Written Answers Nos. 1-20
10. Deputy Éamon Ó Cuív asked the Tánaiste and Minister for Social Protection her plans on increasing the numbers on the RSS, Tús, community employment and CSP schemes this year; and if she will make a statement on the matter. [4712/15]
View answerThe Department of Social Protection plans to spend over €1 billion on supports for jobseekers under various community, activation and education schemes in 2015. Looking at individual schemes, I am pleased to confirm for the Deputy that:
- The number of participants on the rural social scheme (RSS) is expected to remain at around 2,600 in 2015 at a cost of some €45 million;
- The projections for Tús – the community work placement initiative – are that at least 7,500 jobseekers will be maintained on the scheme during 2015 at a cost of some €113 million; and
- The community services programme (CSP) has an allocation of over €45 million in 2015 which will enable employment levels to be maintained at around 2,800, as was the case in recent years.
The Deputy should also note that it is planned to engage 25,300 jobseekers in community employment (CE) in 2015, with a budget of €373m. This includes the additional 2,000 places approved in 2014. In addition, it is expected that Gateway – the work placement initiative with county and city councils - will reach the 3,000 level towards the middle of this year. Finally, the number of places available to support employers under the JobsPlus initiative is doubled to 6,000 jobs.
An important initiative – the back to work family dividend - was announced in Budget 2015. It is designed to incentivise jobseekers, lone parents and employment programme participants who have children to take up full time employment or self-employment. If a person qualifies for the scheme they will get a weekly payment for up to 2 years - the equivalent of any Increases for Qualified Children that were being paid (up to a maximum of 4 children) for the first year in employment. Half that amount will be paid weekly for the second year.
The allocation for 2015 ensures that new initiatives, like back to work family dividend, can be introduced while fully maintaining schemes such as the RSS, Tús, the CSP and CE.
11. Deputy Richard Boyd Barrett asked the Tánaiste and Minister for Social Protection the rationale behind the upcoming changes to the one-parent family payment which will see single parents, often looking after a disabled child or parent, losing up to €86 per week; the additional income supports that will be available to these parents who are unable to work because they are full-time carers; and if she will make a statement on the matter. [4969/15]
View answerThere are currently 69,884 lone parents being supported by the one-parent family payment (OFP) scheme at an estimated cost to my Department of approximately €607 million in 2015. When introducing the OFP scheme age change reforms in 2012, a special provision was included for recipients who are claiming the domiciliary care allowance (DCA) payment for a disabled child aged under 16 years. This special provision ensures that lone parents who care for a disabled child will continue to receive support until that child reaches the age of 16 years and can apply for the disability allowance (DA) in their own right. As a result of this provision 1,650 lone parents will not be affected by the next phase of the OFP age reforms, which is due to take effect in July.
It is expected that on foot of the final phase of OFP age reforms, another cohort of OFP recipients who are in receipt of the half-rate carer’s allowance, as they are caring for another person (i.e. an adult or a child aged 16 years or over), may be affected by the July changes.
I am therefore working with my officials in examining the position of these lone parents and the potential impact of the July change. I hope to conclude our deliberations on this aspect of the change in the coming weeks.
In this regard, Deputies will recall that before Christmas, I reviewed the reduction to the income disregard for lone parents due to be introduced last January and in January 2016. In order to maintain the existing incentive for employment, I brought forward provisions to maintain the level of disregard at 2014 levels.
12. Deputy Seamus Healy asked the Tánaiste and Minister for Social Protection if she will restore the fee electricity and gas units, the fuel allowance and the length of the heating period to the level obtaining in 2012; and if she will make a statement on the matter. [4985/15]
View answerThe Department will spend approximately €227 million this year on the household benefits package for approximately 415,000 customers. It will also spend more than €195 million on the fuel allowance. The fuel allowance of €20 is paid for 26 weeks from October to April. There have been no reductions in the fuel allowance since 2012. The electricity and gas allowance is currently €35 per month. There have been no reductions to the electricity and gas allowance in recent budgets. In 2013, I aligned the electricity and gas allowance with the cheapest available market rate for 1,800 units of electricity. Previously the rate had been based on the price of one supplier. This provided a saving to the Department but allowed customers to obtain savings by switching to cheaper companies. Customers can now switch companies without the loss of any credit that may have built up, which was not possible under the old system.
