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Wednesday, 29 May 2013

Written Answers Nos. 37-45

National Internship Scheme Administration

Questions (37, 50)

Dessie Ellis

Question:

37. Deputy Dessie Ellis asked the Minister for Social Protection her views of the abuse of JobBridge scheme by employers who are seeking interns to cover menial tasks; her views on whether interning and gaining practical experience in a take-away or an off-licence requires working 40 hours a week for nine months; and if she will make a statement on the matter. [25725/13]

View answer

Jonathan O'Brien

Question:

50. Deputy Jonathan O'Brien asked the Minister for Social Protection the remedial action that is taken when companies are found to be abusing the JobBridge scheme; and her plans to stop displacement in employment as a result of the JobBridge scheme. [25726/13]

View answer

Written answers

I propose to take Questions Nos. 37 and 50 together.

JobBridge, the National Internship Scheme, was launched on 1st July 2011. The Scheme has made very significant progress. As at 24th May 2013, 17,609 internships have commenced to-date. There are currently 6,104 jobseekers undertaking internship opportunities. In addition, there are 2,218 internship opportunities available across a wide number of occupational sectors and geographic areas being hosted on the website. All these opportunities are advertised on the JobBridge website www.jobbridge.ie

The Department takes breaches of the Scheme very seriously and 17 companies have been disqualified from participating in JobBridge due to breaches of the terms and conditions of the Scheme. This action was taken by the Department following detailed investigations. The following were the key breaches of the Scheme and reasons for disqualification:

- Standard Agreement not completed

- Appropriate Mentoring/Development not being provided

- Not adhering to Compliance Requirements

- Displacement Issues

- Failure to provide reference to intern

However, it is important to highlight that the overwhelming majority of companies are abiding by the terms and conditions of the Scheme. In fact, over 7,500 host organisations have commenced interns and only 17 companies have been disqualified due to breaches of the Scheme. The Department have strong and robust monitoring controls in place and over 2,000 monitoring visits have been conducted to-date. Encouragingly, 98% of these visits were of a satisfactory nature. Remedial action is taken in cases of non-compliance up to and including disqualification from participating in the Scheme.

It is worth highlighting that unemployed people at all skill levels have an equal right to an activation measure and there are internship opportunities available at all levels and in all sectors to address this. In the case of all internships, the Standard Agreement must be completed by both the Intern and the Host Organisation and must specify the learning outcomes that the intern will attain. A recent independent evaluation conducted by Indecon Economic Consultants found that 61% of interns progress to paid employment after completing their internship. This outcome is among the best in Europe, where progression rates for similar internship schemes average just 34%. The evaluation report also found that:

- 89% of interns stated that JobBridge had given them new skills

- Interns found that they also benefited from: an increase in their self-confidence; the opportunity to gain quality work experience; the opportunity to establish a network of contacts.

The Indecon evaluation clearly demonstrates that JobBridge is delivering for thousands of jobseekers by providing them with valuable opportunities to gain relevant work experience, knowledge and skills in a workplace environment.

Student Support Schemes

Questions (38)

Joe McHugh

Question:

38. Deputy Joe McHugh asked the Minister for Social Protection if she will consider engagement with the Department of Education and Skills and with the Northern Ireland Executive in respect of supports for students domiciled in the Republic of Ireland who are engaged in part-time studies in Northern Ireland; and if she will make a statement on the matter. [25636/13]

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Written answers

As the Deputy will be aware, the Department for Education and Skills is primarily responsible for education and training policy and associated student support. This Department operates a range of employment support schemes which offer support and assistance to jobseekers in making them job ready as they aim to seek work in the open labour market. I am not aware of any engagement with the Northern Ireland authorities on the matter referred to by the Deputy.

Question No. 39 answered with Question No. 15.
Question No. 40 answered with Question No. 26.

