Tuesday, 3 Mar 2015

Written Answers Nos. 163-178

State Pensions Reform

Questions (163)

Seán Fleming

Question:

163. Deputy Sean Fleming asked the Tánaiste and Minister for Social Protection if she will consider examining, and introducing, changes to the legislation for the contributory State pension that affect people who have substantial numbers of pay-related social insurance contributions but whose pensions are being reduced, because they may have worked in the very early stages of their life for a couple of weeks or months and there may have been many years after that when they were not paying contributions and when, perhaps, they were self employed or not in the workforce, then came back and worked extensively for many years, in some cases over 20 years, but their pension has now been reduced, solely because the yearly average is calculated by when they started work, even though there might have been a gap for many years; and if she will make a statement on the matter. [9022/15]

Written answers

Tánaiste and Minister for Social Protection

The State pension contributory is a very valuable benefit and is the bedrock of the Irish pension system. Therefore, it is important to ensure that those qualifying have made a sustained contribution to the Social Insurance Fund over their working lives. To ensure that the individual can maximise their entitlement to a State pension, all contributions paid over their working life from when they first enter insurable employment until pension age are taken into account when assessing their entitlement and the level of that entitlement.

Since 1961, when contributory pensions were first introduced, the average contributions test has been used in calculating pension entitlement. Once over 16 years of age, the date a person enters into insurable employment is the date used for averaging purposes.

To qualify for a state pension (contributory) a person must:

- have at least 520 paid contributions, and

- satisfy a yearly average condition (a yearly average of 48 contributions paid or credited is required for a full rate State pension (contributory), and reduced rates of payment may be payable for pensioners with lower averages).

The homemaker’s scheme makes qualification for State pension (contributory) easier for those who take time out of the workforce for caring duties. The scheme which was introduced in and took effect from 1994 allows up to 20 years spent caring for children under 12 years of age, or incapacitated people, to be disregarded when a person’s social insurance record is being averaged for pension purposes.

The State pension (contributory) is intended for those who have paid PRSI during their working lives, and/or have remained engaged with the labour force when they were not in a position to make such paid contributions (e.g. due to unemployment or illness). Where a worker becomes unemployed or incapable of work, s/he will generally be awarded credited contributions for the duration of their social welfare claim(s), or they may sign for jobseekers credits which are also used in the calculation of the yearly average for pension purposes.

For those with insufficient contributions to meet the requirements for a State pension (contributory), they may qualify for a means tested State pension (non-contributory) which has a maximum personal rate of €219.

It is expected that a total contributions approach to pension qualification will replace the current average contributions test for State pension (contributory) from 2020, although that date is subject to change.

Disability Support Services Provision

Questions (164)

Tom Fleming

Question:

164. Deputy Tom Fleming asked the Tánaiste and Minister for Social Protection the number of persons who have acquired work in the EmployAbility service, under the employers' wage subsidy scheme, the workplace equipment-adaptation grant scheme, the employee retention grant scheme and the willing able mentoring programme; if an evaluation has been carried out on the success levels, and overall benefits, to the participants; and if she will make a statement on the matter. [9032/15]

Written answers

Tánaiste and Minister for Social Protection

In addition to basic income support, the Department provides a wide range work related supports for people with disabilities. These include the wage subsidy scheme, the EmployAbility (supported employment) programme and the employment support programme for people with disabilities. The Department also supports the willing able mentoring project.

The wage subsidy scheme (WSS) is an employment support to the private sector for the employment of people with disabilities. The purpose of this demand-led programme is to increase the numbers of people with disabilities participating in the open labour market. In 2014 some 1,550 employees were being supported through this programme at a cost of €12.6 million.

The EmployAbility programme is a national employment service dedicated to improving employment outcomes for job seekers with a disability. EmployAbility participants are people with a disability who are able to work a minimum of 8 hours per week and who need the support of a job coach to obtain employment in the open labour market. People can be supported for up to 18 months. In December 2014, some 2,936 people were availing of the service. The cost of the service in 2014 was €8.5 million.

