Dáil Éireann díospóireacht -
Tuesday, 11 Apr 2000

Vol. 517 No. 6

Written Answers. - Social Insurance.

John Bruton

Ceist:

99 Mr. J. Bruton asked the Minister for Social, Community and Family Affairs the plans, if any, he has for the introduction of a fully inclusive social insurance model which would facilitate combining work and family responsibilities in the context of changing working and social patterns in accordance with a commitment given in Framework 3 of the Programme for Prosperity and Fairness. [8699/00]

Minister for Social, Community and Family Affairs (Mr. D. Ahern):

The Programme for Prosperity and Fairness contains a commitment to establish a working group to produce proposals for the development of a fully inclusive social insurance model which would facilitate combining work and family responsibilities in the context of a changing work environment. This is one of a number of commitments in the programme in relation to examining different aspects of the social insurance system, and I will be looking at how to phase these different projects over the duration of the programme.

In addition, I have asked my Department to bring forward proposals in relation to pensions for women who have taken time out from work because of caring responsibilities in the home.

The social insurance system already has a number of features which enable people to combine work and family responsibilities. There are some benefits which assist people in combining work and family responsibilities. Maternity benefit has been part of the system since its inception. Adoptive benefit was introduced in April 1995. In the Social Welfare Act recently passed by the Oireachtas I have introduced a new benefit which develops this area further – carer's benefit. The new benefit, which will come into operation next October, will enable those workers who take time out to care for ill or incapacitated persons to receive a social insurance payment.

This is an innovative development of the social insurance system as it introduces cover for a contingency which was not covered to date. Carer's benefit, allied with the proposed statutory carer's leave entitlements, will therefore enable workers to combine their working requirements with their responsibilities to care for others.

As regards contributions, a number of arrangements are already in place which cater for the position of former contributors who have had to leave the workforce for homemaking purposes. Former contributors can opt to pay voluntary contributions. These contributions provide continuing cover for the pensions which the employee or self employed contributor was covered for when working. There are also special arrangements for homemakers which enable persons who work in the home to qualify for an old age contributory pension. From April 1994, contribution years spent out of the workforce caring for children up to the age of six, increased to age 12 from April 1995, or incapacitated people may be disregarded for the purpose of establishing the yearly average number of contributions for old age contributory pension purposes. A maximum of 20 years can be disregarded in this way.

I will consider proposals for the further development of the social insurance system in the light of the recommendations of the working group to be established under the Programme for Prosperity and Fairness.