Léim ar aghaidh chuig an bpríomhábhar
Gnáthamharc

Tuesday, 5 Feb 2013

Written Answers Nos. 385 - 409

Departmental Expenditure

Ceisteanna (385)

Thomas Pringle

Ceist:

385. Deputy Thomas Pringle asked the Minister for Jobs, Enterprise and Innovation if he will outline in tabular form the total cost of all conferences and seminars attended by his Department in 2012; the purpose of each conference/seminar; the location; the number of delegates that attended from his Department/agencies or otherwise that were represented; the total cost of each conference/seminar; and if he will make a statement on the matter. [5639/13]

Amharc ar fhreagra

Freagraí scríofa

There are strict procedures governing the approval of attendance at seminars/conferences by staff of my Department. These include that the topic of the event must be directly relevant to the officer's official duties and the numbers attending must be kept to a minimum. Prior approval of attendance must be given by the officer's Principal Officer (or higher) and by the Department's Learning & Development Unit.

In relation to attendance by staff of my Department, the details requested by the Deputy are given below. The title of the conference/seminar in each case indicates its purpose. I have referred this question to all State Agencies under the aegis of my Department for direct reply to the Deputy.

Seminars/Conferences attended by staff of DJEI in 2012

Name of Conference/Seminar

Number of Dept. staff who attended

Location

Cost

Variations to Marketing Authorisations

1

London

€504.44

Irish Corporate Law Forum: Key developments in Corporate Governance Policy & Practice

2

Dublin

€220.00

Effective Training Needs Analysis

1

Dublin

€395.00

Fundamentals of Euro Claim Drafting

1

London

€972.65

Academy of European Law:  Seminar on European Competition Law

1

Trier

€588.60

Irish Society for European Law: Seminar on Competition Amendment

2

Dublin

€40.00

Institute of Trade Mark Attorneys: Webinar

1

Dublin

€68.87

Irish Corporate Law Forum: Company Law Compliance & Enforcement

1

Dublin

€475.00

Courtroom Skills

1

Dublin

€295.00

Supplementary Protection Certificate Seminar hosted by Irish Patents Office - Venue cost

 

Dublin

€1,344.00

Industrial Relations News: Annual Conference

9

Dublin

€2,760.00

Academy of European Law:  Annual Conference on European Labour Law

1

Trier

€426.60

Name of Conference/Seminar

Number of Dept. staff who attended

Location

Cost

Law Society of Ireland: Draft Companies Bill

10

Dublin

€2,400.00

Institute of Internal Auditors: Annual Conference

1

Dublin

€300.00

Irish Exporters Association: Annual Conference

1

Dublin

€85.00

Annual European Law Conference

1

Dublin

€225.00

A new era for data protection

4

Dublin

€790.27

The future of HR in the Public Sector

2

Dublin

€455.10

Data Protection  & Compliance

5

Dublin

€1,725.00

eProcurement & eInvoicing in Ireland

2

Dublin

€430.50

Current fundamental Issues in Employment Law

5

Dublin

€895.50

Union of European Practitioners in Intellectual Property: Non-Patent Intellectual Property Protection in Europe

1

London

€210.40

European Employment Forum

1

Brussels

€508.20

European Patents Office: Patent Information Conference

1

Hamburg

€570.00

Annual Conference on Public Reform & Economic Recovery

1

Dublin

€175.50

Name of Conference/Seminar

Number of Dept. staff who attended

Location

Cost

Senior Management Conference

116

Dublin

€2,043.60

Irish Small Medium Enterprises: Annual Conference

1

Dublin

€0.00

Total

173

 

€18,904.23

The following conferences/seminar was attended by LRC as follows:

Name of Conference/Seminar

Number of Dept. staff who attended

Location

Cost

IRN (Industrial Relations)

4

Dublin

€1,180.00

Mediators’ Institute of Ireland

1

Dublin

€355.00

Total

5

 

€1,535.00

Staff members attended the conferences for the purposes of information gathering and to keep abreast of developments in the industrial relations/mediation areas.

Consumer Protection

Ceisteanna (386)

Nicky McFadden

Ceist:

386. Deputy Nicky McFadden asked the Minister for Jobs, Enterprise and Innovation if the Directive 2011/83/EU on consumer rights will be implemented in relation to consumer purchases over the internet; if the issue of excessive payment charges and hidden charges will be dealt with in the Directive; and if he will make a statement on the matter. [5816/13]

Amharc ar fhreagra

Freagraí scríofa

Member States are required to adopt legislation giving effect to all of the provisions of Directive 2011/83/EU on Consumer Rights, including those relating to purchases over the Internet, by 13 December 2013. They are further required to apply those measures from 13 June 2014.