The employment support programme for people with disabilities provides various labour market supports for people with disabilities, assisting them with finding paid employment or preparing them for employment through a training or employment programme. The employment supports consist of a range of measures such as the disability awareness training support scheme and the reasonable accommodation fund, which includes the workplace equipment/adaptation grant, the personal reader grant, the job interview interpreter grant, and the employee retention grant. The employment support programme is a demand-led grant scheme, with an expenditure of €0.34 million in 2014.

The aim of the willing able mentoring (WAM) programme is to promote widening access to the mainstream Irish labour market for graduates with disabilities. The provide funding (€176.000) to support this programme which is delivered by the Association for Higher Education and Disability (AHEAD). WAM operates as a mentored placement programme that supports 30 paid graduate entry full-time placements a year. AHEAD also works closely with employers to ensure that the experience is successful for all involved.

I am satisfied that the package of work-related supports available from the Department plays an important role in supporting participation by people with disabilities in the labour force. The challenge is now to build on these programmes for people with disabilities to enhance their potential to achieve greater independence through education, training and employment.

In this context, I would point out that an external review of the EmployAbility service is currently underway and this will assess the effectiveness of the service as it stands and present proposals for the future delivery of this important support.

Questions Nos. 165 and 166 withdrawn.

Domiciliary Care Allowance Applications

Questions (167)

Bernard Durkan

Question:

167. Deputy Bernard J. Durkan asked the Tánaiste and Minister for Social Protection the progress made to date in determining an application for domiciliary care allowance in the case of a person (details supplied) in Dublin 24; and if she will make a statement on the matter. [9057/15]

Written answers

Tánaiste and Minister for Social Protection

The person concerned was notified on the 26th February 2015 that her domiciliary care allowance application was successful and that the allowance has been awarded from 1st January 2015. The first payment of the allowance, along with arrears due, will issue on 16th March 2015.

Family Income Supplement Eligibility

Questions (168)

Bernard Durkan

Question:

168. Deputy Bernard J. Durkan asked the Tánaiste and Minister for Social Protection the extent to which a person (details supplied) in County Kildare can qualify for family income supplement, in view of that person's contributions from employment as a special needs assistant; if, on the basis of reduced hours, that person can qualify for continued family income supplement; and if she will make a statement on the matter. [9058/15]

Written answers

Tánaiste and Minister for Social Protection

The family income supplement (FIS) is designed to provide support for employees, with families, who have low earnings.

To qualify the applicant must be engaged in full-time remunerative employment as an employee for at least 38 hours per fortnight (19 hours per week). In addition, the weekly family income must be below the threshold for the particular family size. There is no requirement for a minimum number of PRSI contributions to be paid before qualifying.

As there is no record of the person concerned having applied for FIS an application form has now issued to her.

Upon receipt of a completed application, her entitlement to FIS will be examined and she will be notified directly in writing of the outcome.

Exceptional Needs Payment Applications

Questions (169)

Bernard Durkan

Question:

169. Deputy Bernard J. Durkan asked the Tánaiste and Minister for Social Protection if an exceptional needs payment will be made in the case of a person (details supplied) in County Kildare; and if she will make a statement on the matter. [9111/15]

Written answers

Tánaiste and Minister for Social Protection

The person concerned has been contacted by his local Community Welfare Officer and issued with an application form for an exceptional needs payment. A decision will be made on the application, when the completed form, along with the relevant invoice, is received.

Social Welfare Benefits Data

Questions (170)

Michael Ring

Question:

170. Deputy Michael Ring asked the Tánaiste and Minister for Social Protection the payments made from her Department to persons (details supplied) in County Mayo, from 1 January 2013 to 31 December 2013, inclusive; the exact periods that those payments referred to; and if she will make a statement on the matter. [9134/15]

Written answers

Tánaiste and Minister for Social Protection

The persons concerned were receiving a number of different social welfare payments during 2013. Due to the complexities involved it is not possible, unfortunately, to provide the information requested within the allotted timeframe. However a detailed statement of amounts paid to the persons concerned is currently being prepared as expeditiously as possible and will issue to the Deputy by Friday next 6th March 2015.

