Written Answers Nos. 157-176
159. Deputy Jonathan O'Brien asked the Minister for Social Protection in view of the statement by her appointee as chair of the steering group of the JobBridge programme (details supplied), when she will reconsider the decision not to provide a training budget for each participant on top of the basic allowance. [4067/13]
View answerThe Deputy will be aware that the JobBridge Scheme has made significant progress since it came into operation on the 1 July 2011. 13,960 internships have commenced to date with 5,563 participants currently on an internship as at 24 January 2013 and 1,888 internship opportunities advertised on www.jobbridge.ie as of that date. The interim results of the independent evaluation of JobBridge conducted by Indecon International Economic Consultants (published on www.welfare.ie on 5 October, 2012) shows that 61% of JobBridge finishers progressed into employment with either their host organisation or another employer within 5 months of finishing their internship. These progression rates compare very favourably with European averages in this area.
One of the most positive features of JobBridge is that it has attracted interns across a wide range of levels of qualification. Approximately 64% of interns are graduates, of whom 22 % hold a postgraduate qualification. Of the 36% of interns who are not graduates, almost 21% of those hold a post-Leaving Certificate qualification. The Deputy will appreciate that interns are a highly qualified addition to the workforce of host organisations and that the State has already made a significant investment in their training and education. The Deputy should not underestimate the immense contribution made by interns to their host organisations. As an internship scheme, JobBridge provides positive outcomes for the intern but also for the host organisation.
The following are some of the benefits accruing to host organisations from the addition of interns to their workforce: the opportunity to assess potential employees; the benefit of the intern’s labour, talents, skills and enthusiasm while working with the host organisation; enhancement of the performance of the host organisation by offering an internship to motivated individuals with enthusiasm and a passion for developing their careers; bringing in fresh talent, fresh ideas and new thinking; and access newly trained interns with recent skills sets or skilled workers that add real value to the host organisation. As part of the terms and conditions of JobBridge, host organisations are obliged by the Department to provide interns with quality work experience, substantial opportunities to enhance the intern’s skills and to appoint an individual member of staff as mentor to the intern for the duration of their internship.
Recent research indicates that over 90% of host organisations were satisfied with their internship experience and that 96% of host organisations would recommend JobBridge to other employers. A high proportion of interns also consider that the scheme improves their chances of gaining employment. In recent research, 89.3% of interns felt JobBridge had given them new skills. In light of the successes highlighted by the above, I do not feel that there is a compelling argument for the Department to provide a training budget for JobBridge host organisations. An independent evaluation of the Scheme is currently being finalised by Indecon International Economic Consultants. It is anticipated that a final report will be published in the coming weeks. As part of its remit, Indecon has been asked to include recommendations on how the Scheme might be improved or expanded. I will consider any such recommendations carefully.
161. Deputy Gerry Adams asked the Minister for Social Protection if sanction has been given by the Department of Public Expenditure and Reform for the provision of 150 additional clerical officer posts to allow for the roll out of the public service card. [4073/13]
View answerIn order to begin the roll out of the Public Services Card on a nationwide basis, the Department of Public Expenditure and Reform gave sanction to the Department for the provision of 150 additional clerical officer posts. The sanction is subject to staff being sourced from redeployment panels in the first instance and, where resources are not available, the recruitment of temporary clerical officers through the Public Appointments Service.
162. Deputy Clare Daly asked the Minister for Social Protection the savings from cuts to pensioners for fuel and electricity and the number affected. [3915/13]
View answer166. Deputy Mick Wallace asked the Minister for Social Protection the reason that she reduced the electricity/gas allowance element of the household benefits package at a time of rising heating costs; and if she will make a statement on the matter. [4042/13]
View answerI propose to take Questions Nos. 162 and 166 together.
I am acutely aware that any reduction in social welfare payments or benefits are difficult for those affected. The overall concern of the Government in Budget 2013 was to protect the primary weekly social welfare rates. To allow us to protect the core payments which people receive such as pensions, disability and carer’s allowance, we had to look very carefully at other additional payments such as the household benefits package.
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. Following Budget 2013, the structure of the electricity/gas allowance has changed and is now aligned with the best average market rate currently available from energy suppliers for an unchanged 150 units per month. For those customers who receive a bill, this amount will appear as a cash credit of €35 on their bill. Other customers will continue to receive a cash allowance as before.
