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Tuesday, 29 Jan 2013

Written Answers Nos. 437-456

Pension Provisions

Questions (437)

Seán Fleming

Question:

437. Deputy Sean Fleming asked the Minister for Social Protection if she will confirm that in a review of her Department employment support schemes that in table 3.2 community employment numbers and expenditure, page 38 that there is confirmation that in 2008 there was an accrual of €3.75 million in respect of CE supervisors pension claims and that this figure was written back into the Department accounts in 2011; the reason this occurred; and if she will make a statement on the matter. [4188/13]

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Written answers

In July 2008 the Labour Court recommended that an agreed pension scheme should be introduced for Community Employment (CE) scheme supervisors and assistant supervisors, and that such a scheme should be adequately funded by FÁS (LCR19293). It must also be noted that the employer in this situation is the sponsoring organisation and not FÁS (or the Department of Social Protection, which now have responsibility for CE).

The annual cost of introducing a defined contribution scheme for CE Supervisors was estimated at €3.75m in 2008. Therefore, in line with good accrual accounting practice, a one-year provision for the pension claim was made in the FÁS accounts should the debt materialise. This was prior to discussions with the Department of Finance, the Department of Enterprise, Trade & Employment and the CE Supervisors’ Union Representatives. No subsequent provisions were made following these discussions.

The method of accounting used in FÁS is the Accrual Accounting method which recognises potential economic events regardless of when the actual cash transaction occurs. This meant that the accrual of €3.75m in 2008 for CE supervisor pensions was simply a provision for an event that may occur (i.e. no actual cash was transacted). After transfer of responsibility for the Community Employment programme to the Department of Social Protection in October 2010 this accrual had to be reversed as the Department of Social Protection works under the Cash Accounting method. This was carried out in the 2011 accounts for CE, as recorded in the published document.

Domiciliary Care Allowance Applications

Questions (438)

Michael McGrath

Question:

438. Deputy Michael McGrath asked the Minister for Social Protection the position regarding a domiciliary care allowance application in respect of a person (details supplied) in County Cork. [4189/13]

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Written answers

An application for domiciliary care allowance (DCA) was received on the 18th January 2013 from the person concerned. This application has been forwarded to one of the Department’s Medical Assessors for their medical opinion. Upon receipt of this opinion, a decision will be made and the person concerned will be notified. It can currently take up to 8 weeks to process an application for DCA.

Rural Social Scheme Applications

Questions (439)

Michael Healy-Rae

Question:

439. Deputy Michael Healy-Rae asked the Minister for Social Protection in view of the excellent reputation of the rural social scheme, if she will consider raising the numbers to allow more persons to participate in the scheme; and if she will make a statement on the matter. [4194/13]

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Written answers

The purpose of the rural social scheme (RSS) is to provide income support for farmers and fisherpersons who have an entitlement to specified social welfare payments. Persons are engaged for 19½ hours per week to provide certain services of benefit to rural communities. The scheme currently provides work opportunities for around 2,600 participants and 130 supervisory staff. I have no plans to increase the number of places available on this scheme. The funds allocated for 2013 amount to €45m, which should enable the scheme to continue as in previous years but does not allow for the recruitment of additional participants above the numbers stated above. The Department of Social Protection has recently published a review of its employment support schemes which, together with outcome of the focused policy assessment of the RSS which the Department of Public Expenditure and Reform has indicated it intends to conduct this year, will inform future policy developments of the scheme.

Supplementary Welfare Allowance Payments

Questions (440)

Róisín Shortall

Question:

440. Deputy Róisín Shortall asked the Minister for Social Protection further to Parliamentary Question No. 125 of 19 December 2012, the value, number and proportion of social welfare allowance payments form the last period for which figures are available that were recouped form primary social welfare schemes when applicants are awarded a primary social welfare payment; the value, number and proportion that were not recouped; if a thorough profiling of SWA claimants or any other economic analysis has been conducted by her Department to determine the ultimate cost to the State of supplementary welfare claims arising from processing delays; if not, her plans to do so; and if she will make a statement on the matter. [4198/13]

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Written answers

The supplementary welfare allowance (SWA) scheme is the safety net within the overall social welfare system in that it provides assistance to eligible people in the State whose means are insufficient to meet their needs and those of their dependants. SWA may be payable to customers awaiting the outcome of a claim or an appeal for a primary social welfare or Health Service Executive payment. The practice is that payments issued under the SWA scheme are fully recouped, where possible, from the primary social welfare scheme on award. Scheme conditions, such as payment waiting days, may affect full recovery in some instances. Due to the nature of the scheme and the high level of customer churn, it is not possible to provide the statistics requested by the Deputy. The compilation of these figures would require individual tracking of each customer’s claim for a specified period.