Departmental Legal Costs

Questions (171)

Billy Kelleher

Question:

171. Deputy Billy Kelleher asked the Tánaiste and Minister for Social Protection if her Department, or State bodies or agencies under the aegis of her Department, use solicitors firms (details supplied); the amount paid to these solicitors, each year, from 2011 to 2014 by her Department, or State bodies or agencies under the aegis of her Department; the date until which her Department, or State bodies or agencies under the aegis of her Department, are contracted to use these solicitors firms; and if she will make a statement on the matter. [9200/15]

Written answers

Tánaiste and Minister for Social Protection

The Department made no payments to the law firms mentioned in respect of legal fees for services rendered to it in the years 2011 to 2014. The Department’s legal advisors are the Office of the Chief State Solicitor and the Office of the Attorney General.

The statutory bodies operating under the aegis of the Department of Social Protection are the Citizens Information Board, the Pensions Authority, the Pensions Council, the Pensions Ombudsman and the Social Welfare Tribunal.

Payments to the law firms by the Pensions Authority and the Pensions Ombudsman for services rendered to them in the years 2011 to 2014 are set out in the following tables.

Pensions Authority

Name of Company of Solicitors	Amount paid in 2011	Amount paid in 2012	Amount paid in 2013	Amount Paid in 2014	Date contract ends
Arthur Cox	€21,077.90	€3,287.79	€0	€5,535.00	31 December 2015
McCann Fitzgerald	€0	€24,600	€0	€0	No contract

Pensions Ombudsman

Name of Company of Solicitors	Amount paid in 2011	Amount paid in 2012	Amount paid in 2013	Amount Paid in 2014	Date contract ends
Arthur Cox	NIL	€4,422.36	€4,166.62	NIL	No contract
McCann Fitzgerald	NIL	NIL	NIL	NIL	No contract

All figures inclusive of VAT.

Illness Benefit Eligibility

Questions (172)

Denis Naughten

Question:

172. Deputy Denis Naughten asked the Tánaiste and Minister for Social Protection her plans to provide for access to illness benefit payments by the self-employed; and if she will make a statement on the matter. [9232/15]

Written answers

Tánaiste and Minister for Social Protection

Self-employed persons are liable for PRSI at the Class S rate of 4% which entitles them to access maternity benefit, adoptive benefit, guardian’s payment and long-term benefits such as State pension (contributory) and widow's, widower's or surviving civil partner's pension (contributory). Ordinary employees who have access to the full range of social insurance benefits pay Class A PRSI at the rate of 4%. In addition, their employers make a PRSI contribution of 10.75% in respect of their employees, resulting in the payment of a combined 14.75% rate per employee under full-rate PRSI Class A. (For employees earning less than €356 per week, the rate of employer’s PRSI is 8.50%).

In September 2013, I published the report of the Advisory Group on Tax and Social Welfare on Extending Social Insurance Coverage for the self-employed. The Group was asked to examine and report on issues involved in extending social insurance coverage for self-employed people in order to establish whether or not such cover is technically feasible and financially sustainable, with the requirement that any proposals for change must be cost neutral.

In determining that social insurance for the self-employed should cover contingencies relating to ill health or incapacity, the Advisory Group was cognisant of the fact that some self-employed people could continue to obtain an income while suffering an illness whereas an employee, while experiencing a similar illness, might not. Furthermore, given the control difficulties that might arise with a self-employed person self-certifying their non-participation in their business, the Group considered that it would not be appropriate to extend social insurance to the self-employed for short-term illness income supports, such as Illness Benefit or Occupational Injuries Benefit.

The Group found that extending social insurance for the self-employed was warranted in cases related to long-term sickness or injuries. To this end, the Group recommended that class S benefits should be extended to provide cover for people who are permanently incapable of work, because of a long-term illness or incapacity, through the invalidity pension and the partial capacity benefit schemes. The Group further recommended that the extension of social insurance in this regard should be on a compulsory basis and that the rate of contribution for class S should be increased by at least 1.5 percentage points.

This recommendation will require further consideration in conjunction with the findings of the most recent Actuarial Review of the Social Insurance Fund which indicated that the self-employed achieve better value for money compared to the employed when the comparison includes both employer and employee contributions in respect of the employed person.