The overall concern of the Government in Budget 2015 and previous Budgets has been to protect the primary social welfare rates. Expenditure on pensions is the largest block of expenditure in the Department, representing about a third of overall expenditure. Because of demographic changes the Department’s spending on older people is increasing year on year. Maintaining the rate of the State pension and other core payments is critical in protecting people from poverty. The savings generated in recent years by reductions in secondary benefits were essential to maintain core weekly payments. I have no plans at this time to increase the household benefits package. Any decision to increase the package would have budgetary consequences and would have to be considered in the context of budget negotiations. As the Deputy is aware, in Budget 2015, we partially restored the Christmas Bonus and increased the Living Alone Allowance.
13. Deputy Mick Wallace asked the Tánaiste and Minister for Social Protection the action she will take in relation to the situation for Tara Mines pensioners (details supplied); her views on amending section 50 of the Pensions Act 1990, as amended by section 35 of the Social Welfare and Pensions Act 2012, in order to offer more protection to employees against unfair reductions in their pension entitlements; and if she will make a statement on the matter. [4983/15]
View answerI am aware that many pension schemes are encountering funding difficulties at this time. A number of changes have been made to the Pensions Act to help both the employers and the trustees of defined benefit pension schemes respond to funding difficulties. These changes provide for the sharing of the risk of scheme underfunding across all scheme members. The issue of how these changes might be applied is a matter for the trustees of a scheme. I hope that these measures will help in resolving the funding difficulties in the Tara Mines schemes. You will appreciate it that it would not be appropriate for me to engage with or comment on developments relating to a particular pension schemes as these are a matter for the management of the company and the trustees of the pension schemes.
The trustees of a defined benefit pension scheme are required under trust law to act in the best interests of all scheme members. I do not plan to bring forward amendments to this section of the Pensions Act at this time but I will continue to monitor the application of this section on an ongoing basis.
14. Deputy Aengus Ó Snodaigh asked the Tánaiste and Minister for Social Protection her views on the SYNDICAT Confederation of European Trade Unions' report, the Youth Guarantee in Europe, and the contents of the country-specific section examining this State, in particular; the changes she will make to the Youth Guarantee to ensure that it does not perpetuate the growing crisis of precarious work; her views on SIPTU's assessment that the quality of the type of contract offered to young persons under the Youth Guarantee is not satisfactory, as well as the remuneration received and that the frequent use of internships increases the risk of job displacement. [4908/15]
View answerThe 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 and the availability of productive employment for young people. This strategy has been succeeding, with an increase of over 80,000 in employment over the last 2 years. This increase has not been in “precarious” or temporary jobs. While the proportion of Irish workers who are on temporary contracts rose slightly during the recession, reaching 10.5% in 2011, it has since fallen back to the pre-recession level of 9.5%, and remains significantly below the EU average of 14.4%.Within this framework, the Youth Guarantee sets a medium-term objective of ensuring that young people receive an offer of employment within four months of becoming unemployed.
The main plank of the guarantee is assistance to young people in finding and securing sustainable jobs. For those who do not find employment, additional offers are provided for. Most such offers (over 70%) are in further education or training. Others are in community-based employment programmes such as CE, Gateway and Tús, or through the JobsPlus employment subsidy for private employment. Both the job-search assistance, and the range of programmes I have just mentioned, are the subject of favourable comment by SIPTU in the report quoted by the Deputy, which is largely positive about Ireland’s implementation of the Youth Guarantee.
None of these programmes involve offers of employment on “unsatisfactory” contracts. Finally, the Youth Developmental Internship, First Steps, is an additional measure to provide youth with work experience. This will offer young jobseekers aged between 18 and 25 the opportunity to gain valuable work experience and training with the help of dedicated assistance from Department of Social Protection case officers. The target is to provide up to 1,500 work experience placements of six or nine months’ duration for young jobseekers during 2015.
Yesterday, I launched a call seeking expressions of interest from organisations right across the private, public, voluntary and community sectors inviting them to participate as a sponsor in the First Steps programme. The objective is to provide participants with an opportunity to learn and develop basic work and social skills while on a placement in a real work situation in organisations in the private, public, voluntary and community sectors.
Each placement will last for six or nine months during which time the participants will spend four days per week with a host employer and will be expected to use the fifth day of each week to undertake other activities related to job-search.
Youth unemployment here has fallen from a crisis peak of 31% to about 23% now, and the number of young people who are long-term unemployed has fallen from 36,000 to circa 17,000.