Shortly after the adoption of the Directive, I stated my intention to give early effect to the provisions of Article 19 on fees for the use of means of payment and Article 22 on additional payments. To this end, my Department issued a consultation paper on the implementation of the two Articles in September 2012. One of the issues raised by the consultation has required my Department to seek legal advice from the Office of the Attorney General and the European Commission. Subject to the satisfactory resolution of the legal issue concerned, it remains my intention to introduce Regulations to give early effect to Articles 19 and 22.

Public Sector Pensions Data

Ceisteanna (387)

Willie O'Dea

Ceist:

387. Deputy Willie O'Dea asked the Minister for Jobs, Enterprise and Innovation the number of former public servants recruited before 6 April 1995 who are currently receiving a public sector pension including both pensions funded by the Exchequer and through the Local Government Fund, and those pension schemes for which he has responsibility; the age profile of those public servants; if he will provide in tabular form the numbers of public sector pensioners in the following parameters between €1,000 intervals up to €20,000 and those on more than €20,000. [5894/13]

Amharc ar fhreagra

Freagraí scríofa

The Labour Court (Members) Superannuation Scheme has 8 pensioners recruited pre 1995 currently in receipt of pensions. They range in age from 63 to 84. Their pensions are in the following parameters:

Price

Amount

€15,000 - €16,000

1

€17,000 - €18,000

1

€20,000 +

6

The Competition Authority (Chairman and Members’) Superannuation Scheme, 1996 has 3 pensioners recruited pre 1995 currently in receipt of pensions. They range in age from 62 to 71. All 3 are in receipt of pensions in excess of €20,000 per annum.

The Agencies under the aegis of my Department have been requested to respond directly to Deputy O’Dea.

Microenterprise Loan Fund Applications

Ceisteanna (388)

Tom Fleming

Ceist:

388. Deputy Tom Fleming asked the Minister for Jobs, Enterprise and Innovation the number of small firms in County Kerry that have applied for the micro finance scheme loan fund; and the number of those businesses that have been approved for funds to date. [5946/13]

Amharc ar fhreagra

Freagraí scríofa

Loans of up to €25,000 are available to microenterprises with viable business plans and repayment capacity that have been refused access to credit from the banks. MFI is conscious of the need to promote the availability of its funds to small and medium sized enterprises and will be embarking on a media campaign to raise awareness of the Scheme across the country.

Quarterly progress reports for 2013 will be available on the MFI website www.microfinanceireland.ie.

Details of applications received by Microfinance Ireland in Kerry for the first three months of operation and the status of each application are as follows:

Applications as of 31 st December 2012

Microfinance - Kerry

-

-

-

-

-

County

Received

Approved

Declined

Work in Progress

Withdrawn

Kerry

2

1

0

1

0

Employment Rights

Ceisteanna (389)

Brendan Griffin

Ceist:

389. Deputy Brendan Griffin asked the Minister for Jobs, Enterprise and Innovation if any disciplinary action taken against an employee working in the private sector who presents a sick certificate to explain their absence is legal and justified; and the safeguards in place to protect the employee. [6068/13]

Amharc ar fhreagra

Freagraí scríofa

Best practice for employers seeking to manage employee absence includes putting in place clear, written guidelines to cover situations when an employee is unavoidably absent from work due to illness. Such guidelines should specify how and when the employee should inform the employer of his/her absence; the circumstances in which an employee must provide a certificate from a medical practitioner; whether the employee can be referred to the employer’s occupational health advisors etc.

In circumstances where employees absent themselves from work on grounds of illness but fail to comply with an employer’s documented guidelines, they can reasonably expect to be subject to their employer’s disciplinary procedures. It is also the case that employees who are frequently absent from work through illness or who are on extended sick leave, even when they adhere to the employer’s notification requirements, may be liable to disciplinary action up to and including dismissal. However, employees are afforded significant protection against unreasonable disciplinary action and dismissal through the provisions of employment legislation including the Employment Equality Acts, the Unfair Dismissals Acts and the Industrial Relations Acts.

If an employee believes he or she has been unfairly disciplined or dismissed in any circumstances, including those referred to in the Deputy’s question, that employee, having exhausted the employer’s internal procedures, may refer a complaint to the State’s employment rights dispute resolution machinery. This machinery currently includes the Early Resolution Service (ERS), the Rights Commissioner Service, the Equality Tribunal, the Labour Relations Commission, the Labour Court and the Employment Appeals Tribunal.

Child Care Services Provision

Ceisteanna (390)

Nicky McFadden

Ceist:

390. Deputy Nicky McFadden asked the Minister for Social Protection if she will provide an update on the policy to provide more than 6,000 after-school childcare places in primary schools for children of low-income parents who are taking up employment or training; and if she will make a statement on the matter. [5810/13]

Amharc ar fhreagra

Freagraí scríofa

As part of the package of measures in Budget 2013, I announced, along with Minister for Children and Youth Affairs, Frances Fitzgerald, a joint after-school child care initiative between both of our Departments.