Between 2005 and 2011 the number in receipt of the electricity/gas allowance rose by 20% and there are now 405,000 recipients in receipt of an allowance. The cost of the electricity and gas allowances has risen from €110 million in 2005 to an estimated outturn of €201 million in 2012, an increase of 83% over seven years. In the current economic climate these increases are unsustainable. This change to the electricity and gas elements of the household benefits package will bring significant savings, with estimated expenditure in 2013 of €176 million, while aiming to encourage customers to achieve better savings through greater mobility.
The Affordable Energy Strategy drew attention to the fact that customers in receipt of household benefits were much less likely than other customers to switch energy supplier to obtain better value. Only 16% of social welfare customers have switched companies compared to 42% nationally. The Commission for Energy Regulation (CER), following discussions with officials from the Department, has been liaising with the National Consumer Agency with a view to ensuring that information is available for our customers to help with switching companies. In August 2011 the CER published a paper which set out a framework for accreditation for price comparison websites (CER/11/144) following which a website www.bonkers.ie was accredited. This website presents comparison data which can greatly assist those wishing to switch companies and achieve the best value.
The number in receipt of the telephone allowance has also increased significantly in recent years, in line with increases in customers receiving qualifying payments, as well as the increases in those over 70. Our demographics are such that this number will continue rising. In 2005 there were 311,000 customers in receipt of telephone allowance; in 2012 there are 397,000, an increase of 28% over seven years. The allocation for the telephone allowance scheme has been reduced by €61 million in 2013. As a result the monthly allowance has been reduced from €22.60 to €9.50. This is a cost saving measure. In recent years, the nature of the telephone market has been transformed with deregulation, mobile services and bundled services including television, broadband and telephone. 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 in large retailers.
I am keenly aware of the impacts on the Department’s customers. In this regard, it should be noted that Ireland’s older population has the lowest rate of consistent poverty and, as a group compared to the rest of the population, are least likely to be at risk of poverty - pointing to the adequacy and importance of the State pension. Between 2004 and 2010, consistent poverty for older people (those over 65) fell from 3.3% to 0.9%. The at risk of poverty rate for people in that age group fell from 27.1% to 9.6% over the same period. In addition the fuel allowance scheme was protected in Budget 2013 and recipients will continue to receive this payment of €20 per week as part of their weekly social welfare payment for the duration of the fuel season, which runs until April 2013.
If a customer of the Department is experiencing difficulty, an exceptional needs payments may be made to help meet an essential, once-off cost which an applicant is unable to meet out of his or her own resources. There is no automatic entitlement to this payment. Each application is determined by a community welfare officer based on the particular circumstances of the case.
165. Deputy Barry Cowen asked the Minister for Social Protection if she has considered the implications of the removal of the transitory pension in 2014; and if she will make a statement on the matter. [4083/13]
View answerSocial structures in Ireland are changing rapidly and the structures of our social support need to change to accommodate this. The decision to increase State pension age was taken in the context of changing demographics and the fact that people are living longer and healthier lives. The standardisation of State Pension age at age 66 is one of the measures planned which aims to improve the sustainability of the Irish pension system. As provided for in legislation, State pension age will further increase to age 67 in 2021 and to 68 in 2028. State pension (transition) requires the person to retire from the workforce. Standardising State pension at age 66 means that people can choose to work longer if they wish to increase their income in retirement.
This pension was introduced in 1970 when it was known as the retirement pension. It was designed to bridge the gap between the standard social welfare pension age, which at that time was 70 years of age, and retirement age. Overtime, the age for State pension contributory was reduced to 66 years. In 2012, 22,430 claims were received for State Pension Transition with 12,559 SPT claims awarded in 2012. In 2012 a total of 2,485 customers transferred from illness benefit to State pension transition, 1,044 from job seekers benefit, 922 from jobseekers allowance, 439 from widows/widowers/surviving civil partners scheme, 200 from disability allowance and105 from invalidity pension. As these numbers indicate, a significant number of customers are already on another social welfare payment before State pension transition with numbers showing that around 12% are transferring directly from work.
I consider it important that those who need to or wish to continue in employment after State pension age should, as far as is possible, be facilitated and supported. Longer working can play an important role in ensuring that our pensions system is sustainable in the future and it can also be beneficial to the individual. Recognising that State pensions are very valuable benefits, it is important to ensure that those qualifying have made a sustained contribution to the Social Insurance Fund over a working life thereby ensuring equity in the social welfare system. Claimants with an income need may qualify, depending on their means, for another social welfare payment.
