Written Answers Nos. 149-170
149. Deputy Dara Calleary asked the Tánaiste and Minister for Social Protection if she is aware of the impact increasing insurance costs are having on budgets of community employment schemes and their ability to deliver a service; and if she will make a statement on the matter. [42583/15]
View answerThis Department has become aware in recent times of increases in insurance premiums for CE schemes. The main reasons cited for this is an increase in claims frequency over recent years by such schemes. The Department has been in consultation with the main insurers about the proposed increase and to seek to limit the incidence of future claims.
The Department recommends that schemes seek alternative quotes to ensure they get value for money in the first instance. Insurance premiums costs are reimbursed from the CE materials budget for the scheme. Schemes are asked to be especially mindful of their obligations under the Safety, Health and Welfare at Work Act 2005.
The Department is not in a position at present to allocate additional monies to the materials budget in 2015. Materials budgets are allocated on an annual basis and are managed at divisional level. However, if there is a scheme experiencing particular difficulties, the sponsor should contact their local office in relation to this matter.
Schemes whose premiums are loaded due to their claims history will have to be reviewed by the Department on a case-by-case basis.
150. Deputy Willie O'Dea asked the Tánaiste and Minister for Social Protection why an application for renewal and extension of a community employment scheme at a place of work was rejected for a person (details supplied) in Dublin 7; if she will review the application and appeal, with a view to re-instating it; and if she will make a statement on the matter. [42593/15]
View answerUnder Community Employment (CE) regulations, the term of participation for persons commencing a CE scheme when less than 55 years of age is one year. However, this can be increased with annual extensions to a maximum of three cumulative years. The person concerned commenced participation on a CE scheme on 12 November 2012 when aged 54. His total eligibility was therefore limited to these three cumulative years, and he completed, via extensions, this maximum permitted term on 20 November 2015 at which point he was no longer eligible to participate on CE. Unfortunately under the regulations a further extension cannot be granted.
151. Deputy Pearse Doherty asked the Tánaiste and Minister for Social Protection her views on widening the eligibility for community employment schemes in areas where places are unfilled; and if she will make a statement on the matter. [42594/15]
View answerThe Department keeps the eligibility criteria for Community Employment (CE) places under review to ensure that these are effective in targeting long-term unemployed jobseekers.
The number of unemployed persons (seasonally adjusted) has dropped from 267,000 (12.4%) in October 2013 to 192,400 (8.9%) in October 2015 (CSO). With the numbers of unemployed falling, demand for CE places may vary.
In terms of duration of participants on CE, the programme provides extended durations for certain cohorts, up to three years for persons between 35 and under 55 years of age and six years for persons of 55 years of age depending on duration of unemployment on entering CE. Persons with a disability-linked social welfare payment can qualify for an additional year on the above. These durations of participation support schemes as well as providing valuable work placements and training to participants. There are no plans to widen the eligibility further for CE.
152. Deputy Aengus Ó Snodaigh asked the Tánaiste and Minister for Social Protection the status of an application for a domiciliary care allowance by a person (details supplied) in County Westmeath; when a decision will issue. [42603/15]
View answerAn application for domiciliary care allowance was received from the person concerned on the 11th December 2013. This application was not allowed as the child was not considered to satisfy the qualifying conditions for the allowance. A letter issued on the 18th February 2014 outlining the decision of the deciding officer to refuse the allowance.
A review of this decision was requested on 29th June 2015 and additional information on this child’s condition/care needs was supplied on 2nd November 2015. A letter issued on the 25 November 2015 outlining the decision of the deciding officer that a revised decision was not warranted as the child is not considered to satisfy the qualifying conditions for the allowance.
153. Deputy Pearse Doherty asked the Tánaiste and Minister for Social Protection if a recently submitted application for funding by a community and enterprise centre (details supplied) in County Donegal, which sought funding through the community services programme for additional staffing for the centre and which funding was only partially granted, will be re-appraised; if she is aware that the facility requires these additional staff members if it is to continue to provide services to the local community; and if she will make a statement on the matter. [42617/15]
View answerThe applicant applied to the Community Services Programme (CSP) for funding to support the management and staffing of a community service facility. The CSP provides direct funding support in the form of subsidies for the employment of permanent staff to deliver a broad range of services. The service providers supported by this programme operate on a community business or social enterprise model and generate the majority of the income needs for their operations from non-public sources.