The new scheme will provide approximately 6,000 afterschool childcare places for eligible clients of my Department. It will be targeted to support those who engage in my Department’s activation process and who enter into employment. The places will be limited to low income families with children aged 4 to 12 years in primary school.

This initiative is targeted at families that are most in need at a critical time in their progression into employment. By offsetting some of the childcare costs associated with availing of an employment opportunity, the aim of the scheme is to encourage more individuals to take up employment. This in turn will improve their economic and social well-being.

The new scheme will build on the existing supports provided by the Department of Children and Youth Affairs in the child care sector, including the Community Childcare Subvention (CCS) and the Childcare Education and Training Support (CETS) schemes, through which child care is provided at reduced rates. My Department is working closely with officials from Department of Children and Youth Affairs to fully define the scheme. It is intended to launch the scheme on a phased basis – commencing with an initial pilot in the coming months.

Job Initiatives

Ceisteanna (391)

Nicky McFadden

Ceist:

391. Deputy Nicky McFadden asked the Minister for Social Protection when the plus one initiative will come into effect in place of Revenue job assist; if she will outline the details and eligibility for the new initiative; and if she will make a statement on the matter. [5811/13]

Amharc ar fhreagra

Freagraí scríofa

One of the disruptive reforms under the Action Plan for Jobs suggests that the existing employer job PRSI exemption and Revenue job assist schemes be replaced by a single scheme which is simplified, easier to administer and targeted at the long term unemployed. Senior officials in my Department, in conjunction with colleagues from other relevant Departments, are engaged in on-going discussions on proposals for consideration by Government. I expect these proposals to be finalised shortly.

Question No. 392 withdrawn.

Community Employment Schemes Funding

Ceisteanna (393)

John Deasy

Ceist:

393. Deputy John Deasy asked the Minister for Social Protection if she will provide an update on her plans to introduce in 2013 a community employment-type scheme to assist councils in the upkeep of the country’s rural roads network; and if she intends to expedite such a scheme in view of the numbers of tourists expected to travel on Irish roads during The Gathering. [5979/13]

Amharc ar fhreagra

Freagraí scríofa

The Government, as part of the Budget package for 2013 announced a number of initiatives focused on providing work opportunities for those currently unemployed. The key elements of this package are to add an additional 2,500 places to JobBridge; 2,000 places on community employment; 2,500 to Tús – the community work placement initiative - and the development of a new initiative with local authorities to provide 3,000 opportunities in 2013. This is in line with the commitments set out in the Action Plan for Jobs and Pathways to Work.

The design of the local authority initiative and the nature of work to be undertaken will be determined by local authorities with the input of a range of stakeholders, including those bodies responsible for the delivery of other schemes funded by the Department of Social Protection. Development work on this new initiative has commenced with the local authorities and I hope to be in a position to agree a number of pilot projects to inform the design of this important initiative in the coming weeks.

Social Welfare Code

Ceisteanna (394, 395, 426)

Brendan Griffin

Ceist:

394. Deputy Brendan Griffin asked the Minister for Social Protection the progress that has been made since my previous question in relation to Social Protection benefits for self-employed persons whose businesses fail or suffer from reduced demand; and if she will make a statement on the matter. [5061/13]

Amharc ar fhreagra

Brendan Griffin

Ceist:

395. Deputy Brendan Griffin asked the Minister for Social Protection the progress that has been made to make social protection payments more easily and readily accessible to self-employed persons who do not have constant/continuous employment and may be working for a week and off for two weeks; and if she will make a statement on the matter. [5062/13]

Amharc ar fhreagra

Brendan Griffin

Ceist:

426. Deputy Brendan Griffin asked the Minister for Social Protection her views on whether the current system of social protection benefits for self-employed people whose businesses fail or suffer from reduced demand is a fair response to the economic contribution made by these persons in the past; her views on whether the current system adequately rewards their contribution to the State in the areas of income tax, prsi, vat, employment provision and economic activity stimulation; her views on whether the current system discourages entrepreneurship because of a lack of a safety net for those considering self-employment; and if she will make a statement on the matter. [5288/13]

Amharc ar fhreagra

Freagraí scríofa

I propose to take Questions Nos. 394, 395 and 426 together.

Self-employed persons are liable for PRSI at the Class S rate of 4% which entitles them to access long-term benefits such as State pension (contributory) and widow's, widower's or surviving civil partner's pension (contributory). Ordinary employees who have access to the full range of social insurance benefits pay Class A PRSI at the rate of 4%. In addition, their employers make a PRSI contribution of 10.75% in respect of their employees, resulting in the payment of a combined 14.75% rate per employee under full-rate PRSI Class A. (For employees earning less than €356 per week, the rate of employer’s PRSI is 4.25%).

In 2011 I established the Advisory Group on Tax and Social Welfare to meet the commitment made in the Programme for Government. The Advisory Group is charged with, inter alia, examining and reporting on issues involved in providing social insurance cover for self-employed persons in order to establish whether or not such cover is technically feasible and financially sustainable.

