities, particularly in urban areas. In rural areas we do not have this divide. There is no sense of shame attached to a person who is signing on. That attitude reflects the structure of the community rather than the structure of the social welfare code.

Regarding the signing-on aspect, it is true there is a move away from that. A major step was taken in the pre-retirement scheme where a person over 60 years of age no longer has to sign on. I hope further steps will be taken to ensure that the necessity for signing on will be kept to a minimum.

Mar a deirim, tá an tAire le moladh as an méid athruithe atá curtha i bhfeidhm aige le cúpla bliain anuas. Tá mé cinnte go leanfaidh sé leis an bhliain seo chugainn, de réir mar a bheas airgead agus deiseanna ar fáil aige, ag cur feabhais ar an chóras agus go dtabharfar stádas agus ceart do na daoine bochta mar a rinne Fianna Fáil ariamh ó bunaíodh iad.

The report of the Commission on Social Welfare sets out the principles on which a modern social welfare system should be founded. They stated:

A social welfare system should have explicit underlying principles. These have not been clearly enunciated in the Irish context. We therefore, considered that the guiding principles should be adequacy, redistribution, comprehensiveness, consistency and simplicity.

It is in the context of these underlying principles that I support this motion which calls for an increase in the rates of payment to unemployed people to the levels recommended by the Commission on Social Welfare; a revamping of the social employment scheme so that those 10,000 people or so who are employed in these schemes and who are doing such excellent work throughout the country in urban and rural areas are not deprived of a Christmas bonus, fuel allowances, butter vouchers and indeed are not made subject to local authority rent increases because they have participated in these very valuable schemes.

I support this motion because it calls for an end to the invidious and humilitating requirement which is placed on the long-term unemployed to sign on; because it calls for an end to the cruel and degrading requirement that the long-term unemployed "actively seek employment" and this is at a time when the Government Estimates and the Government social welfare budget is based on an unemployment figure of 221,000.

I support this motion because it calls for a fundamental review in respect of long-term unemployed on the way in which the alleged non-availability for work is used to harass unemployed people, to diminish their initiative and their morale and because it is particularly used against unemployed women with children. With regard to the question of the basic payment structure, the commission's report emphasises that the most important issue dealt with in the report is the specification of a minimum adequate income. That report states:

Social Welfare payments should be set at a level that ensures a minimum adequate standard of living relative to incomes and to living standards in society generally. While some social welfare recipients have additional sources of income, or are living in households with additional sources of income, we believe that in establishing an adequate minimum income and an adequate basic level for social welfare payments, our primary concern should be to ensure that social welfare payments offer an adequate standard of living to social welfare recipients whatever their household circumstances and independent of any other income sources accruing to individuals or households.

The report continues:

We recognise that for about half the households with a social welfare recipient there is no income source other than social welfare, and for many more, the individuals and families are dependent on social welfare. The minimum income from social welfare must, therefore, be set at a sufficiently high level to provide for total income needs.

With regard to the question of administration and the delivery process, the report states that, in general, the quality of the service is in marked contrast with the standard which claimants are entitled to expect. This is evidenced from delays in processing claims, lack of access to information and the general appearance of buildings. The report stresses that the sense of entitlement should prevail in relation to social insurance and social assistance and that arrangements for means testing should not be socially stigmatising.

The report summarises its conclusion in regard to the delivery process as follows:

The system should be administered in a manner which enables it to respond quickly and efficiently to the needs of the applicants, and which respects their individual rights and dignity. The present high level of dependency on social welfare with over one-third of the population dependent on these payments for all or part of their income, gives added impetus to the need to maximise efficiency within the system.

The report considers that the administration of the social welfare system should be localised as far as possible and in this connection I believe there is a strong case to be made for the regionalisation of the social welfare system so that all social welfare schemes and all determinations can be dealt with on a regional basis.

In a recent article in the Financial Times dated 3 August, 1988 entitled “The Long-Term Unemployed — How Business Can Tap The Wasted Potential”, Richard Jackman of the London School of Economics and Political Science stated “the greatest social evil of our time is long-term unemployment”.

Professor Junankar of the University of Essex in a report prepared for the Commission of the European Communities entitled "The Very Long-Term Unemployed in the European Community" points out that since the beginning of the eighties there has been an enormous increase in unemployment in the European Community and a concomitant increase in long-term unemployment where the duration is for one year or more and in very long-term unemployment where the duration is two years or more. For the European Community as a whole unemployment increased from about 12 million in 1983 to 13 million in 1986, while very long-term unemployment increased over the same period from two million in 1983 to three million in 1986. These enormous increases suggest a crisis in the European labour market which requires concerted action by the European Community to alleviate the social and economic costs of unemployment. The extent of the problem in Ireland was highlighted in a submission made on 7 June 1989 to the ministerial committee on employment by the Jesuit Centre for Faith and Justice entitled Long-Term Unemployment. That submission states that the eighties have seen a massive increase in the numbers of people unemployed in the Republic of Ireland and that, in addition, the character of unemployment has changed significantly. Throughout the eighties the numbers of people trapped in long-term unemployment grew even more rapidly than total unemployment. At the latest count, according to the report of October 1988, there were 109,000 long-term unemployed on the live register in this country. This represented 47 per cent of the total unemployed at that time. It seems, therefore, that a long-term strategy of job creation must be at the centre of efforts to combat unemployment. However, all the available evidence suggests that, as things stand, the long-term unemployed will be the last to benefit from any general increase in employment. They are, in effect, locked out of the labour market. Special measures are necessary to enable them to break back in.