My colleagues in Government and I will continue to reflect on the findings of the Advisory Group on this issue and will further consider the recommendations contained in the report taking into account future developments in terms of the budgetary and fiscal situation.

Disability Allowance Applications

Questions (173)

Denis Naughten

Question:

173. Deputy Denis Naughten asked the Tánaiste and Minister for Social Protection when a decision on an application for a disability allowance will be made, in respect of a person (details supplied) in County Roscommon; the reason for the delay in same; and if she will make a statement on the matter. [9237/15]

Written answers

Tánaiste and Minister for Social Protection

I confirm that an application from the person concerned for disability allowance (DA) was received by the Department on 10 October 2014. The application has been referred to a Social Welfare Inspector (SWI) for a report on the person’s means and circumstances. Once the SWI has submitted his/her report to DA section, a decision will be made on the application and the person concerned will be notified directly of the outcome.

Social Welfare Overpayments

Questions (174)

Brendan Griffin

Question:

174. Deputy Brendan Griffin asked the Tánaiste and Minister for Social Protection if she reserves the legal right to overrule the decision of her Department, in the case of individual social protection issues, such as cases of overclaiming if there are exceptional hardship cases involved; and if she will make a statement on the matter. [9289/15]

Written answers

Tánaiste and Minister for Social Protection

People who have received an overpayment from the Department have a liability under law to refund the overpayment as they have received money to which they were not entitled. (Section 338 of the Social Welfare (Consolidation) Act, 2005 (as amended) refers). My Department has a responsibility to ensure that all overpayments are refunded in full.

Social welfare overpayments arise where a revised decision is made by a deciding officer on a claimant’s entitlement resulting in a retrospective reduction in their entitlement. In deciding whether or not the decision should have retrospective effect, deciding officers are required to have regard to the facts relevant to the decision on entitlement. Founding their decision on facts will ensure that the deciding officers’ actions can result in the Department pursuing all debts.

Once a revised decision on entitlement has been made, the person is informed of the decision and has the right to have the decision reviewed by the Department or to appeal the decision to the independently established Social Welfare Appeals Office. The person is also notified of any resulting overpayment and is informed of the requirement that the overpayment be repaid in full to the Department.

When determining the rate of recovery of an overpayment, consideration is given to getting repayment as soon as possible, while not causing undue hardship to the person, having regard to the circumstances that gave rise to the overpayment, as well as the person’s circumstances and their overall ability to pay. The person is provided with the opportunity to put forward any circumstances that they feel may be relevant to the rate of recovery proposed. Any circumstances put forward by the person will be considered in the context of agreeing a recovery plan.

I am confident that there are robust measures in place in my Department so that the occurrence of overpayments is minimised and I am continuously seeking to enhance these controls. However, where overpayments do occur they must be recovered.

Question No. 175 withdrawn.

Social Welfare Appeals Status

Questions (176)

Pearse Doherty

Question:

176. Deputy Pearse Doherty asked the Tánaiste and Minister for Social Protection when a person (details supplied) in County Donegal may expect a decision from the social welfare appeals office, further to an oral hearing held on 7 January 2015; and if she will make a statement on the matter. [9319/15]

Written answers

Tánaiste and Minister for Social Protection

I am advised by the Social Welfare Appeals Office that an Appeals Officer having fully considered all of the available evidence, including that adduced at the oral hearing, has decided to allow the appeal of the person concerned. The person concerned has been notified of the Appeals Officer’s decision.

The oral hearing of this case was held on 28 January 2015 and not on 7 January 2015 as suggested by the Deputy.

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 in relation to social welfare entitlements.

Rent Supplement Scheme Administration

Questions (177)

Charlie McConalogue

Question:

177. Deputy Charlie McConalogue asked the Tánaiste and Minister for Social Protection the reason the rent supplement payment amounts vary across the country; if she will provide a breakdown of the current maximum payment, by county; her plans to raise the allowance in County Donegal, in order to make it more equitable with other areas in the country; and if she will make a statement on the matter. [9344/15]

Written answers

Minister of State at the Department of Social Protection

There are currently approximately 70,700 rent supplement recipients for which the Government has provided over €298 million for 2015.