Based on an assessment of the application submitted, other DSP staffing resources committed to the company and the financial standing of the company, the level of resources offered are considered adequate. Significant public resources are already committed to services at this centre under other programmes. Should the company take up the offer of the contract, additional funding for permanent staff can be considered as services at the centre develop further.
154. Deputy Brendan Griffin asked the Tánaiste and Minister for Social Protection the status of the provision of an adequate social protection safety net for self-employed persons whose businesses fail or for whom work is not continuous; if the lack of adequate protection for the self-employed has historically been one of the greatest injustices in the Irish social protection system. [42620/15]
View answerSelf-employed persons who earn €5,000 or more in a contribution year are liable for PRSI at the class S rate of 4%, subject to a minimum payment of €500. These contributions entitle them to access social insurance benefits, including State pension (contributory), widow’s, widower’s or surviving civil partner’s pension (contributory), guardians payment (contributory), maternity benefit and adoptive benefit. This contrasts with a combined employer and employee PRSI rate of 14.75% paid in respect of most employees, who can then access the full range of social insurance benefits.
Self-employed workers who become unemployed or ill can establish entitlement to assistance-based payments such as jobseeker’s allowance or disability allowance. In the case of jobseeker’s allowance they can apply for the means-tested jobseeker’s allowance if their business ceases or if they are on low income as a result of a downturn in demand for their services. As in the case of a non-self-employed claimant for jobseeker’s allowance or disability allowance, the means of husband/wife, civil partner or co-habitant will be taken into account in deciding on entitlement to a payment.
In its 2013 report, the Advisory Group on Tax and Social examined issues relating to the provision of social insurance cover for the self-employed on a cost-neutral or cost-reducing context.
The Group was not convinced that there was a need to extend cover for jobseeker’s benefit to the self-employed as almost 9 out of every 10 self-employed people who claimed the means tested jobseeker’s allowance during the three-year period from 2009 to 2011 received payment. The Group did, however, find that extending social insurance for the self-employed was warranted, in cases related to long term sickness or injuries, through the invalidity pension and the partial capacity benefit schemes.
In this regard the Group recommended that the rate of contribution for class S should be increased by at least 1.5 percentage points. Based on the 2010 report on the Actuarial Review of the Social Insurance Fund an increase in the region of 17% would be required for the core contributory State pension plus invalidity pension for the self-employed. This takes account of the 15% needed to provide the core full-rate State pension, which compares favourably with the 4% rate currently paid by the self-employed.
While I am anxious to expand the level of social insurance entitlements for the self-employed, any such change would have to be funded by an appropriate level of contribution.
155. Deputy John McGuinness asked the Tánaiste and Minister for Social Protection why a carer's allowance was not approved for a person (details supplied) in County Kilkenny. [42626/15]
View answerThe person in question is currently in receipt of a contributory State pension.
Carer's Allowance (CA) is a social assistance payment made to persons who are providing full-time care and attention to a person with a disability requiring such care and whose income falls below certain limits.
I confirm that the department received an application for CA from the person concerned on 4 February 2015. Additional information required to establish the person’s means was requested by the deciding officer (DO) on 23 April 2015 and the person concerned was afforded 21 days to reply. As the information was not provided by 15 June 2015, the person concerned was notified that his claim for CA could not be processed to completion and was being withdrawn. No further correspondence has been received from the person concerned.
It is open to the person in question to provide the information required by the DO to carry out a means test so that his application may be reviewed.
156. Deputy Michael Healy-Rae asked the Tánaiste and Minister for Social Protection the status of an application for a disability allowance by a person (details supplied) in County Kerry; and if she will make a statement on the matter. [42659/15]
View answerThe Department is in receipt of an application for disability allowance (DA) from the above named person on 6 November 2015. On completion of the necessary investigations on all aspects of the claim a decision will be made and the person concerned will be notified directly of the outcome.
The processing time for individual disability allowance claims may vary in accordance with their relative complexity in terms of the three main qualifying criteria, the person’s circumstances and the information they provide in support of their claim.
Any person who is awaiting a decision on their disability allowance application may apply for means-tested supplementary welfare allowance from their local community welfare officer.
157. Deputy Seán Ó Fearghaíl asked the Tánaiste and Minister for Social Protection if there is a need to provide a permanent accessible Money Advice and Budgeting Service office in Athy in County Kildare; and if she will make a statement on the matter. [42660/15]
View answerThe Citizens Information Board (CIB) is the statutory body responsible for supporting the provision of information, advice (including money and budgeting advice) and advocacy services on a wide range of public and social services. It delivers on its remit through a network of delivery partners which includes 42 local Citizens Information Services (CIS) and 51 local Money Advice and Budgeting Services (MABS). Additionally, the MABS helpline (0761 07 2000) is open 5 days a week, from 9am until 8pm, and the MABS website can be accessed 24 hours a day at www.mabs.ie.