The Advisory Group’s overall method of working is based on producing modular reports on the priority areas identified in the Terms of Reference. Where possible, the aim is to provide recommendations that can be acted upon in time for the annual budget, estimates and legislative cycle and to allow the Government to best address its commitments under the EU-IMF Programme of Financial Support. The Group has been considering the issue of social insurance coverage for the self-employed and will submit its report once its examination of the various questions has been completed.

The third Actuarial Review of the Social Insurance Fund, as at 31 December 2010, was completed by consultants KPMG in June 2012 and laid before each House of the Oireachtas on 24 August 2012. The Review covers a 55 year period from 2011–2066 and builds on the findings of the 2000 and 2005 Actuarial Reviews of the Fund.

The Report of the Review did not analyse the economic contribution generally of the self-employed, or indeed any other group, vis-à-vis their entitlements to benefits under the social insurance scheme as these benefits are linked to the level of contributions made. The report of the Actuarial Review found that the effective annual rate of contribution, or the required contribution as a percentage of salary, needed to provide the core full-rate State pension (contributory), which is the benefit currently available to self-employed contributors, is approximately 15%. This compares favourably with the 4% rate currently paid by the self-employed. Therefore in terms of the pension entitlements, the report concludes that the self-employed achieve very good value for money in terms of the PRSI contributions paid.

The Review also addressed the long-term cost implications to the Social Insurance Fund (SIF) and the break-even contributions rates required to provide invalidity pensions to the self-employed and to provide jobseeker’s benefit for self-employed workers. The Review found that an incremental increase in contribution rates from approximately 15% to 16% would be required if jobseeker’s benefit in addition to core State pension (contributory) is provided. The average contribution rate required for the core State pension (contributory) plus jobseeker’s benefit and the invalidity pension is estimated to be in the region of 17.3%.

Any proposals to revise the social insurance system for self-employed persons by extending social insurance entitlements will have to be considered in a budgetary context, taking account of the finding of the Actuarial Review that the self-employed achieve very good value for money compared with the employed – when the comparison includes both employer and employee contributions in respect of the employed person.

Self-employed workers whose businesses fail or suffer from reduced demand or who do not have constant or continuous employment, may access social welfare support by establishing entitlement to assistance-based payments such as jobseeker’s allowance and disability allowance. In the case of jobseeker’s allowance they can apply for the means-tested jobseeker’s allowance if their business ceases or if they are on low income as a result of a downturn in demand for their services. In general, their means will take account of the level of earnings in the last twelve months in determining their expected income for the following year and, in the current climate, account is taken of the downward trend in the economy. As in the case of a non-self-employed claimant for jobseeker’s allowance or disability allowance, the means of husband/wife, civil partner or co-habitant will be taken into account in deciding on entitlement to a payment.

Jobseeker's Allowance Appeals

Ceisteanna (396)

John McGuinness

Ceist:

396. Deputy John McGuinness asked the Minister for Social Protection if the means test relative to the claim for jobseeker's allowance will be reviewed in respect of a person (details supplied) in County Wexford. [5120/13]

Amharc ar fhreagra

Freagraí scríofa

The Social Welfare Appeals Office has advised me that an appeal by the person concerned together with the relevant Departmental papers and the comments of the Deciding Officer on the grounds of appeal was received in that office on 16th January 2013. The case will be referred to an Appeals Officer who will make a summary decision on the appeal based on the documentary evidence presented or, if required, hold an oral hearing.

The Social Welfare Appeals Office functions independently of the Minister for Social Protection and of the Department and is responsible for determining appeals against decisions on social welfare entitlements.

Community Employment Schemes Data

Ceisteanna (397)

Dara Calleary

Ceist:

397. Deputy Dara Calleary asked the Minister for Social Protection the number of persons registered on a community employment scheme at the 31 of December 2012; if this figure differs from the total number of CE places available on that date; and if she will make a statement on the matter. [5150/13]

Amharc ar fhreagra

Freagraí scríofa

The budgeted number of places for Community Employment (CE) at year-end 2012 was 23,300, inclusive of Supervisors. The average number of CE places utilised during 2013 was 23,087 places, inclusive of Supervisors.

The number of CE places occupied at 31/12/2012 was 22,445 (inclusive of 1,364 Supervisors). Approximately two thirds of the available places are located in the Dublin region with the remainder distributed nationally.

The Department is in the process of rolling out a revised referral process to address the future recruitment and selection of participants for CE schemes.