The prescribed rent supplement maximum limits were determined following an extensive review of the private rental market on a county basis. As rental markets differ from county to county, this explains the variation in rent limits across the country and the maximum payments made to rent supplement recipients. Details of the maximum rent limits on a county basis from June 2013 to date are provided in the attached tabular statement.

The Department has recently undertaken a review of the maximum rent limits. The overarching concern is that raising rent limits may not be the solution 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 alike. The raising of rent limits in Donegal has the potential to establish, in particular for families on low wage incomes, inappropriate pricing floors, with the possibility that these families are priced out of affordable accommodation in their area of choice. Analysis shows that there are properties available in the Donegal area within the current maximum rent limits.

In recognition of the current supply constraints in areas of high demand throughout the country, measures have been put in place to ensure that the housing needs of rent supplement customers who are at risk of homelessness are addressed by providing increased flexibility within the administration of the rent supplement scheme. Notices circulated to all 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 appropriate supports continue to be provided throughout the country in a consistent manner.

I would advise the Deputy that he should advise any person in receipt of rent supplement who is at risk of losing their tenancy in the Donegal area to contact the Community Welfare Service without delay.

Tabular statement - Maximum Rent limits

County:	Single Shared	Couple Shared	Single	Couple	Couple/One Parent Family - 1 Qualified Child	Couple/One Parent Family - 2 Qualified Children	Couple/One Parent Family - 3 Qualified Children
Dublin - Fingal	300	350	520	700	850	900	950
Dublin - Not Fingal	350	400	520	750	950	975	1,000
Carlow	230	250	375	433	520	560	590
Cavan	160	190	325	350	400	415	433
Clare	190	210	320	350	400	450	500
Cork	250	270	485	575	700	725	750
Donegal	175	200	300	325	350	400	450
Galway	280	300	475	540	700	725	750
Kerry	190	220	365	390	500	520	540
Kildare	250	300	433	500	650	700	750
Kilkenny	200	230	390	430	540	565	590
Laois	200	230	340	350	450	480	520
Leitrim	175	195	300	325	350	375	400
Limerick	200	240	375	400	500	550	600
Longford	160	175	290	300	325	340	350
Louth	215	250	390	400	550	575	600
Mayo	195	215	375	390	433	465	500
Meath	200	260	390	420	550	600	650
Monaghan	180	190	300	350	400	433	450
Offaly	200	220	360	400	450	475	500
Roscommon	200	220	300	325	400	410	425
Sligo	195	220	400	425	520	540	550
Tipperary	195	220	370	400	485	500	525
Waterford	220	240	375	390	475	500	525
Westmeath	190	210	390	400	500	520	530
Wexford	250	270	375	390	500	540	575
Wicklow	240	290	425	450	600	610	625
North Kildare	270	290	500	575	750	800	850
Bray	275	300	520	680	850	925	1,000

Respite Care Grant Expenditure

Questions (178)

Lucinda Creighton

Question:

178. Deputy Lucinda Creighton asked the Tánaiste and Minister for Social Protection her plans to increase the respite care grant; and if she will make a statement on the matter. [9359/15]

Written answers

Tánaiste and Minister for Social Protection

The financial supports available to carers in Ireland are among the highest rates of income support in Europe. Expenditure on carers has increased significantly in recent years and it is estimated that the overall expenditure for 2015 will be €822 million which is €11 million higher than the expected outturn for 2014. This does not include the value of other welfare payments which over 25,000 recipients of half-rate carer’s allowance also receive.

I fully appreciate the important and difficult role that carers undertake in this country and that carers need our support. The annual respite care payment is a single lump sum with no requirement to satisfy a means test. There is no equivalent payment for carers in any other country in Europe. In excess of €118, million (Provisional Outturn) was spent on the respite care grant in 2014.

In framing budgetary adjustments, the primary concern has been to protect primary social welfare rates. In order to protect the core weekly payments which people receive, including disability payments, pensions and carer’s allowance, in 2013, the Government had to look very carefully at other additional payments, including the respite care grant. Any change to the respite care grant can only be considered in the context of the overall economic and budgetary position in the current year.