Social Welfare Appeals Waiting Times

Questions (41, 42, 134, 143)

Dessie Ellis

Question:

41. Deputy Dessie Ellis asked the Minister for Social Protection the average length of time for processing social welfare appeals broken down by division and type of appeal; and if she will make a statement on the matter. [25724/13]

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Bernard Durkan

Question:

42. Deputy Bernard J. Durkan asked the Minister for Social Protection the number of cases currently on appeal and awaiting decision in respect of the various social welfare payments; the extent to which the waiting time for determination of appeal continues to be reduced; and if she will make a statement on the matter. [25702/13]

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Willie O'Dea

Question:

134. Deputy Willie O'Dea asked the Minister for Social Protection if the Chief Appeals Officer will confirm the processing time for appeals of carer's allowance, family income supplement, invalidity pension and disability allowance schemes; and if she will make a statement on the matter. [26091/13]

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Bernard Durkan

Question:

143. Deputy Bernard J. Durkan asked the Minister for Social Protection the average time taken to determine appeals in respect of each category of payment provided by her Department; and if she will make a statement on the matter. [26267/13]

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Written answers

I propose to take Questions Nos. 41, 42, 134 and 143 together.

The number of cases currently on appeal and the current average time taken to process appeals of social welfare payments is given in the Table. These processing times are calculated from the registration date of the appeal to the date of its finalisation. They include all activities during this period including time spent awaiting any clarification from the appellant, time in the Department for comments by the Deciding Officer on the grounds of appeal put forward by the appellant, and any further investigation, examination or assessment by the Department's Inspectors and Medical Assessors that is deemed necessary. A considerable period of time is added to the process when an oral hearing is required because of the logistics involved in this process. While this process carries an inherent delay in terms of finalising an appeal, it also crystalises the flexibility and accessibility of the appeals system.

There has been a rapid and sustained increase in the number of appeals received in the Social Welfare Appeals Office since 2009 which has placed extraordinary pressure on the office. Up to 2009, the average number of appeals received was 15,000 per annum whereas in 2012, the office received 35,484 appeals. In order to manage this increasing workload, significant resources and efforts have been put into reducing backlogs and improving appeals processing times for appellants, including the assignment of 15 additional Appeals Officers, reviewing and improving business processes and implementing a new operating model within the appeals office. In addition, a major programme of process redesign and modernisation is currently underway in the Department in relation to many scheme areas, aimed at reducing backlogs and reducing the time taken for the Department to respond to requests from the SWAO for submissions in relation to appeals.

These measures have led to improvements in processing times and a significant increase in the number of appeals finalised from 17,787 in 2009 to 32,558 in 2012. The Chief Appeals Officer expects to finalise 6,000 more cases in 2013 than in 2012. It is also worth noting that, despite the increase in the volume of appeals being received, the number of appeals on hand has reduced from 20,414 at 1 January 2013 to 17,060 at 24 May 2013. Processing times for all appeal types reduced by 10.3 weeks overall in 2012 when compared to 2011, with the time taken to finalise an appeal requiring an oral hearing down by 13 weeks and the time for an appeal decided by way of a summary decision up by 2.7 weeks.

By its nature and because it is a quasi-judicial function, the processing of appeals takes time and reflects the fact that, by definition, the appeal process cannot be a quick one.

Appeals pending and current average processing times by scheme type

-

Current Average Processing times

Appeals pending at 24/5/2013

Summary Decisions (weeks)

Oral Hearings

(weeks)

Adoptive Benefit

1

-

-

Blind Pension

14

25.8

-

Carer's Allowance

1,983

28.9

38.0

Carer's Benefit

34

25.2

29.8

Child Benefit

304

30.4

44.9

Disability Allowance

4,120

37.0

42.6

Illness Benefit

991

41.1

47.6

Domiciliary Care

633

31.2

38.1

Deserted Wives Benefit

12

34.0

38.6

Farm Assist

173

23.0

30.1

Bereavement Grant

34

32.4

-

Family Income Supplement

204

29.4

43.7

Homemaker Credits

2

-

-

Invalidity Pension

2,577

34.1

45.7

Liable Relatives

23

32.8

42.9

One Parent Family Payment

420

32.8

39.2

Maternity Benefit

12

31.1

51.4

Partial Capacity Benefit

90

20.7

-

State Pension (Contributory)

