Dáil Éireann Debate, Thursday - 17 October 2013
21. Deputy Billy Timmins asked the Minister for Social Protection the steps which she is taking to assist self-employed persons to avail of social assistance payments; and if she will make a statement on the matter. [43138/13]
View answerDetails of the social assistance payments offered by the Department are widely publicised, for example on the departmental website www.welfare.ie, and information is also available through social welfare local offices.
Self-employed persons are liable for pay related social insurance (PRSI) at a rate of 4%, which entitles them to access long-term benefits such as state pension (contributory) and widow's, widower's or surviving civil partner's pension (contributory). This compares to employees in respect of whom a combined 14.75% rate, under full-rate PRSI Class A, is paid giving entitlement to the full range of social insurance benefits.
In general, where persons do not qualify for social insurance benefits they may claim means tested social assistance payments. For example, any person of working age who does not qualify for jobseeker’s benefit may claim means tested jobseeker’s allowance. Subject to means and other qualifying conditions, self-employed persons may claim jobseeker’s allowance if their business ceases or there is reduced demand for their services. Typically over 80% of jobseeker’s allowance claims from self-employed persons have been awarded over recent years.
It may be noted that previously self-employed persons in receipt of jobseeker’s allowance have access to the full range of activation measures available through the State. Given the scale of unemployment levels, the key objective of activation policy and labour market initiatives is to offer assistance to those most in need of support in securing work and achieving financial self-sufficiency. However, many services are available to the formerly self-employed who are not in receipt of a social welfare payment.