15. Deputy David Stanton asked the Tánaiste and Minister for Social Protection further to Parliamentary Question No. 71 of 14 January 2015, the benefits for participants and communities of the community services programme funded by her Department; and if she will make a statement on the matter. [4971/15]
View answerFunding of over €45m is being provided for the Community Services Programme (CSP) in 2015. This will support some 400 contracts that are in place with service providers nationally. The CSP is designed to address locally identified gaps in the provision of services to communities and to utilise the potential of community assets and resources that are already in place to support of delivery of services and to improve community well-being. Funding is provided to support the employment of staff to deliver the service. Unlike a number of other schemes and initiatives operated by the Department, there is no direct relationship with the employees of the contractors or service providers. Contractors must also demonstrate an ability to generate and maintain income from the services delivered. The objective of the Programme is to promote social and economic development through harnessing voluntary commitment and using the potential of community assets. The benefits derive from services that are considered necessary and which would not otherwise be provided and which support the provision of real and positive employment opportunities.
Some 2,800 people are directly supported in employment through the CSP across the various not-for-profit organisations nationally, with an estimated 300-500 additional people supported indirectly from other activities of contractors funded from their own resources and income generation.
16. Deputy Ruth Coppinger asked the Tánaiste and Minister for Social Protection if she or her Department, in view of the homelessness crisis, have given consideration to the raising of rent supplement levels; her plans for legislation to prevent landlords from being able to refuse to accept rent allowance; and if she will make a statement on the matter. [4967/15]
View answerThere are currently approximately 71,500 rent supplement recipients for which the Government has provided over €298 million for 2015. I am acutely aware of the difficulties people are experiencing in maintaining affordable rented accommodation in areas of high demand in the current market, including those in receipt of rent supplement in the Dublin area. The Department is finalising a review of the maximum rent limits and raising rent limits may not be the solution to the problem as it is likely to add to further rental inflation and could impact, not alone on rent supplement recipients, but also on many lower income workers, their families and students. I am keeping the matter under close review. The Department has put measures in place to ensure that the housing needs of rent supplement customers throughout the country who are at risk of homelessness are addressed by providing for increased flexibility within the administration of the scheme. The Interim Tenancy Sustainment Protocol introduced in the Dublin region during 2014, has provided support for over 340 families to date through providing increased rent supplement payments.
The fact that approximately 71,500 people are currently in receipt of rent supplement shows that a significant number of landlords are accommodating applicants of the scheme. The Department is aware that some leading property websites ask potential landlords to indicate whether they will accept rent supplement tenancies. It is the Department’s expressed position that this practice should cease and the matter has been raised with the leading websites. Officials in the Department are also engaging with those in the Department of Justice and Equality in relation to this matter.
It open to any person who has been refused a private tenancy and who feels discriminated against on the basis of his or her gender, civil status, family status, sexual orientation, religion, age, disability, race and membership of the Travelling community to refer a discrimination complaint to the Equality Tribunal under the Equal Status Acts.
17. Deputy Maureen O'Sullivan asked the Tánaiste and Minister for Social Protection her views on whether the current maximum limit of €520 for a single person's rent allowance is adequate to obtain private rented accommodation, in view of the increases in rents and the issue regarding the lack of properties accepting rent allowance from potential tenants; and if she will make a statement on the matter. [4770/15]
View answerThere are currently approximately 71,500 rent supplement recipients for which the Government has provided over €298 million for 2015. I am acutely aware of the difficulties people are experiencing in maintaining affordable rented accommodation in areas of high demand in the current market, including single persons in receipt of rent supplement in Dublin. The Department is finalising a review of the maximum rent limits and raising rent limits may not be the solution to the problem as it is likely to add to further rental inflation and could impact, not alone on rent supplement recipients, but also on lower income workers and students. I am keeping the matter under close review. The Department has measures in place to ensure that the housing needs of rent supplement customers at risk of homelessness are addressed by providing for increased flexibility within the administration of the rent supplement scheme. Notices circulated to Community Welfare Service staff reminding them of their discretionary power to award, on a case by case basis, a supplement for rental purposes in such circumstances in July and December 2014. A National Framework has also been developed to ensure that supports continue to be provided in a consistent manner. The Interim Tenancy Sustainment Protocol introduced in the Dublin region during 2014, has provided support for some 340 families to date. In addition, over 60 single persons were dealt with directly by Threshold and referred to the Department as appropriate.
The Department is aware that some leading property websites ask potential landlords to indicate whether they will accept rent supplement tenancies. It is the Department’s expressed position that this practice should cease and the matter was raised with the leading websites. The Department is also engaging with the Department of Justice and Equality regarding this matter.
It open to any person who has been refused a private tenancy and who feels discriminated against on the basis of the nine grounds set out in the equality legislation to refer a discrimination complaint to the Equality Tribunal under the Equal Status Acts.