82

25.9

34.3

State Pension (Non-Cont)

114

32.4

45.1

State Pension (Transition)

26

22.2

39.6

Occupational Injury Benefit

12

45.4

59.4

Occupational Injury Benefit (Medical)

23

-

-

Disablement Pension

254

35.4

39.5

Incapacity Supplement

18

-

43.2

Guardian's Payment (Con)

14

21.1

34.2

Guardian's Payment (Non-con)

3

45.5

46.6

Pre-Retirement Allowance

1

-

-

Jobseeker's Allowance (Means)

1,435

21.9

33.1

Jobseeker's Allowance

1,115

21.8

27.8

Jobseeker's Benefit

374

22.9

29.5

UAUBFC

3

-

14.2

Respite Care Grant

87

26.1

34.1

Insurability of Employment

96

23.6

59.3

Supplementary Welfare Allowance

1,741

17.2

26.2

Treatment Benefits

1

32.0

-

Survivor's Pension (Con)

19

29.8

40.6

Survivor's Pension (Non-Con)

13

36.3

37.9

Widows Parent Grant

2

34.2

-

All Appeals

17,060

28.0

37.5

Mortgage Interest Supplement Scheme Application Numbers

Questions (43, 48)

Caoimhghín Ó Caoláin

Question:

43. Deputy Caoimhghín Ó Caoláin asked the Minister for Social Protection the number of applications for mortgage interest supplement for each of the past five years; the numbers in receipt of payment in the same period; and the total cost each year for mortgage interest supplement. [25729/13]

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Clare Daly

Question:

48. Deputy Clare Daly asked the Minister for Social Protection if she will explain the changes in the mortgage relief scheme requiring homeowners to meet interest only payments for a year before they are eligible for relief, meaning those who cannot afford this arrangement lose out on the payment, potentially losing their home and ending up in private rented accommodation, costing the State more. [25638/13]

View answer

Written answers

I propose to take Questions Nos. 43 and 48 together.

There are approximately 13,000 mortgage interest supplement recipients for which the Government has provided approximately €42 million for in 2013. The purpose of the mortgage interest supplement (MIS) scheme is to provide short-term income support to eligible people who are unable to meet their mortgage interest repayments in respect of a house which is their sole place of residence. Details of the numbers of customers in receipt of MIS and the cost of the scheme for the past five years are provided in the tabular statement. Statistics are not available on the number of applications for MIS for this period.

Following the Department's review of the administrative, policy and legal aspects of the MIS scheme and the review of the Mortgage Arrears and Personal Debt Review Group the eligibility criteria for MIS was changed to ensure that the Mortgage Arrears Resolution Process (MARP) operated by the lenders functions alongside other State supports, including MIS. To ensure that those who are in mortgage difficulty engage with their lender under the MARP and avail of its forbearance arrangements, from June 2012 the mortgage interest supplement is not payable until applicants have agreed with their lender and complied with an alternative payment arrangement for a cumulative period of not less than 12 months. This process acknowledges that it is in the interest of both the lender and the borrower to address financial difficulties as speedily and effectively as circumstances allow.

