Written Answers Nos. 1-25
5. Deputy Eamon Ryan asked the Minister for Social Protection if he will review the inequality in the provision of social protection to those under 25 years of age as opposed to those over that age; and if he will make a statement on the matter. [29007/16]
View answerReduced rates for younger jobseeker’s allowance recipients were first introduced in 2009 and were further extended in subsequent budgets and apply to jobseekers under 26 years of age.
These measures were introduced as they were considered to protect young people from welfare dependency by providing young jobseekers with a strong financial incentive to engage in education or training or to take up employment. Should a young jobseeker on a reduced jobseeker’s allowance payment participate on an education or training programme they will receive a higher weekly payment of €160.
Youth unemployment rose rapidly in the recession to over 30% in 2012. According to the CSO's monthly unemployment report, youth unemployment fell to 15.9% last month.
The Youth Guarantee sets a medium-term objective of ensuring that all 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, through earlier and enhanced engagement processes.
Reserved places on a number of programmes and youth-oriented variants of existing schemes have also been rolled out. Overall, young people took up just over 19,000 Youth Guarantee-related programme places in 2015. These numbers exclude an estimated 24,000 places provided for young people through PLC courses and apprenticeships.
Other EU and OECD countries adopt a similar targeted approach in terms of young jobseekers receiving a reduced social welfare payment. The aim is to encourage and support our young people to engage in education and training in order to reduce the risk that they may drift into welfare dependency. For obvious reasons this needs to be avoided as welfare dependency will have severe long term consequences for those affected and for the economy as a whole.
15. Deputy Thomas Pringle asked the Minister for Social Protection his plans to reverse the decision to means-test persons receiving the back to education allowance, BTEA, which was implemented in April 2016 with no notification provided to students; if his attention has been drawn to the fact that local social protection offices are treating part-time work on BTEA in the same manner as they would jobseeker's allowance; and if he will make a statement on the matter. [28752/16]
View answer19. Deputy Bobby Aylward asked the Minister for Social Protection if he will amend the current back to education allowance scheme legislation to take effect from the commencement of the 2016-2017 academic year by introducing a disregard of earnings up to €75 to allow students to earn money from part-time jobs to assist in funding their education; and if he will make a statement on the matter. [28741/16]
View answer26. Deputy Maureen O'Sullivan asked the Minister for Social Protection his plans to reverse the decision to means-test the back to education allowance which came into effect in April 2016; if his attention has been drawn to issues facing persons seeking the grant such as persons working one hour per day over three consecutive days who are considered to be full-time workers; and if there is an education officer to deal with questions employed by his Department for the duration of the year. [28735/16]
View answerI propose to take Questions Nos. 15, 19 and 26 together.
The Back to Education Allowance (BTEA) is a scheme that allows persons in receipt of certain social welfare payments the opportunity to pursue a course of study, while still maintaining their income support. Entitlement to the BTEA is conditional on having an on-going entitlement to the qualifying scheme payment. Changes have been introduced gradually to the BTEA following a review carried out on employment supports schemes in 2012. These changes have only been introduced for new applicants.
From the 2016/2017 academic year, BTEA participants with eligibility based on jobseekers, transitional jobseekers or one parent family payments who engage in part-time work will be assessed in accordance with their primary payment. This measure ensures that only participants who continue to satisfy the means test of their primary payment - or another qualifying BTEA payment - will continue to receive income support under the BTEA and that resources are directed at those most in need of assistance. In effect, this allows jobseekers to participate in a course of education while unemployed and continue to receive an income support equivalent to their jobseeker payment.
The processing of BTEA claims and related queries for people on jobseekers, transitional jobseekers or one parent family payments are dealt with by the relevant INTREO offices. Intreo is the single point of contact in my Department for all employment programmes and income supports and it is designed to provide a more streamlined and efficient approach for jobseekers engaging with the Department.
It is important to note that the BTEA was never intended to be an alternative form of funding for people entering - or re-entering - the third level education system. The Student Universal Support Ireland (SUSI) grant, payable by the Department of Education and Skills, represents the primary support for persons pursuing education. The purpose of the BTEA is to raise educational and skill levels in order to improve a welfare recipient’s employment prospects and the priority for my Department is to ensure that the allowance is focused and targeted at those most in need.