I can, however, assure the Deputy that the Department has introduced a number of measures which, when combined, will reduce the recourse to SWA. These include the transfer of the Community Welfare Service from the Health Service Executive to the Department on 1st October 2011 with the purpose of providing a streamlined, consistent and enhanced service to the customer. The process of integration is on-going and progress has already been made with a new unified service, Intreo, now in the process of being delivered across all local offices. A significant feature of the new Intreo service is an integrated decisions team comprising deciding officers, community welfare service staff and investigators which has enabled decisions on primary payments for jobseekers to be made within a short time and has resulted in reduced recourse to a SWA payment.

Significant efforts are also being made in the processing of illness related schemes with additional temporary staff having being assigned to the area, the recent completion of a major service delivery modernisation project and an in-depth business process improvement project having commenced with the aim of eliminating backlogs and improving customer service. Significant resources and efforts have also been put into reducing volumes and improving processing times for appellants to the Social Welfare Appeals Office, including the assignment of 15 additional Appeals Officers.

Social Welfare Benefits Applications

Questions (441)

Brendan Smith

Question:

441. Deputy Brendan Smith asked the Minister for Social Protection if she will outline the changes to the telephone allowance arising from Budget 2013; the level of expenditure incurred under this scheme in 2012; the projected expenditure for 2013; and if she will make a statement on the matter. [4216/13]

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Written answers

The household benefits package comprises the electricity/gas allowance, the telephone allowance and the free television licence. The package is primarily available to older people, people with disabilities and carers. The allocation for the telephone allowance scheme has been reduced in 2013 as a cost saving measure. The estimated expenditure outturn on the telephone allowance in 2012 is €113 million compared with projected expenditure for 2013 of €48 million. As a result the monthly allowance will fall from €22.60 to €9.50, a reduction of 58%.

The number in receipt of telephone allowance has increased significantly in recent years, in line with increases in customers receiving qualifying payments, as well as the increases in those aged over 70. In 2005 there were 311,000 customers in receipt of telephone allowance; in 2012 there were 397,000, an increase of 28% over seven years. Over the last three years the numbers have increased on average by 9,000 per year. At the same time the market has been transformed with deregulation, mobile services and bundled services including television, broadband and telephone. It makes the former notion of an allowance covering handset rental, standing charges and a number of calls somewhat outdated. There is a wide variety of deals available. For example, it is possible to get a standard pay-as-you-go brand name mobile telephone for as little as €19.99.

I am aware that any reduction in social welfare payments or benefits is difficult. However, to allow the Government to protect the core payments which people receive such as pensions, disability payments and carer’s allowance, we had to look very carefully at other additional payments such as the household benefits package.

Carer's Allowance Applications

Questions (442)

John Halligan

Question:

442. Deputy John Halligan asked the Minister for Social Protection further to Parliamentary Question No. 107 of 7 November 2012, in which she acknowledged processing times for carer's allowance applications were not satisfactory and that appropriate action would be taken which would resolve the situation, how effective the service delivery modernisation project has been; the way the efficiency levels have been improved since completion of the new carer's system in June 2012; and the reason processing times for the historic cases which have been ringfenced do not seem to have improved. [4236/13]

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Written answers

Good inroads have been made over the last number of months by my Department to clear the current backlog of carer’s allowance applications and a plan is in place to process the remaining backlogged claims by the end of Q1 2013. I am happy that the actions they are taking will achieve this.

Following the completion of a major modernisation project, an in-depth business process improvement (BPI) project was completed for the carer’s allowance scheme. This project focused on optimising output and customer service and the reduction of backlogs. This has resulted in a significant increase in the number of new claims processed in recent months where claims processed have substantially exceeded claim intake. The total number carer’s allowance applications which were awaiting decision at mid-June 2012 was approximately 11,600. At present, the number is under 8,000. Additional resources have been allocated to this task and are now fully trained. The claim clearance plan is continually monitored in order that the backlog is eliminated in the shortest possible timeframe. Average processing times will not show any significant improvement as the Department continues to clear older applications and until the remaining backlogged claims have been eliminated.

Social Welfare Overpayments

Questions (443)

Bernard Durkan

Question:

443. Deputy Bernard J. Durkan asked the Minister for Social Protection further to Parliamentary Question No. 371 of 22 January 2013, if she will re-examine the case of an alleged overpayment in the case of a person (details supplied) in County Kildare who did not receive €67 per week as outlined but only €33 per week; and if she will make a statement on the matter. [4239/13]

View answer

Written answers

During the period 31 August 2012 to 02 October 2012 the person concerned was paid at a rate of €100 per week.

