Consistent with the vision for all people of working age as set out in the Government's recently published national action plan for social inclusion 2007-16 and bearing in mind the 2010 EU level target participation rate for older workers of 50%, which was agreed by the European Council under the Lisbon strategy, unemployed people aged 55 to 64 years have been included within the scope of the national employment action plan since July 2006. Those who are approaching three months on the live register are referred to FÁS for interview and access to the full range of supports available under the plan.
The back to education allowance, BTEA, is a second chance education opportunities scheme designed to encourage and facilitate people on certain social welfare payments to improve their skills and qualifications and, therefore, their prospects of returning to the active workforce. This is essentially a social welfare replacement income which is paid at a standard weekly rate instead of the relevant qualifying social welfare payment. The eligibility criteria for participation in the scheme are considered reasonable and targeted to ensure that resources reach those most in need of support. If a person is in receipt of BTEA prior to reaching pension age, the annual cost of education allowance, which is €400, may continue in payment beyond pension age during the remainder of the course of study.
Since 2003, the employer PRSI exemption scheme has been aligned directly with the back to work allowance scheme. The scheme exempts employers from their share of the PRSI contribution in respect of recipients of the back to work allowance for the first two years of employment. Back to work allowance is payable to long-term unemployed people over 55 years who are returning to work and consequently the PRSI exemption scheme also applies to this age group.
FÁS training programmes are open to people who are over 65 years of age. They are not a target or priority group but they are eligible to apply and be considered for participation. In addition, FÁS evening courses are available to people over 65 years, as are courses provided through FÁS eCollege. To encourage and facilitate those who wish to continue in employment after pension age, the new enhanced State pension, non-contributory, for those over 66 years which I introduced at the end of September 2006, featured an employment earnings disregard incentive of €100 per week. I was happy to enhance this incentive to €200 per week in Budget 2007.
