I am grateful for the opportunity to raise this issue. It is an issue that seeks to remove an invidious distinction and I am anxious to ensure that VTOS students are treated the same. We have a position where half the students on the VTOS schemes who are one year unemployed qualify for the £25 training bonus. The other half, who are six months unemployed, do not qualify for the training bonus. All students have met the same criterion since entry to the VTOS scheme is contingent on six months unemployment. Having met the same entry requirement, experiencing the same courses and sharing the same commitment to acquire training to enable them to acquire a range of skills including interior design, media skills, video, information technology, design technology, general studies, languages, computers, etc. which will enable them become valuable members of the workforce in the future, one group of people qualify for the training bonus of £25 to which participants in VTOS schemes became entitled to on 1 September last.
The bonus of £25 is welcome. It is good thinking to give a positive incentive to people to participate in VTOS schemes, yet it is significantly damaging to suggest to people who are experiencing the same courses with the same teachers in the same circumstance that they should have been unemployed for 12 rather than six months to get this training bonus.
Another point which appears to be patently absurd is the fact that if the students who are disqualified from the £25 training bonus, instead of coming on to the VTOS scheme, had stayed unemployed for six additional months, they would qualify for the additional £25 training bonus. Where is the incentive in that to return to work?
One might argue that this is a bureaucratic fallout from another aim, namely that FÁS and VTOS participants be treated equally. VTOS is specifically structured with definite subjects aimed at a particular outcome. This is an invidious distinction. This week someone who has had his or her taxability level raised from £100 to £110 stands to make a net benefit of £3.50. I hope that when the talks conclude between the partners that will significantly change. That must happen if we are to create an incentive for people to return to the workforce.
VTOS participants are people who have made a very serious commitment. I have received a number of signatures, not merely from the participants affected by this distinction but also from those who are in receipt of the benefit and from their teachers across a wide range of skills and disciplines. The cost of treating all participants equally is not significant. Those who qualify for the bonus were informed on 11 November that the bonus would be backdated to 1 September. Unfortunately, this issue will tend to divide students who are already quite vulnerable. I greatly admire the commitment of the students and their teachers.
The scheme is an attempt to give people a lift and I appeal to the Minister of State to consider the removal of the existing anomaly. It is not sufficient to state that because this inequality applies in regard to FÁS, it should have a knock-on effect on VTOS. Even if the Government is waiting to deal with FÁS schemes under the Social Welfare Bill, would it not be possible to treat VTOS students equally in terms of the £25 training bonus? I am sure that would be welcomed on all sides of the House.