That submission from the Jesuit Centre draws the following important conclusions in relation to policy. They say that it cannot be doubted that special interventions are needed to combat long-term unemployment. This point was made forcefully by the OECD report in a recent publication. They state:

Long-term unemployment will not disappear of its own accord, even in the event of substantial economic and employment growth. There has to be, therefore, an acceptance that its resolution will require special measures. If the situation is allowed to drift, with insufficient assistance provided for those out of work for a long time, in many countries this would indeed be tantamount to consigning large numbers of long-term unemployed people to near permament social oblivion.

On a more hopeful note, intervention can make a difference. As Professor Junankar points out, the available data suggests that countries that have an active policy towards long-term unemployed and the very long-term unemployed, such as Denmark and France, have succeeded in decreasing long-term unemployment and very long-term unemployment. The experience of Sweden, as Richard Jackman points out, also highlights the effectiveness of intervention.

The second conclusion drawn by that submission is that the overall extent of intervention to date in this country is clearly inadequate given the scale of the problem and we risk falling into the category of countries in which the situation is allowed to drift with all the obvious unwelcome consequences. The third conclusion drawn is the need for targeting. This must be emphasised. In this connection, the OECD report of 1988 emphasises that once a policy decision has been taken to support disadvantaged groups, such as the long-term unemployed, measures must be taken with provisions which direct, concentrate and, indeed, target assistance on the groups concerned.

Mention has been made of the social employment scheme. This, of course, is a direct employment scheme and it is primarily targeted on the long-term unemployed. It was designed to achieve two basic objectives: (1) to help the long-term unemployed workers to re-enter the active work place and (2) to help public bodies such as local authorities and voluntary groups to do worthwhile work which they could not otherwise have undertaken. Such schemes expand the opportunities open to the unemployed and they also act as a stepping-stone back into mainstream employment. However, there is urgent need at the moment to improve and revamp the social employment scheme to ensure that those who participate should not be seen to be penalised and degraded by being deprived of such modest concessions as Christmas bonuses and fuel allowances.

It is also of interest to note that the National Campaign for Welfare Reform in their report of July 1990 carried out a detailed analysis of the action, if any, which is being taken on the 65 recommendations which were made by the Commission on Social Welfare. They noted that of the 65 recommendations, seven have been implemented, 20 have been partly implemented but a further 38 have not been implemented at all. For example, in recommendation 38 the commission recommended that the present signing-on arrangements should be modified so as to provide claimants with a greater choice as to the method of payment. These are some of the suggestions contained in the report.

I agree with speakers who said that the Minister for Social Welfare has shown great wisdom in many areas and has shown innovation in improving the system. There are some important recommendations contained in the commission's report which should be acted upon. It gives me great pleasure to support this motion.

I have noted the points which have been made by Senators and I will have an opportunity to reply to them on the next evening.

I would point out to Senator Kennedy that the report of the Commission on Social Welfare is a 1986 report. It lay on the shelf for a little while but I got it down and started to implement parts of it. One of the elements that was implemented in a very big way is localisation and we have actually set out a regional structure. I know it was only set up this summer but there is now a regional management structure. Senators will see that coming into operation in the very near future.

It is often suggested that a general upturn in the economy does not necessarily benefit those dependent on social welfare or on low incomes. However, the improvement in public finances which has been secured under this Government has ensured that social welfare increases in real terms over the past three years have more than kept pace with inflation and in so far as the lowest rates of payment are concerned, such as unemployment assistance, have outstripped anything that was achieved before.

The Government have been particularly conscious of the need to ensure that those dependent on social welfare, benefit from the improvement in the economy as a whole. Despite financial constraints, the Government continue their policy of sustained improvements in the social welfare area. Over the past three years we have more than maintained all payments against inflation, given special increases to those on the lowest payments, introduced many improvements in existing schemes, introduced a number of major new schemes and services including the carer's allowance and the lone parent's allowance and improved in many respects the effectiveness of the delivery of our services.

The new social welfare appeals office is a major development in the social welfare area. This new office, with its own director and chief appeals officer, will ensure that social welfare clients have an appeals system which is clearly seen to be independent, modern, efficient, fair and easily accessible. We invested an enormous amount of money in bringing about a situation where we can be flexible in our payment systems. We are dealing with a huge system. There are many offices involved. It took enormous computerisation and investment to get to that stage. We have made some significant changes but the day when social welfare recipients get their money from "the hole in the wall" depends on two things, the completion of that whole programme and the willingness and interest of our clients to receive their money in this way. The situation still is that the majority of people on unemployment benefit want to receive their payments weekly in cash. That has a bearing on what is happening. Our design is intended to provide full flexibility. In fact, there are people here today from Czechoslovakia looking at our modern system. People from Canada with whom I was speaking recently are coming to look at the system here because, having looked at others, they consider ours to be the most integrated, most modern system with the greatest potential for localisation and regionalisation of the service. We have made enormous progress in a very short time. I take the points that have been made by Senators and I will reply at greater length later.

Debate adjourned.
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