168. Deputy Willie O'Dea asked the Minister for Social Protection if she will clarify the implementation timeframe of the budget 2013 changes to jobseeker's benefit; and if she will make a statement on the matter. [4092/13]
View answerJobseeker's benefit (JB) is a weekly payment to people out of work and covered by social insurance. If a person does not qualify for JB they may qualify for means tested jobseeker's allowance. In 2012 my Department spent over €738 million on the scheme and at the end of 2012 there were some 85,000 persons in receipt of payment under the scheme. Budget 2013 provided that the duration for which JB is paid will be reduced from 12 months to 9 months for recipients with 260 or more contributions paid and from 9 months to 6 months for recipients with less than 260 contributions paid.
It is planned to introduce the measure from 3 April, 2013. Existing claimants of over 6 months who are entitled to a full year of benefit will not be affected by this measure when it comes into effect – they will still get a full year of benefit. Only new claimants and claimants of less than 6 months duration will be affected. Similarly, existing claimants of over 3 months who are entitled to nine months of benefit will not be affected by this measure when it comes into effect – they will still get nine months of benefit. Only new claimants and claimants of less than 3 months duration will be affected.
Question No. 169 answered with Question No. 132.
173. Deputy Seán Kyne asked the Minister for Social Protection if, in view of the significant increase in appeals of social welfare decisions, additional resources, including personnel, will be allocated to the social welfare appeals office in order that persons who are appealing decisions may receive a speedier response. [4034/13]
View answerBy its nature and because it is a quasi-judicial process, the processing of appeals takes time even at the best of times and reflects the fact that while every effort is made to deal with appeals as fast as possible this cannot be at the expense of fairness of due process. Significant resources and efforts have been put into reducing backlogs and improving processing times for appellants, including the assignment of 15 additional Appeals Officers; improved business processes; a new operating model in the SWAO; increased capacity of the Medical Review and Assessment Service through the recruitment of 8 additional Medical Assessors in 2013.
All of these measures taken together have reduced the waiting times for appellants by 10.2 weeks in 2012 and will further reduce waiting times in 2013. The Chief Appeals Officer expects to finalise 6,000 more cases in 2013 than in 2012 (there were 33,129 appeals finalised in 2012). This will be achieved through the additional capacity generated as the newer Appeals Officers become experienced. The matter of assigning additional Appeals Officers is kept under constant review but any consideration of extra assignments must be taken in the context of overall government policy on civil service numbers.
176. Deputy Robert Troy asked the Minister for Social Protection if she will provide an update on the implementation of the Pathways to Work initiative; the number of unemployed dealt with by the new system to date; the success rate in gaining employment; and if she will make a statement on the matter. [4088/13]
View answerAs the Deputy will be aware, the ‘Pathways to Work’ policy commits to the provision of more regular and on-going engagement and greater targeting of activation places and job opportunities for those who are unemployed. It also aims to increase engagement and incentivise employers to provide more jobs for people who are unemployed. INTREO is the new integrated employment activation and supports service model delivering on the ‘Pathways to Work’ policy. The first ten Intreo offices have now opened and service performance has improved in all of these offices with claim processing times and waiting times for new claimants for group interviews and follow up one-to-one interviews reduced. For example most clients in Intreo offices are called to a group engagement within one week and have their claim assessed and determined within three working days. Previously the lead time for group engagement was three months while claim assessment took up to three weeks.
The most significant elements of the Pathways to Work approach are: profiling of clients to inform the approach taken to activation, and in particular to target those who are most likely to become long-term unemployed and to provide appropriate interventions at the earliest possible stage; early engagement with clients through group engagement sessions; one to one interviews with case managers; the agreement of a personal progression plan between the client and the Department setting how the steps to be taken by the client, with the support of the Department, in order to re-enter employment; the signing of a social contract – known as a Record of Mutual Commitments – between the Department and the client. This sets out the client’s rights with regard to the type and quality of services to be provided by the Department but also sets out the client’s responsibility to engage with these services and actively seek employment.
Progress under each of these headings is as follows: the profiling of all new claimants is now operational in all DSP offices. Under the Pathways to Work programme, the Department had profiled 53,800 new claimants to the end of 2012; 68,600 clients had participated in group engagements by the end of December 2012; 158,000 one-to-one initial interviews were conducted by the end of December. In addition a further 134,000 follow-up meetings held by the end of 2012; all new clients in Intreo offices now sign the social contract.
Enhanced engagement with employers at local level is also part of the Intreo process and this is progressing well. As the process is still in the very early stages of rollout and as it is operating in parallel with the National Employment Action Plan process, which it is replacing, it is difficult to separate out and assess its performance in terms of progression rates into employment. In any event it will take some time for the impact of the new process to be felt in terms of employment progression rates.
