Written Answers. - Social Employment Scheme Participants' Earnings.
Brendan Howlin
Ceist:
71
Mr. Howlin
asked the
Minister for Social Welfare
if his attention has been drawn to the fact that a person (details supplied) in County Wexford whose wife is participating in a social employment scheme at present will incur a loss of household income amounting to £13.50 per week unless he withdraws his claim for unemployment assistance; if his attention has further been drawn to the fact that the withdrawal of his unemployment assistance claim will effectively deny him long term claimant status and the opportunity to qualify for participation in a social employment scheme at a future date; if he will outline his views on the extent to which this practice artifically reduces unemployment figures; if he has satisfied himself that the practice of including a spouse's personal earnings from work on a social employment scheme in the means assessment of an unemployment assistance claimant is fair and equitable; and if he will make a statement on the matter.
The person concerned has been in continuous receipt of unemployment assistance since 1987. His wife claimed assistance in March 1990.
The basic provisions in this regard were first provided for in the Social Welfare No. 2 Act, 1985. This provides that where both of a couple are entitled to unemployment assistance each of them is entitled to be paid one-half of the amount that would be payable if the other were his or her adult dependant.
From March 1990 until February 1991, the person concerned was entitled to half the long term rate for a person with an adult dependant and three dependant children, of £58. His wife was in receipt of half the short term rate for a person with an adult dependant and three dependant children, or £54.50. Their combined payment was £112.50.
His wife started a social employment scheme course (SES) on 23 February 1991 and is being paid at the rate of £85.50 per week being the personal rate plus half rate increases for three dependent children.
The legislation on the assessment of means stipulates that the estimated value to the household of all income earned by a claimant or by his spouse be taken into account as means. The person concerned was advised that his wife's SES income would, under the legislation have to be assessed as means against him and that it would be more beneficial to them if he were to cease claiming unemployment assistance and his wife were to claim for him and their three children at the full SES rate. To date he has not chosen this option.
If he withdraws his unemployment assistance claim his wife will become entitled to a weekly SES payment of £131.50. If he continues with his unemployment assistance claim he will be assessed with the benefit of his wife's SES income and will be entitled to assistance of £40.50 per week which together with his wife's weekly SES income of £85.50 totals £126.00 or £5.50 less than if he were treated as a dependant of his wife on her SES claim.
From 24 April the person concerned was paid at the rate of £32.50 per week. His rate of payment should have been £40.50 per week and this error is regretted. The amount underpaid is being issued to him.
Should the person concerned cease claiming unemployment assistance he will be entitled to renew his claim at the long term rate provided he does so within 52 weeks. This is a result of an improvement which I introduced in the Social Welfare Act of 1991. Persons entitled to unemployment assistance at either the long or short term rates are eligible to participate in social employment schemes.
The advice offered to couples by the Department regarding the most beneficial way to maximise their income from unemployment assistance-SES payments is without prejudice to the right of spouses of SES participants to sign the unemployed register for unemployment assistance purposes if they so choose.