16. Deputy John Brassil asked the Minister for Social Protection if he will review the increase in the rent allowance limit recently announced for County Kerry; the revised limit set for Kerry (details supplied); and if he will make a statement on the matter. [28744/16]
View answer34. Deputy Ruth Coppinger asked the Minister for Social Protection if he will revise the limits for rent supplement in the Fingal area in view of the acute housing and homelessness crisis there; and if he will make a statement on the matter. [28787/16]
View answer48. Deputy Carol Nolan asked the Minister for Social Protection the changes to the rent supplement scheme in County Offaly. [28432/16]
View answerI propose to take Questions Nos. 16, 34 and 48 together.
The rent supplement scheme is supporting some 50,700 tenants at a cost of €267 million in 2016.
The rent limits under this scheme were increased effective from 1 July 2016. The review process undertaken represented a realignment of the maximum rent limits with agreed rents, with rents generally benchmarked against the 35th percentile of those registered with the Residential Tenancies Board. The review’s methodology was conducted in the same manner for all counties, is evidenced based and reflects the pressures on rental properties in each location.
A weighted average increase of some 30% has been applied across both the rent limits previously in place in the Fingal and Non-Fingal areas of Dublin. The review showed that there remained a price differential between Fingal and Non-Fingal Dublin areas though both experienced a uniform increase in overall rental pricing.
In county Kerry and in line with earlier rent reviews, the limits are benchmarked against the major urban centre of Tralee. Rental prices in areas of significant tourist activity in county Kerry are both high in pricing and long term let properties are also in very short supply. Rents in county Offaly were benchmarked against those in the Tullamore and Edenderry areas.
The Deputies will be aware that the Housing Assistance Payment (HAP) scheme is being rolled out and is operational in county Offaly. This support will be available in Kerry by year end and in the Fingal area during 2017.
In recognition of the ongoing difficulties in the rental market, my Department continues to implement a targeted, flexible, case-by-case approach where rents may exceed the maximum limits. This ensures that people at risk of homelessness through the loss of their tenancy continue to be supported under the rent supplement scheme.
17. Deputy Brendan Smith asked the Minister for Social Protection his proposals to amend the legislation and regulations pertaining to eligibility for the State contributory pension in relation to the calculation of the average yearly social insurance contributions which can adversely affect persons who were in insurable employment, left that employment in many instances for family reasons, returned to insurable employment and have their average contributions calculated from the time they first entered insurable employment; if his attention has been drawn to the fact that many persons have been denied the full rate of payment due to this method of calculation; and if he will make a statement on the matter. [28738/16]
View answerThe State pension contributory is one of a number of pensions the State pays to people over 66. The rate of payment to a person is related to the number of contributions made over the years into the Social Insurance Fund by the person.
Entitlement levels are calculated by means of a ‘yearly average’ calculation, where the total contributions paid or credited are divided by the number of years of the working life. Payment rates are banded. For example, someone with a yearly average of 48 contributions will qualify for a full pension, whereas someone with a yearly average of 20 will qualify for a pension at 85% of the full rate.
The homemaker’s scheme was introduced in 1994 to make qualification easier for those who took time out of the workforce for caring duties. It allows up to 20 such years, in the period since its introduction, to be disregarded when their record is being averaged for pension purposes.
Where someone does not qualify for a full rate contributory pension, they may qualify for an alternative payment. If their spouse has a contributory pension, they may qualify for an Increase for a Qualified Adult amounting up to 90% of a full rate pension, which by default is paid directly to them. Alternatively, they may qualify for a means-tested State Pension (non-contributory), which amounts up to 95% of the maximum contributory rate.
It is planned that a total contributions approach will replace the yearly average approach from around 2020, and the position of homemakers will be carefully considered in the context of that reform.
I hope this clarifies the matter for the Deputy.
20. Deputy James Lawless asked the Minister for Social Protection if his attention has been drawn to the lengthy waiting times for carer's allowance applications; the current waiting time on a standard application; his plans to address the waiting times; and if he will make a statement on the matter. [28781/16]
View answerMy Department is committed to providing a quality service to all its customers. This includes ensuring that applications are processed and that decisions on entitlement are made as quickly as possible.