Question No. 444 withdrawn.

Public Service Reform Plan Update

Questions (445)

Patrick O'Donovan

Question:

445. Deputy Patrick O'Donovan asked the Minister for Social Protection with reference to the public service reform document published by the Department of Public Expenditure and Reform on 17 November 2011, Appendix IIa, Bodies to be rationalised, Amalgamated or Abolished in 2012, the progress that has been made on those bodies; the changes that require legislation; the expected timeframe for conclusion; and if she will make a statement on the matter. [4293/13]

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Written answers

The statutory bodies operating under the aegis of the Department of Social Protection are the Citizens Information Board, the Pensions Board, the Pensions Ombudsman and the Social Welfare Tribunal. No body under the aegis of the Department has been amalgamated or abolished in 2012. The Public Service Reform Programme provides for a critical review of the Pensions Board with a view to integrating the regulatory functions of the Pensions Board with the Financial Regulator. The Public Service Reform Programme also provides for a critical review of the Pensions Ombudsman with a view to a merger with the Financial Services Ombudsman. The Critical Review Group, established to carry out the reviews announced under the Public Service Reform Programme, is finalising a draft report with recommendations. The report will identify any potential savings arising from such an amalgamation. I expect to receive the final report from the Group in the very near future. Following receipt of this report, decisions in relation to reform, including legislation changes required, if any, will be taken.

Questions Nos. 446 and 447 withdrawn.

Disability Allowance Appeals

Questions (448)

John Perry

Question:

448. Deputy John Perry asked the Minister for Social Protection if she will ensure that a person (details supplied) in County Leitrim will have their disability allowance appeal processed as a matter if urgency; the likely date for decision; and if she will make a statement on the matter. [4322/13]

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Written answers

The Social Welfare Appeals Office has advised me that an appeal, by the person concerned, was registered in that office on 12th October 2012. It is a statutory requirement of the appeals process that the relevant Departmental papers and comments by or on behalf of the Deciding Officer on the grounds of appeal be sought. In that context, an examination by another Medical Assessor will be carried out. The person concerned will be notified when arrangements for the examination have been completed. The Social Welfare Appeals Office functions independently of the Minister for Social Protection and of the Department and is responsible for determining appeals against decisions on social welfare entitlements.

Social Welfare Benefits Applications

Questions (449)

Bernard Durkan

Question:

449. Deputy Bernard J. Durkan asked the Minister for Social Protection if the existence of extenuating circumstances in the form of a serious illness will be taken into consideration as an admissible explanation for their absence from this jurisdiction and retention of their deserted wives benefit ion the case of a person (details supplied) in County Kildare; and if she will make a statement on the matter. [4326/13]

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Written answers

In line with scheme requirements, claimant’s means are regularly reviewed to ensure that their circumstances have not changed and that they continue to have legitimate entitlement. In this particular case, I understand that a review process was underway when the claimant advised the Department in June, 2012 that she required her payment to be made into a bank account as she was going abroad to care for an ill relative. The review undertaken and the termination of her claim was not connected with her need to care for the ill relative abroad: her payment was suspended in July because she failed to reply to the Department’s correspondence.

The person concerned was interviewed at home by a Social Welfare Inspector in September, 2012 and was requested to provide certain documentation in support of her continued entitlement. This was not provided and she was written to again in November and advised that failure to supply all the information sought would cause the termination of her claim. As all the documentation requested was not received, the customer was advised in December, 2012 of the decision to terminate her payment. She was also advised of the right to appeal this decision.

Redundancy Rebates

Questions (450, 451)

Dara Calleary

Question:

450. Deputy Dara Calleary asked the Minister for Social Protection the total number of redundancy rebates made each year over the past five years; the total sum in rebates provided each year; and if she will make a statement on the matter. [4351/13]

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Dara Calleary

Question:

451. Deputy Dara Calleary asked the Minister for Social Protection the total number of occasions on which the Government has been forced to pay the full statutory redundancy payment to employees of insolvent companies over the past five years; and if she will make a statement on the matter. [4352/13]

View answer

Written answers

I propose to take Questions Nos. 450 and 451 together.

During the period 2008 to 2012 inclusive expenditure on the redundancy payments scheme was €1.6 billion. This includes rebates to employers who paid statutory redundancy and lump sum payments directly to employees whose employer was insolvent and could not make the statutory redundancy payments. A breakdown of these payments for each of the years in question is set out in Table A.

