Vol. 481 No. 5
8 Mr. Gilmore asked the Minister for Social, Community and Family Affairs the proposals, if any, he has to make pensions available to all women, regardless of whether they are in the workforce or working at home; and if he will make a statement on the matter. [16435/97]
In 1994 special arrangements were introduced designed to ensure that home makers do not suffer a loss of pension entitlement because of time spent full time at home looking after a child or caring full time for an elderly or incapacitated person. From 6 April 1994, time spent working in the home rearing young children up to six years of age or caring for an incapacitated person is disregarded for the purpose of calculating the yearly average condition in determining entitlement to contributory old age pension. A maximum of 20 years may be disregarded.
The 1996 Social Welfare Act provided for an increase in the age of children being cared for under this scheme from six to 12 years. This improvement is effective from the contribution year 1995-96 onwards. It is estimated that up to 250,000 people could qualify for disregards under this scheme.
I recently announced the introduction of new pro rata pensions so that in future people who pay social insurance for a reasonable period of time will qualify for an old age contributory pension. From November of this year a yearly average of between 15 and 19 contributions will give a pension of 75 per cent of the maximum rate, while an average of between 10 and 14 will give a pension of 50 per cent of the maximum rate. To qualify a person will also need to have a minimum of 260 paid contributions. This measure will be of benefit to many women contributors who have gaps in their insurance due to working in the home looking after a child, or caring full time for an elderly or incapacitated person and because of this have a diluted yearly average.
The payment of a pension to all women, regardless of their social insurance record, would be very costly and could only be considered in a budgetary context.
The general question of pension provision, both social welfare and occupational, arises for consideration in the context of the national pensions policy initiative. A report from the Pensions Board, including recommendations, is expected by the end of the year.
I am not sure whether this is another broken promise because——
A question please, Deputy.
——the disregards the Minister referred to were introduced more than ten years ago. The pro rata pensions to which he referred were introduced in the last budget by the previous Government yet the Minister is on record as promising pensions for all women. Evidence has been produced by the ESRI that there is a growing number of elderly single women living alone in poverty. Will the Minister agree there is an urgent need to address the question of pensions for women, particularly women living alone, and that the current disregard scheme is completely inadequate and will not come into effect for many years? Nobody can benefit from that scheme for at least another 20 years.
I think the Deputy is saying there should be a universal pension irrespective of social insurance record, yet no effort was made in this regard when he was in Government. We are currently examining the question of home makers and the possibility of extending that scheme.
On the contrary——
Deputy De Rossa, it is now two minutes past 4.15 p.m. and I am obliged to move on to Matters on the Adjournment.
I suggest the Minister look into the whole home makers scheme to ensure——
I believe we have set a new record in only reaching Question No. 8.
That is the Deputy's fault. He asked the questions.
The answer to Deputy McCormack's question is in the hands of the Members.
May Questions Nos. 10 and 28 in my name be postponed to the next day the House is dealing with social welfare questions?
Questions Nos. 10 and 28——
And Question No. 49.
——and Question No. 49 to be withheld until the next day questions are answered orally in the House.
I have two questions I would like to have deferred. What is the normal procedure for that?
The Deputy can apply directly to the General Office.
I would like Questions Nos. 2 and 47 to be withheld.
Questions Nos. 2 and 47 to be withheld also.