Community Employment Schemes Eligibility

Ceisteanna (398)

Dara Calleary

Ceist:

398. Deputy Dara Calleary asked the Minister for Social Protection if her attention has been drawn to the financial hardship being caused by the need for community employment participants and especially for participants who are rolling over their scheme place by the need to get police clearance from outside the jurisdiction if necessary for example the UK Police clearance can cost up to €60; and if she will make a statement on the matter. [5151/13]

Amharc ar fhreagra

Freagraí scríofa

The cost of procuring police clearance varies from state to state and is a matter for the jurisdiction concerned. International police certificates are necessary documentation for both CE participants and private sector pre–school childcare employees as HSE regulations apply to all childcare facilities. Community Employment Sponsoring Bodies may subsidise the cost of international vetting on a case by case basis from their Materials Grant budget.

Participants that rollover on the same project do not need to be re-vetted within a three year period. These participants will already have their clearance documentation so no further cost is incurred.

Garda Vetting of Personnel

Ceisteanna (399)

Dara Calleary

Ceist:

399. Deputy Dara Calleary asked the Minister for Social Protection if she has had any discussions with the Department of Justice and Equality in relation to delays in providing Garda clearance for community employment scheme participants; and if she will make a statement on the matter. [5152/13]

Amharc ar fhreagra

Freagraí scríofa

Authorised staff from the Department of Social Protection are in touch with the Garda Central Vetting Unit on a very regular basis. The process of vetting for all applicants takes from 10 – 12 weeks currently. Errors in applications can cause delays. Eighty per cent of CE applications are processed within the period outlined and 20% of applications will go over 12 weeks due to the necessity for clarifications or further enquiries. The demand for Garda vetting has increased steadily over time and this also leads to delays. The protection of children and vulnerable adults is of primary concern to the Department of Social Protection and therefore these requirements are mandatory for CE entrants who wish to work in these areas.

Youth Unemployment Data

Ceisteanna (400)

Seán Ó Fearghaíl

Ceist:

400. Deputy Seán Ó Fearghaíl asked the Minister for Social Protection if she will provide data in relation to youth unemployment in an area (details supplied); and if she will make a statement on the matter. [5158/13]

Amharc ar fhreagra

Freagraí scríofa

There were 2,690 persons under 25 on the Live Register in Co. Kildare in December 2012. There are three social welfare offices in Kildare – the majority sign on at Newbridge (1,405), followed by Maynooth (869) and Athy (426). This is the most detailed level of statistics currently available for the Live Register and there are no specific figures for the mid-Kildare area. Under 25s make up 15% of the total Live Register in Kildare, down from a high of 22% in July 2009. The number of under 25s on the Live Register in Kildare has decreased by 6% from 2,863 twelve months previously, having peaked at 3,926 in August 2009.

Young people, typically, suffer disproportionately from job losses in recessions as they tend to have entered employment more recently, are more likely to hold temporary contracts and to be employed in cyclically sensitive industries than older workers.

In the first instance, the Government’s primary strategy to tackle youth unemployment is to create the environment for a strong economic recovery by promoting competitiveness and productivity. Economic recovery will underpin jobs growth. Past experience suggests that youth unemployment, which tends to rise relatively rapidly in a downturn, can be expected to fall relatively rapidly during the recovery.

In addition to promoting economic recovery, the Government recognises the need for interim measures to support the young unemployed and keep young jobseekers close to the labour market. There are five main approaches being taken to tackle youth unemployment: education, training, job search assistance/guidance, work experience, and encouraging job creation. These actions range across a number of Departments and Agencies. These initiatives are being rolled out in all areas across the country including mid-Kildare. Details of these initiatives have already been outlined in earlier PQs relating to youth unemployment.

Child Benefit Payments

Ceisteanna (401)

Brendan Griffin

Ceist:

401. Deputy Brendan Griffin asked the Minister for Social Protection her plans to reduce the amount of child benefit being paid annually in respect of persons that are resident outside the State; the avenues that are open to her to see that this matter will be tackled; if she has a country breakdown of where this money is going; and if she will make a statement on the matter. [5161/13]

Amharc ar fhreagra

Freagraí scríofa

The social welfare entitlements of EU citizens who come to live and work in Ireland are governed by EU Regulations on the coordination of social security systems. A key requirement of these regulations is that EU citizens living and working here must be accorded equal treatment with Irish citizens. The regulations are viewed by the EU as an important element in the arrangements in place to encourage and facilitate free movement across the Union.

Child Benefit is classed as a family benefit for the purposes of the regulations. Generally speaking the competent State for the payment of benefits for a worker and his/her family is the country of employment. Accordingly, a person working here is entitled to receive Irish child benefit in respect of his/her children, even if they are resident in another EU country. Payments are adjusted to take account of any payments the person may receive based on the domestic legislation of the country in which the children are resident.

The cost of payments in respect of children resident in other EU countries was €13.2 million in 2012. This is substantially lower than the level of payments in 2008 which were at a high of €20.9 million. A breakdown by country is not readily available.