Table A: Expenditure on the Redundancy Payments Scheme 2008-2012

Year

Lump Sum

Rebate

Total

2008

€31,936,998

€161,774,389

€193,711,387

2009

€87,970,092

€247,891,733

€335,861,825

2010

€96,715,171

€373,253,295

€469,968,466

2011

€124,482,281

€188,252,607

€312,734,888

2012*

€134,565,622

€167,705,378

€302,271,000

Total

€475,670,164

€1,138,877,402

€1,614,547,566

It is not possible to provide a breakdown of the number of rebate and lump sum claims processed over the period 2008 to 2012 inclusive. Table B sets out the total number of redundancy claims processed over the period.

Table B: Redundancy Claims Processed, 2008-2012

Year

Total

2008

29,802

2009

50,664

2010

73,851

2011**

(Oct-Dec only)

4,616

2012*

56,094

*All 2012 figures are provisional.

** A new redundancy processing system was introduced in October 2011. It is not possible in the time available to provide details of the number of claims processed in 2011 prior to the introduction of the new system. This information will be provided to the Deputy as soon as possible.

Unemployment Benefits

Questions (452)

Dara Calleary

Question:

452. Deputy Dara Calleary asked the Minister for Social Protection if she will providea breakdown of persons formerly employed in construction trade categories currently receiving unemployment benefit; the action being taken to help these persons back into work; and if she will make a statement on the matter. [4353/13]

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Written answers

One in four persons on the Live Register – some 109,000 persons – is a former construction worker. Approximately half of these persons (53,000) stated that they previously worked in a trade, over 10,000 previously worked as plant and machinery operatives, and some 1,500 previously worked as architects, town planners or surveyors. The remainder have no stated occupation within construction.

The Pathways to Work policy and the establishment of the new integrated National Employment and Entitlement Service (Intreo) service will transform the nature and level of engagement between our employment and income support services and the unemployed. The Pathways to Work approach involves more regular and on-going engagement with people who are unemployed through active case management and profiling. These policies apply to former construction workers in the same way as for other unemployed workers.

There are various initiatives to allow those who are out of work to up-skill through the education and training system. The most prominent schemes in this regard are the range of training programmes provided by FÁS, the Back to Education Allowance, the Springboard Initiative and MOMENTUM. Some 24,000 people commenced full-time FÁS courses for unemployed adults in 2012, and a further 21,000 undertook FÁS evening courses. FÁS offers a wide range of training programmes in the areas of energy efficiency and sustainable sources of energy that are of potential relevance to former construction workers. These include oil-fired appliance servicing; domestic gas installation; domestic solar hot water systems; domestic thermal insulation; air tightness testing and measurement; insulation; passive house building envelope; passive house construction; heat recovery mechanical systems and overhead line worker. FÁS also offers training in traditional stone building following an increase in demand from householders and local authorities for persons qualified in these traditional skills.

FÁS is increasing its training provision in sustainable technologies in response to an anticipated increase in demand for these types of skills. New courses include intelligent building control systems; small scale wind systems implementation; micro solar photo voltaic systems; large scale wind turbine technician; and sustainable waste management. In recent years, following the collapse of the construction industry, almost 7,000 of a population of roughly 28,000 apprentices were made redundant. Under the Redundant Apprentice Placement scheme, FÁS places redundant apprentices with reputable employers to enable them to complete the on-the-job components (phases 3, 5, and 7) of their apprenticeship and thus qualify for the National Craft Award. For the year 2012/13, there were 25,800 participants on the Back to Education Allowance scheme.

Springboard offers a choice of free courses in higher education from certificate, to degree, to post-graduate level. Some 6,000 places are available for this academic year. Sixty-per cent of Springboard participants have been unemployed for more than twelve months and one third of those for more than 24 months. At just under 20% of the total, people previously employed in the construction sector accounted for the largest single group of participants on the first series of Springboard courses launched in 2011.

MOMENTUM, a scheme for education and training interventions, is part of the Government’s Action Plan for Jobs initiative and is currently being rolled out by the Department of Education and Science through FÁS. MOMENTUM will support the provision of free education and training projects to allow 6,500 jobseekers (who are unemployed for 12 months or more) to gain skills and to access work opportunities in identified growing sectors. MOMENTUM will provide eligible jobseekers with

- Access to a range of quality education and training projects

- Links to identified job vacancies and employers

- Work placement and support

- Relevant industry and National Framework of Qualifications (NFQ ) Certification.