The average waiting time for new carer's allowance (CA) applications at the end of August was 17 weeks. At the end of August, there were 4,834 CA applications awaiting decision. The volume of CA claims on hands are a consequence of continued strong claim intake and the delays in processing are frequently caused by the customer failing to fully complete the claim form or failing to attach the supporting documentation that is requested on the application form.
My Department has introduced a number of measures to address the efficiency of claim processing for CA and hope to have numbers on hand down to around 4k at the end of September.
The position is being closely monitored and kept under review by the Department.
I hope this clarifies the matter for the Deputy.
21. Deputy Willie O'Dea asked the Minister for Social Protection his plans to change the legislation in relation to liable relatives who have moved from the one-parent family payment to the jobseeker's transitional payment; and if he will make a statement on the matter. [28749/16]
View answerThe Family Law Acts, which are under the remit of the Department of Justice and Equality (D/JE), place a legal obligation on parents to maintain their children. In cases where the family unit has broken down these obligations continue to apply and relevant maintenance payments can be arranged either directly between the couple or through supports like the Family Mediation Service, the Legal Aid Board and the Courts. The arrangement of maintenance is therefore a matter between both parents regardless of whether or not either parent is in receipt of a social welfare payment.
The liability to maintain family provisions, contained in social welfare legislation, are separate to, and do not negate or supersede parents’ obligations under Family Law. Where a lone parent is in receipt of the One-Parent Family Payment (OFP), the liability to maintain family provisions provide my Department with a legislative basis to carry out an assessment against the other parent and issue a Determination Order for them to pay a contribution either to the Department or the lone parent.
Where the OFP payment ceases, and the Department had successfully arranged a contribution from the other parent (which only occurs in less than 8% of cases), the Department must inform the other parent that his/her liability to the Department has ceased. The letter does not inform the other parent that s/he is no longer liable to pay maintenance and makes it clear that any existing maintenance arrangements private or otherwise should remain in place. These letters have always issued when the OFP payment ceases.
The Department is currently reviewing the liability to maintain family provisions.
22. Deputy Paul Murphy asked the Minister for Social Protection his views on reviewing the rules regarding the back to education allowance to allow persons to pursue courses that represent a development in their learning, training and career prospects but which may not represent progression as currently implemented under the scheme; and if he will make a statement on the matter. [28792/16]
View answerThe Back to Education Allowance (BTEA) is a scheme that allows persons in receipt of certain social welfare payments the opportunity to pursue a course of study, while still maintaining their income support, subject to satisfying a number of conditions. The conditions include progressing in the level of education held by the client with reference to the national framework of qualifications.
The student universal support Ireland (SUSI) grant payable by the Department of Education and Skills represents the primary support for persons pursuing education. The BTEA was never intended to be an alternative form of funding for people entering or re-entering the third level education system.
Applicants holding a qualification at tertiary education level (certificate, diploma, primary degree or post graduate qualification) are not approved under the BTEA to pursue a course at a similar or lower qualification level. However, the BTEA may be approved if a person holds a HETAC level 8 Honours degree and wishes to pursue a Higher Diploma at HETAC Level 8 as this is considered progression.
There are a small number of situations where the progression rule is not applied. For instance, where a person only holds a FETAC Level 5 or FETAC Level 6, the progression rule can be waived if their previous qualification was obtained three years prior to re-entry into education and provided the person was in employment for a period of at least three years since commencement of employment. The course must also be deemed to enhance a person’s job prospects and the participant must satisfy all other eligibility criteria.
Additionally, Springboard is an initiative to enable jobseekers to upskill or reskill in areas where there are employment opportunities. The BTEA can be approved for a person who holds a qualification equivalent to or higher than the qualification for which the BTEA application has been received for Springboard full-time courses. For example, if a participant already holds a level 8 qualification, they may pursue a level 8 Springboard course.
Overall, it is important to note that the purpose of the BTEA is to raise educational and skill levels so as to improve a welfare recipient’s employment prospects. Progression in education is an important condition of the support provided.
I hope this clarifies the matter for the Deputy.
