With effect from July 1992, the circumstances in which an applicant may be disqualified from receiving unemployment benefit for a number of weeks were broadened to include persons who, on termination of employment, receive severance payments in excess of a prescribed amount.
This measure was considered necessary to counter situations where the social insurance fund could, in effect, be used as a top-up for substantial redundancy packages which, in some cases, also involved seasonal work for fixed periods in subsequent years.
The present position is that a person receiving a redundancy payment of more than £12,000 may be disqualified from receiving unemployment benefit for up to nine weeks and the overall duration of entitlement to that benefit of 15 months is reduced accordingly.
As I have already indicated, it is my intention to have the policy measures introduced last year reviewed with particular reference to their impact on certain categories of social welfare recipients. Any decision relating to these measures would have financial implications which would have to be considered in a budgetary context.