Under the scheme, Labour Market Education and Training Fund (LMETF) funding is being utilised to provide education and training solutions nationwide to the needs of both unemployed individuals and employers within the context of four themes. The first three themes are based on 'clusters of occupations'. These have been chosen because there is evidence available which shows that these skills are associated with relatively good employment opportunities.

Social Welfare Overpayments

Questions (453)

Simon Harris

Question:

453. Deputy Simon Harris asked the Minister for Social Protection the level of overpayments recorded by her Department in social welfare payments in each of the years 2007 to 2012 inclusive in tabular form; if she will provide a breakdown of these overpayments by individual social welfare scheme; the process in place to prevent such overpayment; the reasons overpayments occur; and if she will make a statement on the matter. [4356/13]

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Written answers

Ensuring that the right person is paid the right amount of money at the right time is an integral part of the day-to-day work of the Department. Overpayments are generally defined as money obtained contrary to or in excess of a valid decision. Most overpayments arise as a result of a revised decision regarding entitlement. Deciding officers decide the effective date of a revised decision having regard to the new facts or new evidence and the circumstances of the case. An overpayment is assessed for the period that a client was not entitled to a payment and the recovery of the overpayment is followed up by the relevant section of the Department.

The Department has comprehensive control strategies in place across the various scheme areas which are designed to control fraud and abuse and minimise overpayments. Where overpayments do occur, it is the Department’s policy is to actively pursue the recovery of debt in order to maximise recovery levels, with due regard to value for money. Current measures to control fraud and abuse and minimise overpayments include desk reviews of claim papers, home visits, the issue of mail-shots to selected customers, database checking, and medical reviews in the case of illness payments.

Controls are exercised at both the initial claim stage and at subsequent stages during the claim life cycle. Claims are reviewed on a regular and targeted basis. Means tested payments are reviewed at certain intervals or when there are indications of changes in circumstances. Those in receipt of illness payments are called for a medical examination by the Department's medical assessors. Customers in receipt of unemployment payments are checked on an on-going basis to verify continued compliance with such requirements as being available for and genuinely seeking employment. In general, the main causes of overpayments recorded are means/income not disclosed and concurrently working and claiming. The value of overpayments recorded from 2007 to 2011 are set out below.

Scheme

€m's 2007

€m's 2008

€m's 2009

€m's 2010

€m's 2011

Illness Benefit

€2.41

€3.28

€3.79

€4.09

€3.99

Jobseekers Benefit

€7.16

€8.03

€7.02

€6.71

€5.86

State Pension Contributory

€3.54

€3.48

€5.02

€10.16

€6.73

Carers Allowance

€0.38

€2.05

€4.37

€3.91

€3.06

Child Benefit

€2.49

€3.23

€5.98

€7.01

€4.85

Jobseekers Allowance

€10.40

€8.91

€7.57

€12.01

€16.61

One Parent Family Payment

€4.66

€8.63

€9.55

€8.01

€11.77

State Pension Non Contributory

€7.44

€7.84

€11.70

€12.09

€12.79

Other Schemes

€12.04

€10.13

€11.81

€19.43

€26.69

TOTALS

€50.52

€55.58

€66.81

€83.42

€92.35

The Department is not in a position to publicly comment on overpayments recorded in 2012 as these figures form part of the statutory accounts of the Department and are currently the subject of an audit by the Office of the Comptroller and Auditor General.

Rent Supplement Scheme Applications

Questions (454)

Bernard Durkan

Question:

454. Deputy Bernard J. Durkan asked the Minister for Social Protection if she will indicate the extent to which rent supplement is available in the case of a person (details supplied) in County Kildare; and if she will make a statement on the matter. [4363/13]

View answer

Written answers

The above person needs to make an application for rent supplement so that his entitlement can be established and rent limit set.

Carer's Allowance Appeals

Questions (455)

Noel Coonan

Question:

455. Deputy Noel Coonan asked the Minister for Social Protection when an application for carer's allowance appeal will be finalised in respect of a person (details supplied) in County Tipperary; and if she will make a statement on the matter. [4365/13]

View answer

Written answers

The Social Welfare Appeals Office has advised me that an appeal by the person concerned was registered in that office on 28th June 2012. It is a statutory requirement of the appeals process that the relevant Departmental papers and comments by or on behalf of the Deciding Officer on the grounds of appeal be sought. These papers were received in the Social Welfare Appeals Office on 22nd January 2013 and the case will be referred to an Appeals Officer who will make a summary decision on the appeal based on the documentary evidence presented or, if required, hold an oral hearing. The Social Welfare Appeals Office functions independently of the Minister for Social Protection and of the Department and is responsible for determining appeals against decisions on social welfare entitlements.

Question No. 456 withdrawn.
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