Dáil Éireann Debate, Thursday - 24 October 2019
327. Deputy Willie O'Dea asked the Minister for Employment Affairs and Social Protection the estimated full-year cost of allowing lone parents in employment whose children are aged between seven and 14 years of age to receive both jobseeker's transition payment and the working family payment; and if she will make a statement on the matter. [44089/19]
View answerMy Department provides a number of options for income support to lone parents once their entitlement to the One-Parent Family Payment (OFP) ceases. These include the Jobseeker’s Transitional Payment (JST) payment where the youngest child is aged 7-13 years (inclusive), and the Jobseeker’s Allowance (JA) payment which may be paid to lone parents where the youngest child is aged 14 or over. The Working Family Payment (WFP), is also available to lone parents who are working 19 or more hours per week. Lone parents who move to Working Family Payment may also apply for the Back to Work Family Dividend (BTWFD).
The concurrent payment of Jobseeker’s Transitional Payment and Working Family Payment may contradict the policy goal of the changes to the One-Parent Family Payment scheme introduced since 2015, which were to tackle long-term social welfare dependency - and its associated poverty risks - through a tapering of income supports and a more active engagement process offering enhanced educational, training and employment supports. Concurrent payment of Jobseeker’s Transitional Payment and Working Family Payment would also introduce a steep financial "cliff" for lone parents when their youngest child reaches 14 years of age and they potentially move to Jobseeker’s Allowance.
Lone parents currently on Jobseeker’s Transitional Payment who increase their working hours to 19 or more per week can transfer from Jobseeker’s Transitional Payment to Working Family Payment.
I am advised that it is difficult to estimate the cost of paying Jobseeker’s Transitional Payment and Working Family Payment concurrently to lone parents with children aged between 7 and 13 with any accuracy as the potential inflows where lone parents would be incentivised to increase their hours to 19 in order to qualify for both payments would have to be considered and this is not possible to quantify.