I have raised the question of reducing child benefit payments in respect of children resident in other countries to reflect local conditions, with colleagues from other countries and with the EU Commissioner. The latter is strongly opposed to any such change because of the importance the EU attaches to free movement and the measures in place to support this, and because of legal precedence set by the Courts of Justice of the EU. Any amendment to the current arrangements would require a proposal for legislative change from the EU Commission and given the position adopted on this matter by the Commissioner it is highly unlikely that such a proposal would be forthcoming. In the circumstances, it will be difficult to effect any change in this area but I will continue to raise the matter with colleagues and the Commission when the opportunity presents itself.

Disability Allowance Appeals

Ceisteanna (402)

Pat Breen

Ceist:

402. Deputy Pat Breen asked the Minister for Social Protection when a decision on a disability allowance appeal will issue to a person (details supplied) in County Clare; and if she will make a statement on the matter. [5173/13]

Amharc ar fhreagra

Freagraí scríofa

The disability allowance application by the person concerned was disallowed by a Deciding Officer following an assessment by a Medical Assessor of the Department who expressed the opinion that he was medically unsuitable.

An appeal was registered on 19th November 2012 and the Social Welfare Appeals Office has advised me that, in accordance with the statutory procedures, the relevant department papers and the comments of the Deciding Officer on the grounds of the appeal have been sought. In that context, an assessment by another Medical Assessor will be carried out.

The Social Welfare Appeals Office functions independently of the Minister for Social Protection and is responsible for determining appeals against decisions on social welfare entitlements.

Household Benefits

Ceisteanna (403)

Róisín Shortall

Ceist:

403. Deputy Róisín Shortall asked the Minister for Social Protection if it is her intention to notify recipients of the household benefits package of recent changes to this scheme following Budget 2013; if recipients will be notified of the exact changes to the telephone allowance and the electricity/ gas allowance and the treatment of surplus units and credits held by account holders; and the way they will be applied to future utility bills. [5175/13]

Amharc ar fhreagra

Freagraí scríofa

The total cost of the electricity and gas allowance in 2013 is estimated at €176 million with 405,000 recipients. The total cost of the telephone allowance in 2013 is estimated at €48 million with 395,000 recipients.

Budget 2013 changed the structure of the electricity and gas allowance which is now aligned to the best average market rate currently available from energy suppliers for 150 units per month. The number of units remains unchanged from 2012. This allowance will now show as a cash credit of €35 on the customer's bill or will be paid as a cash allowance directly to the customer depending on their supplier. Customers who don’t use their full entitlement, will be able to carry forward that unused monetary value. There will be no upper limit on the amount of cash credit carried forward and customers may seek reimbursement, at any time, from their energy supplier for all unused credit that they have accumulated. This will be particularly helpful in enabling customers to switch to a cheaper supplier. Prior to these budgetary changes, credit could not be carried forward and therefore, this acted as an impediment to customers achieving the best value for their particular needs.

Regarding the question of unused units on the customer’s last energy bill for 2012, my Department is currently exploring various options with the main energy suppliers to ensure that customers are dealt with in the most equitable way possible. This issue will be resolved shortly and the energy suppliers will be communicating directly with customers to outline the arrangements in this regard.

The amount of the telephone allowance payable by the Department in respect of each eligible customer is now €9.50 per month. This new monthly rate will show as a credit on the customer's bill or be paid as a cash allowance directly to the customer. Eircom is communicating directly with customers outlining these new arrangements. In response to this change, I am pleased to note that Eircom are also developing a package specifically for vulnerable customers.

In addition, these changes have been advertised as part of the general Budget release and are also detailed on the Department’s website www.welfare.ie. Customers should be encouraged to get the best value possible for their allowances by regularly shopping around utility providers for their own specific needs. The Commission for Energy Regulation website www.energycustomers.ie has information on how to switch electricity and gas suppliers and the Commission for Communications Regulation website www.callcosts.ie has information on how to switch telecommunication and broadband supplier.

Employment Support Services

Ceisteanna (404)

Alan Farrell

Ceist:

404. Deputy Alan Farrell asked the Minister for Social Protection her views on the proposals to develop a jobseeker's database; if this database will go as far as recording vital details such as education, skill set and past employment history; the length of time this proposal will take to implement; the way this differs from the current database that provides information to her Department for the pathways to work programme; and if she will make a statement on the matter. [5184/13]

Amharc ar fhreagra

Freagraí scríofa

My Department collects a wide range of data in engaging with jobseekers, which is mainly used at present to establish entitlements and for monitoring fraud and abuse. This information can also be more systematically used as a basis for evaluating progression outcomes for the Department’s customers and schemes, which is the purpose of the jobseeker’s database referred to in the question. Any demographic, employment, education, training or scheme related data currently available to the Department at Personal Public Service Number level will be considered for inclusion in the database, which will mainly involve restructuring of existing data into a consistent time series at customer level. Periods spent on activation or employment schemes can be related to subsequent work and benefit outcomes on this basis.

Analysis of customer outcomes using the database will be made available once technical and data validation work is completed.