18. Deputy Paul Murphy asked the Tánaiste and Minister for Social Protection if she will review the policy of reduced jobseeker’s allowance to those under 25 years of age in view of the case of a person (details supplied) in Dublin 16 who is living alone following the death of their sole guardian yet still has had a maximum of €100 applied to their jobseeker’s allowance. [4976/15]
View answerThe rate in question does not arise out of consideration of benefit and privilege rules. Rather, adjusted rates for younger jobseeker’s allowance recipients were first introduced in 2009. Budget 2014 further extended the adjusted rates of jobseeker’s allowance to recipients under 26 years of age. This is a targeted measure aimed at protecting young people from welfare dependency. It aims to incentivise young jobseeker’s allowance recipients to avail of education and training opportunities. If a jobseeker in receipt of the reduced jobseeker’s allowance rate participates on an education or training programme they will receive a higher weekly payment of €160. There are no plans to change provision in this area. In the case of the person concerned the rate of payment of his jobseeker’s allowance has been calculated correctly. Given his difficult personal circumstances, the request to backdate his claim has been approved. The arrears due to him are included in his payment dated 3 February 2015. In order to assist him in his efforts to seek employment, Departmental officers have liaised with both the person concerned himself and a local community activist who has been heavily involved in supporting him. An appointment with the Local Employment Services has been arranged for 19 February 2015 in this regard.
19. Deputy Éamon Ó Cuív asked the Tánaiste and Minister for Social Protection the proposed changes being considered in the administration of the RSS, Tús and community employment schemes; the cost of administration per participant for each of the three schemes; the cost of supervision per participant for each of the three schemes; and if she will make a statement on the matter. [4711/15]
View answerThe Department will spend more than €1 billion in 2015 on work, training and education places in support of jobseekers getting back to work. The rural social scheme (RSS), Tús and community employment (CE) continue to play an important role in this regard and the Department is continuing to work with implementing and sponsor bodies to improve the delivery of the schemes. These improvements include:
- Ensuring that eligibility criteria across activation and other schemes is complementary and is in line with the policy objectives set out in Pathways to Work;
- Streamlining the way in which jobseekers can access schemes, including referrals from case officers where a work placements is deemed to be beneficial to a jobseeker in getting back to work or accessing training; and
- Allowing transfer between schemes to better meet the needs of particular jobseekers.
The delivery cost of RSS will be of the order of €2.3 m in implementing body costs and €4.7m in supervision and monitoring costs. Delivery costs of Tús will be of the order of €8.3m in implementing body costs and €15m in supervision, monitoring and participant development costs. The delivery costs for CE will be €56m for supervision and €13.5m for materials which covers the operating costs of the scheme. An additional cost of €6m is approved for the development of CE participants for employment.
The estimated costs of the schemes reflect a number of factors that are not directly comparable. For example, services delivered by implementing bodies for Tús include recruitment costs relating to the full turnover of participants numbers annually plus costs of supporting jobseekers requiring further development or training before placement. On the other hand, CE schemes have a significant training component with is not a part of Tús or the RSS, while the RSS has a higher level of input costs in terms of material costs, compliance and travel costs. The Department will arrange to provide the Deputy with detailed costs of each of the schemes shortly.
I want to reassure the Deputy that resources for the delivery of the schemes in 2015 will remain close to the 2014 levels.
20. Deputy Bernard J. Durkan asked the Tánaiste and Minister for Social Protection if she will review cases whereby homeowners were refused mortgage relief on the basis that the mortgage was unsustainable or that a lending institution was unlikely to facilitate a restructuring of repayments in cases where this has subsequently been proven to be incorrect; and if she will make a statement on the matter. [4974/15]
View answerThe Government’s strategy to assist those in mortgage difficulty is built around the following measures, as recommended in the 2011 Interdepartmental Mortgage Arrears Working Group (Keane Group), in four main distinct areas:
- Lenders providing sustainable and durable resolution options to their borrower;
- A social housing response sponsored by local authorities;
- Comprehensive advice to borrowers; and
- Personal Insolvency Reform.
In the context of the overall strategy, the continued payment of mortgage interest supplement, the purpose of which was to provide short-term support to meet mortgage interest repayments, does little to assist recipients in improving the long term difficulty in addressing their mortgage problem. Discontinuation of entitlement to the mortgage interest supplement scheme came into effect for all new applicants from 1 January 2014. Customers availing of this support prior to 1st January 2014 have been able to retain entitlement to the scheme up to 1st January 2018. There are currently approximately 5,880 recipients.
It is expected that during the four year period, the existing customers will no longer require this support through sustainable solutions being put in place with their lenders, securing employment or exit strategies sponsored by the Department of the Environment, Community and Local Government. I am satisfied that the most appropriate way in which customers experiencing mortgage difficulties can be supported is through engagement with their lender.
