The students summer jobs scheme was first introduced in 1993 to provide income support for less well off students who were disqualified under social welfare legislation from receiving unemployment assistance during the summer months. The scheme operated this year from 1 June to 30 September and approved students were allowed undertake 200 hours work at £3, 3.81, per hour, giving a possible total tax free payment of £600, 761.84. In order to focus resources where the need is greatest, students who came from a household which is dependent on social welfare payments were entitled to an extra £1, 1.27 per hour worked, providing for a maximum payment of £800, 1,015.79, in their case.
The scheme is operated through sponsors who are approved by my Department to carry out work under the scheme and it is up to each sponsor to recruit qualified students under the scheme. Payments in respect of work done are normally made directly to the sponsors who then reimburse the students involved. Payment arrangements for students are a matter to be decided between the sponsor and the student. Sponsors are advised that they have an obligation to pay the students on a weekly basis. However, with the consent of the student, alternative arrangements can be made. Some students may indicate a preference for payment in a lump sum at the end of the scheme. Students are always advised to discuss the working arrangements and payment arrangements with the sponsor before commencement of any work.
Many sponsors pay the students from their own funds and then claim reimbursement when the scheme is finished. For accounting and audit purposes each reimbursement form must be signed by two officials from the sponsor organisation and must be accompanied by a signed declaration from the student verifying the hours worked. This information is also necessary in order to pay the extra payment due to some of the students.
Sponsors were requested this year to submit claims for reimbursement before 12 October 2001. However, some sponsors did not comply with this deadline and this has contributed to the delay. In addition many of the reimbursement applications were found to be incomplete this year and were returned for clarification, thus causing further delay. A particular problem arose this year due to the need to upgrade the payments system in preparation for the introduction of the euro. Payments could not be issued during the course of the upgrade, which was done in November, when many student summer job scheme payments are paid. A backlog arose as a result, and this is now being cleared. I regret the delays which occurred. My Department is working hard to ensure that all outstanding payments are issued as a matter of priority.