Social Welfare Appeals Delays

Ceisteanna (405)

Alan Farrell

Ceist:

405. Deputy Alan Farrell asked the Minister for Social Protection her views on the Free Legal Advice Centre 2012 report Not Fair Enough with regard to the appeals process in her Department, as well as outlining in detail the reforms that have been reported to have taken place to reduce waiting time for appeals; and if she will make a statement on the matter. [5185/13]

Amharc ar fhreagra

Freagraí scríofa

The Social Welfare Appeals Office is a separate executive office with its own premises and staff which operates independently of the Department and the Minister.

One of the recommendations relates to the independence of the SWAO. The appeals process has a statutory basis in both primary and secondary legislation and Appeals Officers are quasi-judicial officers and are required to be free and unrestricted in discharging their functions. As far back as 1958, the Supreme Court found that Appeals Officers are required to free and unrestricted in the performance of their duties. The high level of appeals allowed (54% in 2012) is evidence of the independence of the process. There are no plans to take legislative steps to change the method by which Appeals Officers are appointed.

The report also criticises the delays being experienced by appellants. There was a rapid and sustained increase in the number of appeals from 2009 to date which has placed extraordinary pressure on the SWAO. Significant resources and efforts have been put into reducing backlogs and improving processing times for appellants, including the assignment of 15 additional Appeals Officers, improving business processes and implementing a new operating model.

As a result of these measures, there has been significant increase in the number of appeals finalised from an average of 13,500 to 32,558 in 2012 and processing times have been reduced by an 7.8 weeks overall in 2012 with time for an oral hearing time down by 18.2 weeks and the time for summary decision up by 2.7 weeks. Of course, further improvement is needed. In that regard

- The Chief Appeals Officer expects to finalise 6,000 more cases in 2013 than in 2012;

- There is a major programme of process redesign and modernisation currently underway in relation to many scheme areas which will reduce backlogs and will also reduce the time taken for the Department to respond to requests from the SWAO for submissions in relation to appeals;

- It is planned to recruit additional Medical Assessors in 2013 which will assist in reducing the time taken for appeals where a medical assessment is required.

All these measures together will reduce the waiting time for appellants.

Concern was expressed in the report that the higher number of summary decisions in 2011 indicated a move away from oral hearings. I am assured by the Chief Appeals Officer that the increases in the number of summary decisions in 2010 and 2011 was a result of having eight very experienced retired appeals officers working exclusively on summary decisions which had the effect of front loading summary decisions. The percentage of summary decisions was 69% in 2010 and 65% in 2011, the two years for which the retired officers were retained, and has since dropped to 60% in 2012.

In relation to consistency and transparency in decision making, this is addressed in a number of ways by the Department through training and communication and in relation specifically to the SWAO it is the statutory responsibility of the Chief Appeals Officer to convene meetings of Appeals Officers for the purpose of ensuring consistency.

The Department provides funding to a number of agencies involved in providing advocacy and information services to persons regarding their social welfare rights and how to process its systems.

Disability Allowance Appeals

Ceisteanna (406)

Alan Farrell

Ceist:

406. Deputy Alan Farrell asked the Minister for Social Protection her views on the 2012 figures showing that almost 50% of applicants who were refused disability allowance were awarded the payment on appeal; and if she will make a statement on the matter. [5186/13]

Amharc ar fhreagra

Freagraí scríofa

In 2012 a total of 26,159 disability allowance claims were decided, of these 10,400 were allowed, 14,519 were disallowed and 1,240 claims were withdrawn.

According to the Social Welfare Appeals Office a total of 4,310 disability allowance appeals were determined by appeals officers during 2012 of which a total of 2,114 (49%) were allowed 95 (2%) were partially allowed and 2,101 (49%) were disallowed.

The Department is satisfied that its system for the assessment of disability allowance applications is fair and robust. That system is further reinforced by the statutory right of appeal to the independent Social Welfare Appeals Office.

Disability Allowance Appeals

Ceisteanna (407)

John Perry

Ceist:

407. Deputy John Perry asked the Minister for Social Protection if she will ensure that a disability allowance appeal will be processed as a matter of urgency in respect of a person (details supplied) in County Leitrim; and if she will make a statement on the matter. [5191/13]

Amharc ar fhreagra

Freagraí scríofa

Partial capacity benefit was awarded, to the person concerned, following an assessment by a Medical Assessor of the Department who expressed the opinion that her restriction on capacity for work should be assessed as moderate. An appeal was opened and in the context of that appeal, her case was reviewed by a second Medical Assessor who upheld the previous opinion.

I am informed by the Social Welfare Appeals Office that, in the light of this second medical opinion, that office has decided to afford her an opportunity of setting out the complete and up to date grounds of her appeal. On receipt of her response the relevant Departmental papers will be requested from the Department and the appeal will then be referred to an Appeals Officer for consideration.