MABS clients from the Athy area of Co. Kildare are served by an outreach office, one day per week, operated by Carlow MABS, in the Resource Centre on Woodstock Street, Athy. Appointments can be booked through Carlow MABS.
Carlow MABS has served Athy for 20 years, during which time around 540 clients from the Athy area have availed of its service. Carlow MABS currently has 90 active clients from the Athy area on its books. In September 2015 there were 5 new clients from Athy, none in October, and 6 in November. Accordingly, given the level of demand, the existing service is considered to be adequate.
CIB, together with local MABS management, will continue to monitor demand to ensure that client needs are being adequately met.
158. Deputy John Paul Phelan asked the Tánaiste and Minister for Social Protection when a decision will be made for a person (details supplied) in County Kilkenny who has appealed a refusal of an application for a disability allowance and who has been waiting several months for a decision; and if she will make a statement on the matter. [42670/15]
View answerThe Social Welfare Appeals Office has advised me that an appeal by the person concerned was referred to an Appeals Officer on 12 November 2015, who will make a summary decision on the appeal based on the documentary evidence presented or, if required, hold an oral hearing.
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.
159. Deputy Terence Flanagan asked the Tánaiste and Minister for Social Protection if she will address a matter (details supplied) regarding entitlements; and if she will make a statement on the matter. [42671/15]
View answerThe person concerned should contact the Intreo Centre at Parnell Street, Dublin 1, which is appropriate to her address. There she can meet with a Case Officer, and upon full disclosure of her circumstances any possible entitlements to social welfare payments can be explored.
160. Deputy Charlie McConalogue asked the Tánaiste and Minister for Social Protection when arrears will issue to a person (details supplied) in County Donegal who was awarded a disability allowance from 2 July 2014; and if she will make a statement on the matter. [42673/15]
View answerDisability allowance arrears for the period in question, less any overlapping social welfare payment and-or outstanding overpayment, will issue to the person in question by cheque in the next few days.
161. Deputy Clare Daly asked the Tánaiste and Minister for Social Protection the amount of money paid to each private bus operator for the operation of the free travel scheme, by route, in 2014. [42700/15]
View answer162. Deputy Clare Daly asked the Tánaiste and Minister for Social Protection the routes served by each private non-Bus Éireann and non-Dublin Bus operator on which eligible persons can use the free travel pass. [42701/15]
View answerI propose to take Questions Nos. 161 and 162 together.
The 2014 and 2015 budget allocation for the Free Travel Scheme was €77 million and for 2016 it has been increased to €80 million.
In 2014 approximately €61.2 million was paid to the CIÉ group in respect of free travel on Irish Rail, Bus Éireann and Dublin Bus, €10.83 million to other operators, €1.5 million for the Rural Transport Programme and the remainder was allocated for the cross-border and All-Ireland travel schemes.
The Department does not now provide information on the amount of money paid to each private bus operator for the operation of the Free Travel Scheme by route as it can cause difficulties for the Department’s engagement with those operators who view such information as commercially sensitive. It can also result in some of the Department’s negotiating position been disclosed. The Deputy will appreciate that the Freedom of Information Act 2014 recognises these concerns as it facilitates the withholding of such information under section 30 where the State’s negotiating position could be compromised and under section 36 where the information is of a commercially sensitive nature.
The details of the routes served by each private operator within the Free Travel Scheme have been forwarded to the Deputy by email.
163. Deputy Finian McGrath asked the Tánaiste and Minister for Social Protection the status of the community employment schemes; if there are changes in the policy relating to these schemes; and if she will make a statement on the matter. [42722/15]
View answerFrom January to the end of October 2015, approximately 30,000 people have benefitted from a Community Employment (CE) place, of which 23,876 are currently engaged in around 1,000 separate schemes throughout the country. The budget for CE for 2015 is €373.3 million.
Significant improvements have been made to the operation and governance of CE since 2012 and these continue in 2015. These improvements have taken place in the context of a changing profile of participants on CE in a challenging economic environment.
