The contribution conditions for unemployment benefit, UB, qualification that a person must have are at least 39 reckonable PRSI weekly contributions paid between the date of entry into insurable employment and the date the claim is made; and at least 39 reckonable contributions paid or credited in the governing contribution year, GCY, or at least 26 reckonable contributions paid in both the GCY and the year immediately preceding the GCY. The GCY is defined as the second last complete contribution year before the benefit year in which the claim is made. There is no requirement to pay 26 contributions every year in order to qualify for UB.
As part of a number of measures announced at the time of the publication of the Estimates for 2004, from 5 April 2004, all new claims will require at least 52 paid contributions since the date of entry into insurable employment to qualify for unemployment benefit.
Furthermore, provisions included in the 2004 Estimates for social welfare spending included the introduction of an upper limit of €300 on weekly earnings by a spouse, for entitlement to child dependant allowance in respect of all unemployment benefit claims.
Child dependant allowance, CDA, is an additional weekly payment made to social welfare recipients, including those on unemployment benefit, in respect of each qualified child dependant. A full CDA rate of €16.80 is payable to recipients of unemployment or disability benefit together with a qualified adult allowance where the spouse's gross weekly earnings do not exceed €210.
The new measure continues to provide for payment of half rate CDA where the gross income of the spouse exceeds €210 but for withdrawal of payment where it exceeds €300 per week. Prior to this, half rate CDA would have continued in payment regardless of the spouse's earnings.
The practice of linking spousal earnings and the withdrawal of increases for dependants has been in place for a number of years in the form of a reduced qualified adult allowance and payment of half rate CDA. This new measure extends the practice by applying, for the first time, an upper income limit for receipt of CDA.
It should be noted that the new measure will only take effect where there is a minimum family income equivalent to €22,600 or more per annum when the social welfare personal rate of €134.80 and earnings are combined. Where there is a non-earning or lower earning spouse, CDA entitlements remain unchanged.
As the measure applied from 19 January, people already receiving half rate CDA on that date with a spouse earning more than €300 are not affected by this measure while they remain in continuous receipt of the existing payment. These measures are not expected to have a disproportionate impact on people in seasonal employment or in the fishing industry. It is estimated that the majority of claimants affected are those with a spouse or partner in full-time employment and earning considerably in excess of the €300 threshold. The measure enables available resources to be directed towards lower income families.