Mortgage Interest Supplement – Recipients and Expenditure 2008 – 2012

Year

Recipients

Expenditure

Million €

2008

8,091

27.7 m

2009

15,101

60.7 m

2010

17,974

65.6 m

2011

18,988

67.9 m

2012 *

14,597

55.1 m

* Provisional outturn figure

Youth Unemployment Measures

Questions (44, 140, 141)

Bernard Durkan

Question:

44. Deputy Bernard J. Durkan asked the Minister for Social Protection the extent to which she and her Department continue to address the issue of youth unemployment, with particular reference to the setting of precise targets within a realistic timescale; and if she will make a statement on the matter. [25703/13]

View answer

Bernard Durkan

Question:

140. Deputy Bernard J. Durkan asked the Minister for Social Protection the extent to which she hopes to be in a position to address the issue of youth unemployment in 2013; and if she will make a statement on the matter. [26263/13]

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Bernard Durkan

Question:

141. Deputy Bernard J. Durkan asked the Minister for Social Protection if, in the context of alleviation of the levels of youth unemployment, she has identified more ambitious targets in respect of the provision of training, upskilling or temporary employment positions; and if she will make a statement on the matter. [26264/13]

View answer

Written answers

I propose to take Questions Nos. 44, 140 and 141 together.

In the first instance, the Government's primary strategy to tackle youth unemployment is to create the environment for a strong economic recovery by promoting competitiveness and productivity. Economic recovery will underpin jobs growth. Past experience suggests that youth unemployment, which tends to rise relatively rapidly in a downturn, can be expected to fall relatively rapidly during the recovery. The Government is implementing a number of programmes to assist young unemployed persons and keep young jobseekers close to the labour market. There are five main approaches being taken to tackle youth unemployment: education, training, job search assistance/guidance, work experience, and encouraging job creation. These actions range across a number of Departments and Agencies and include:-

- The Youthreach programme providing 6,000 integrated education, training and work experience for early school leavers without any qualifications or vocational training who are between 15 and 20 years of age;

- The Vocational Training Opportunities Scheme scheme, which provides a range of courses to meet the education and training needs of unemployed people over 21 years of age, particularly focusing upon early school leavers;

- The Back to Education Allowance scheme run by the Department of Social Protection provides income maintenance for unemployed people returning to further or higher education. Over 6,500 young people participated on this scheme in the last academic year;

- Approximately 12,000 persons aged under 25 completed a training course with FÁS in 2012. This excludes apprenticeships and evening courses;

- This year MOMENTUM, a scheme for education and training interventions, which is part of the Government's Action Plan for Jobs initiative, is currently being rolled out by the Department of Education. MOMENTUM will support the provision of free education and training projects to allow 6,500 long term jobseekers to gain skills and to access work opportunities in identified growing sectors. Over 1,250 of these places are assigned specifically for under 25s;

- The JobBridge National Internship Scheme is focused on providing work experience to young people with the total number of placements of young people on JobBridge during 2012 at 2,700;

- Long-term unemployed youth will also benefit from the JobsPlus initiative which is designed to encourage employers to recruit long-term unemployed people. Under this scheme the State will pay circa €1 of every €4 it costs the employer to recruit a person from the Live Register;

- In the December Budget, funding was secured for an additional 10,000 places this year across a range of programmes -- including JobBridge, TÚS and Community Employment. About a quarter of these places are expected to be taken up by unemployed young people.

With regard to targets, the original Action Plan for Jobs sets out a target for 100,000 net new jobs to be created by 2016, many of which will be filled by young people. In this context, the Department of Finance anticipates that the overall unemployment rate will fall from 14.7% in 2012 to 12.3% in 2016. This could be expected to see youth unemployment fall from over 30% in 2012 to 24% or less in 2016.

In addition, the Action Plan for Jobs 2013 includes the Pathways to Work initiative's targets for increasing the number of people who are long-term unemployed moving into employment and reducing the average length of time spent on the Live Register. Specifically, these targets are to ensure that at least 75,000 of long-term unemployed people will move into employment by 2015 (starting 2012); to increase the exit rate of people on the live register for two years or more by 50% (to 40%) by the end of 2015; and to reduce the persistence rate (the rate at which short term unemployed people become long term unemployed) to 25% by the end of 2015.

As two out of five young unemployed are long-term unemployed, these targets are pertinent to young people.