In the past two years, the Department has introduced a special programme for participants entering CE to work on schemes providing early childhood services. A similar programme is being introduced for participants entering social care services. The conditions of participation for these groups have been adjusted to accommodate participants engaging in FETAC Major Awards at Level 5 which is the basic entry requirement to employment in these sectors. CE participants on these schemes are permitted to remain for up to a maximum of 3 years continuous participation, on annually renewable contracts and subject to satisfactory engagement in the completion of training and work practice. These conditions apply to all CE participants in these streams.
The Department recently launched a new Programme Framework for CE Drug Rehabilitation schemes. The community and voluntary sector and CE sponsoring organisations have made a valuable contribution to the design and content of the programme. Workshops have been provided to CE sponsors and to Departmental staff on the objectives and operation of the Framework which will commence in mid-January 2016. Referred clients can have up to 4 years duration on a rehabilitation scheme and support workers can have up to 3 years continuous participation with annual review provided they are engaged in a relevant major award.
The Department seeks to improve its labour market programmes, including CE, on an ongoing basis.
164. Deputy Michelle Mulherin asked the Tánaiste and Minister for Social Protection the status of an application for a carer's allowance by a person (details supplied) in County Mayo; if it will be expedited. [42726/15]
View answerI confirm that the department received an application for carer’s allowance from the person concerned on 30 October 2015. Once processed, the person concerned will be notified directly of the outcome.
166. Deputy James Bannon asked the Tánaiste and Minister for Social Protection if she will examine an appeal by a person (details supplied) in County Longford to ensure the person is granted a carer's allowance, given the circumstances set out; and if she will make a statement on the matter. [42734/15]
View answerThe Social Welfare Appeals Office has advised me that an appeal by the person concerned was registered in that office on 23 November 2015. It is a statutory requirement of the appeals process that the relevant Departmental papers and comments by the Deciding Officer on the grounds of appeal be sought. When these papers have been received from the Department, the case in question will be referred to an Appeals Officer who will make a summary decision on the appeal based on the documentary evidence presented or, if required, hold an oral appeal hearing.
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.
167. Deputy Róisín Shortall asked the Tánaiste and Minister for Social Protection the remit and purpose of the study she commissioned the London-based Centre for Economic and Social Inclusion to carry out in 2012, at a cost of approximately €190,000 to the taxpayer; the impact of this study on the design of the JobPath programme; if she will publish the study. [42747/15]
View answer168. Deputy Róisín Shortall asked the Tánaiste and Minister for Social Protection further to Parliamentary Question No. 89 of 17 November 2015, the details of the rigorous public procurement process that led to the awarding of the JobPath tenders; her plans to publish the successful bids submitted and the criteria she used in the procurement process to select the companies concerned; and if she will make a statement on the matter. [42748/15]
View answer169. Deputy Róisín Shortall asked the Tánaiste and Minister for Social Protection her views that according to an investigation (details supplied) carried out in the United Kingdom, one of the bidders she selected was the worst performing out of all of the companies engaged in the provision of welfare to work programmes; the implications this has for the company’s operations; and if she was cognisant of this company’s performance when it was selected to operate the JobPath scheme. [42749/15]
View answer170. Deputy Róisín Shortall asked the Tánaiste and Minister for Social Protection her views on the 2012 investigation in the United Kingdom into a company (details supplied), which forms part of one of the JobPath providers, and that alleges widespread and systemic fraud within that company; further to Parliamentary Question No. 89 of 17 November 2015, if she is aware that the investigations into fraud were carried out internally by the company that, according to testimony to the Public Accounts Committee in the United Kingdom, is characterised by unethical behaviour, mismanagement and inadequate corporate governance and risk management. [42750/15]
View answerI propose to take Questions Nos. 167 to 170, inclusive, together.
In November 2012, following a public procurement competition, the Centre for Economic and Social Inclusion (CESI) was appointed to provide the Department with expert advice and assistance relating to the design and delivery of an employment service model (“JobPath”). CESI is the UK’s leading not-for-profit company dedicated to tackling disadvantage and promoting social inclusion in the labour market. Based on its knowledge of how contracted employment services operate in other States CESI provided advice with regard to the design of the JobPath model including detailed financial modelling of a payment by results approach in Ireland. CESI also assisted with the preparation and delivery of presentations at open consultation fora prior to and during the procurement process for JobPath itself, with responding to queries from actual and potential tenderers during the procurement process and with the assessment of tenders, in particular the modelling of contract finances based on the prices and performance offers received from tenderers. Given the nature of the financial analysis I believe that publication of the CESI work would undermine the State’s ability to secure best outcomes from the existing contracts or indeed from any contracts that might be placed in future years. Accordingly I do not plan to publish the analyses provided by CESI.