23. Deputy Mick Barry asked the Minister for Social Protection his views on the work of an agency (details supplied) on behalf of his Department; if he has studied the equivalent role this agency plays in the UK; and if he will make a statement on the matter. [28789/16]
View answerThe company in question – Seetec Limited – has been contracted by my Department to provide an employment service to long-term unemployed jobseekers so as to assist them to secure and sustain full-time paid employment. The service is known as JobPath.
JobPath was designed having regard to international experience of contracted employment services. Participants spend 12 months on JobPath and receive intensive individual support to help them tackle barriers to employment and to assist them in finding jobs. Each person is assigned to a personal adviser who assesses a person’s skills, experience, challenges and work goals. The personal adviser works with the jobseeker to agree a personal progression plan that includes a schedule of activities, actions and job focused targets. Participants are provided with a range of training and development supports. If the jobseeker secures employment they will continue to receive support for at least three months and up to twelve months while in employment.
Seetec has 32 years’ experience in the UK of delivering employability, skills, training and rehabilitation programmes that are designed to support people into sustained employment, education and training or to support rehabilitation. It supports 100,000 clients per annum to address and overcome issues such as unemployment, skills shortages, health conditions, social exclusion and re-offending.
While Seetec provides a similar service for jobseekers in the UK it is important to point out that there are significant differences between the two services. Unlike the UK service, JobPath contracts stipulate a significant number of requirements, including an in-built “Service Guarantee” which means that each jobseeker will be guaranteed a baseline level of service including frequency on meetings with case officers, treatment with courtesy and respect and a transparent complaints process. As part of the contract terms Seetec is subject to penalty payments if it fails to achieve satisfactory scores in independent research on customer satisfaction with its services. Payments are also contingent on Seetec satisfying Department inspectors that it is complying with the terms of its contract and most significantly payments are based in the first instance on Seetec securing sustained employment for its clients with these payments being phased over a 12 month period of employment. Seetec is strongly incentivised therefore to offer a high level of service to its clients.
While the contract is in its early stages of implementation feedback to date is very positive and initial indications, in terms of employment outcomes, are also very encouraging. I am therefore satisfied, at this point in time, that the JobPath service is being delivered in a manner that meets the needs of jobseekers.
24. Deputy Michael Collins asked the Minister for Social Protection if he intends to increase participation in the rural social scheme, RSS, to 4,000 participants given that when the rural social scheme was set up in 2004 it was designed for 4,000 participants but participation was capped at 2,600 participants, with 130 supervisors, and under the programme for Government it states there will be an increase in the numbers of RSS workers (details supplied); and if so, when. [20311/16]
View answerThe Rural Social Scheme (RSS) provides income support for farmers and fishermen who have an entitlement to specified social welfare payments. Eligibility for the scheme is on the basis that the participant is underemployed in their primary activity, either farming or fishing, and that their earnings are insufficient to support their family circumstances. The scheme currently provides work opportunities for 2,600 participants and 130 supervisory staff to provide certain services of benefit to rural communities.
The budget allocated to the RSS for 2016 is €44.3m. This allows the scheme to continue as in previous years but does not allow for the recruitment of additional participants over the numbers stated above.
The appropriate level of expenditure and the number of places on employment schemes, including RSS, will be considered in the context of Budget 2017 and subsequent budgets.
I hope this clarifies the matter for the Deputy.
25. Deputy Bríd Smith asked the Minister for Social Protection the reason means-testing by his Department is done on gross pay and not take-home net pay; and if he will make a statement on the matter. [28756/16]
View answerThe earnings assessed for social assistance means testing purposes generally is based on earnings net of PRSI contributions, superannuation/PRSA contributions and trade union subscriptions. No account is taken in the calculation of any income tax/USC payable on earnings.
The purpose of the current means-testing arrangements is to ensure that the maximum amount of payments go to the people who need them the most. It should be noted that a single person is not liable for income tax if he or she earns €16,500 per annum or less and the equivalent figure for a married couple with one of the couple working is €24,750. USC is payable on earnings above €13,000 per annum, the threshold for payment of the USC having increased significantly over the years, from €4,004 in 2011.
The principal employment supplement payment for families with children is Family Income Supplement. The income test for this scheme is net of all statutory charges including income tax, USC and PRSI.