A new recruitment incentive – JobsPlus – has also been developed by my Department and was approved by the Government as part of the Action Plan for Jobs. This incentive will cover the cost of c. €1 in every €4 of an employer’s wage costs and will be launched for availability by July 2013. Young people are likely to be major beneficiaries of this initiative as employers tend to hire young people when there is a recovery in employment.

Following from the formal adoption of the EU Recommendation on Implementing a Youth Guarantee, the Government will review the current range of youth employment and training policies in Ireland to assess what measures will need to be taken to commence the gradual implementation of the guarantee. This will include the identification of what would be the appropriate timescale for implementation in Ireland's current employment and budgetary circumstances.

The scale and nature of the measures required will depend on the trend in youth unemployment, and in particular the number of young people likely to experience periods of unemployment of more than four months under current policies. In this context, it is a welcome development that the official labour market figures published by the CSO indicated that the number of young unemployed at the end of 2012 was at 59,000, a reduction of almost 9,000 on the same time a year earlier.

Even so, the implementation of a guarantee will almost certainly require an expansion in the range of opportunities currently on offer to young people in the form of further education, training, internships, subsidised private-sector recruitment, and supports for self-employment. It is to be hoped that any measures taken by government in relation to the implementation of the youth guarantee will see youth unemployment fall even further than is already anticipated on the basis of existing policies.

Child Poverty

Questions (45)

Caoimhghín Ó Caoláin

Question:

45. Deputy Caoimhghín Ó Caoláin asked the Minister for Social Protection her plans to reduce the number of children living in poverty or at risk of poverty. [25728/13]

View answer

Written answers

Consistent poverty which is defined as a combination of at-risk-of-poverty (where household income is below the 60% equivalised national median income threshold) and basic deprivation (an enforced lack of 2 or more items of an 11 item list of basic goods and services) is the official Irish measure used to quantify the proportion of the population living in poverty. As measured by the CSO in its annual Survey on Income and Living Conditions (SILC), the consistent poverty rate in 2011 for children (0-17 years) was 9.3 per cent, compared with 6.8 per cent for the adult population (18-64 years). In relative terms, children are therefore over one and half times more likely to be in consistent poverty than adults.

Government policy in relation to both income supports, improving employment prospects for parents and improved delivery of public service are important factors in improving child poverty outcomes. For instance, the poverty reduction effect of social transfers demonstrates that the social protection system is relatively effective at reducing the number of children in poverty. From 2004 to 2010, the poverty reduction effect of social transfers for children’s at-risk-of-poverty rate increased from 43 per cent to 62 per cent. This reflects the impact of improved transfers and parental employment during the earlier part of this period.

Reducing and ultimately eliminating poverty is a fundamental aspiration of Irish society. In this context, the national social target for poverty reduction provides a key reference point for Government policies and offers a tangible benchmark against which to measure social and economic progress. Following a review of the target which was published in 2012, the Government agreed to set a new sub-target for the reduction of child poverty following consultation with relevant stakeholders. This is in recognition of the life-long consequences of child poverty and the damaging effects of inter-generational poverty.

A sub-target for child poverty reduction will recognise that a multi-dimensional approach is needed to meet existing commitments and to take into account the importance of income supports, services and parental access to employment. For instance, children in jobless households are far more likely to experience consistent poverty than children generally. The overriding objective for the Government is to increase employment, promote activation, skills training and education. This will ultimately help to build real and sustainable economic growth and to protect those who are most vulnerable in our society.

The Department is working closely with the Department of Children and Youth Affairs in relation to these issues. As the Deputy may be aware, my colleague Minister Frances Fitzgerald T.D. is overseeing the new Children and Young People's Policy Framework through which policy and services for children and young people will be developed and implemented in the State. She is also overseeing on-going work on implementing a new area-based approach to child poverty, building on evidence and experiences in prevention and early intervention programmes.

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