With regard to the procurement process for JobPath the Department issued a Prior Information Notice (PIN) on 1 July 2013 in which it advised the market that it was considering the potential of contracting third party providers of employment services. The Department held 2 information sessions on 26 July 2013 at which it outlined its thinking in relation to how JobPath might operate and invited attendees to provide feedback. There were over 200 attendees at these sessions. On 7 November 2013 Enterprise Ireland hosted a capacity building and networking event for those interested in providing JobPath services. On 12 December 2013 the Department published a Request for Tenders (RFT). In conjunction with CESI the Department held a “technical information session” on 9 January 2014 at which a detailed explanation was provided to potential bidders on how to complete the “JobPath Tenderer Bid Spreadsheet” which was required to be submitted as part of a JobPath tender. Over 50 attendees were present. The closing date for receipt of tenders was 28 February 2014. Contracts were awarded on the basis of the most economically advantageous tender based on the following criteria (i) cost, (ii) implementation of services, (iii) delivery of services and (iv) contract management and governance. Full details of the JobPath procurement requirements and evaluation criteria used during the tender process are set out in the “Request for Tenders for the Provision of Employment Services (JobPath)”, which is available on the Department’s website at http://www.welfare.ie/en/Pages/JobPath.aspx.
The procurement process was conducted in accordance with Irish and EU procurement rules. The procurement process was overseen by a board that was chaired at Assistant Secretary level and included an independent external member who was formerly a commissioner of a regulatory body. The board was advised by the Attorney General’s Office and the Chief State Solicitor’s Office as well as the National Development Finance Agency. The outcome of the process and the recommendation to award contracts were reviewed with D/PER and the final decision to proceed to contract was made by Government. The successful companies were Turas Nua and Seetec. As is the case with CESI analyses it is not intended to publish the successful tenders as they contain commercially sensitive information and the bid process is confidential. In any event, to do so would place the State at a disadvantage both in terms of the contracts now in place and any future procurement that may be undertaken.
Turas Nua is a new joint venture between FRS recruitment, based in Roscrea, and Working Links, a not for profit UK service provider. It has been acknowledged by Working Links that some members of its staff incorrectly recorded employment and training placement for jobseekers under the 'New Deal', the precursor programme in the UK to the Work Programme. However the Department of Work and Pension (DWP) has publicly stated that the errors occurred in 2008 as a consequence of its heavy reliance on paper-based transactions and that it is satisfied that these cases were investigated thoroughly by Working Links (the amount involved represented less than 0.05% of the payments at the time) and that appropriate actions were taken, with the associated amounts being repaid. DWP has subsequently awarded additional contracts to Working Links.
Seetec was accused of fraudulent activity by former staff members in 2013. This alleged fraud related to claims that Seetec inflated employment outcomes for people with disabilities under the 'Work Choices' programme in the UK (referenced in the May 2014 article). The DWP has publicly refuted these claims and advised the UK’s Public Accounts Committee that it has investigated the claims and found no wrongdoing. The Work Choice programme is designed for persons with disabilities - the clients selected for referral to JobPath do not include such clients.
It is important to note, that neither of the above companies has been sanctioned by the DWP for any fraudulent activity. The Department is however cognisant of experiences in other jurisdictions with regards to the provision of such services and these have influenced the design of JobPath. The Department is satisfied, for example, that the potential for the inflation of outcomes will be controlled in Ireland through the use of data matching with Revenue Commencement of Employment records and the Department’s own welfare payment systems.
Significant safeguards have been built into JobPath. These include a service guarantee to ensure that all participants receive a baseline level of service. Both companies will be subject to regular on-site inspections and audits (including examination of financial records) to ensure that JobPath is delivered in accordance with contractual obligations and the Department will undertake customer surveys to determine the level of jobseeker satisfaction with the services provided by the JobPath provides. As payments are linked to sustained employment outcomes (jobs must provide work of at least 30 hours per week for a period of at least 13 weeks with a maximum of four outcome fees being paid in arrears over a 52 month period) providers are incentivised not just to find, but also to sustain, employment for clients. As part of the bid process providers offered and committed to target employment placement rates and payment penalties can be applied if performance is less than the level committed. Payment penalties can also be applied if service quality, as assessed through Department audits or customer surveys, does not meet required standards. In addition payment rates are linked to employment levels in the economy with automatic discounts being applied if employment levels exceed defined levels set out in the RFT. I am satisfied that these safeguards, that were not a feature of the Work Programme model in Great Britain, protect the State’s interests.