The Social Welfare Appeals Office functions independently of the Minister for Social Protection and of the Department and is responsible for determining appeals against decisions on social welfare entitlements.

Social Welfare Code

Ceisteanna (408)

Róisín Shortall

Ceist:

408. Deputy Róisín Shortall asked the Minister for Social Protection if she will use the opportunity of the Social Welfare and Pensions Bill later this year to provide for the reimbursement to her Department by insurance companies of social welfare payments deducted from awards of special damages in respect of loss or earnings; the reason no action has been taken on this issue in view of the fact that her Department has been aware of the anomaly for several years and knowing the considerable spending pressures in her Department; if she has finally costed the potential yield arising from such a change; the results of same; and if she will make a statement on the matter. [5204/13]

Amharc ar fhreagra

Freagraí scríofa

Social welfare legislation does not currently provide for reimbursement to the Department by insurance companies in cases where adjustments may have been made to special damages awards on foot of social welfare payments received by plaintiffs.

My Department has undertaken a substantial amount of background work on this matter including direct engagement with the Personal Injuries Assessment Board and the State Claims Agency as well as extensive discussions with counterparts in Northern Ireland, where a system of reimbursement is in operation.

The issues involved in introducing changes in this area are complex and continue to be considered within my Department. I should mention that in advance of the introduction of any legislative changes in relation to this matter, it would be necessary to engage in extensive consultations with, amongst others, representatives of the insurance industry, the legal profession and employers’ representatives, in order to adequately assess all of the possible implications and to comply with formal Regulatory Impact Assessment requirements.

On the basis of an exercise undertaken in conjunction with the Personal Injuries Assessment Board, it is tentatively estimated that programme savings of the order of €21 million per annum could potentially be secured.

Pensions Reform

Ceisteanna (409)

Thomas P. Broughan

Ceist:

409. Deputy Thomas P. Broughan asked the Minister for Social Protection her plans for the reforms of the pension sector here; the estimated time frame for the publication of her plans; and if she will make a statement on the matter. [5225/13]

Amharc ar fhreagra

Freagraí scríofa

Secure and adequate finances are one of the fundamental components of a happy and active retirement. The sustainability of the pension system is a particular concern because of the demographic challenges Ireland faces, the associated increases in pension (and other age related) costs, and the deterioration in the public finances. This means that, in the future, the task of financing increased pension spending will fall to a diminishing share of the population as demographic projections indicate the ratio of working age to older people will decrease from 5.3 to 1 at present to 2.1 to 1 by 2060. Life expectancy in Ireland is also increasing and whilst this is very welcome development, it also presents very real and obvious public policy challenges. Compared to the rest of the population, older people in Ireland have the lowest poverty rates (at 0.9%) and are least likely to be at risk of poverty (pointing to the adequacy of the State pension), nonetheless significant reform of our pensions systems is necessary to safeguard future sustainability and adequacy.

A number of significant reforms to pensions have been introduced in recent years. In 2014, the State pension age will be standardised at 66 which will see the abolition of the State pension transition. Thereafter State pension age will be increased to 67 in 2021 and 68 in 2028. In September 2012, a number of changes to the State pension rate bands came into effect for new customers. A move to a ‘total contributions approach’ for determining eligibility for the State pension is planned in 2020 to replace the current averaging system.

These reforms will ensure that the level of pension paid will be directly proportionate to the number of social insurance contributions made by a person over the working life. Aligning the rate of pension paid with the contribution made ensures that those who contribute more during a working life benefit more in retirement than those with lesser contributions.

Discussions on long term pension policy have identified the need for a short and focussed examination on the direction of pensions policy to ensure a modern, sustainable, and adequate pension system. In this regard, the OECD has been commissioned by the Department of Social Protection to review long term pension policy in Ireland. The review will take account of the Programme for Government commitments in the pensions area, including universal coverage, and is being informed by developments at EU level in relation to both pensions and increasing the labour market participation of older workers.

The particular aspects being considered by the OECD include:

- the sustainability of the pension system in the light of demographic and investment challenges;

- the adequacy and coverage levels, in order to ensure adequate income in retirement with a particular focus on the lower and middle income group;

- the modernity of pension systems to ensure flexibility in the labour market and supporting mechanisms for longer working;

- equity within the pension system.

The review is expected to be finalised in the first quarter of 2013.

Significant developments have taken place in relation to defined benefit supplementary pensions. Legislation enacted in 2012 strengthened the Funding Standard by introducing a requirement for schemes to develop a risk reserve from 2016 and to meet the reserve requirement in 2023. In August 2012, the National Treasury Management Agency (NTMA) announced details of the sale of over €1 billion of Irish Amortising Bonds which were purchased by pension schemes and welcomed pension funds into the economy. Providers have also been introduced into the sovereign annuity market. The overriding priority in this area is to ensure that members of pension schemes are protected and the future viability and sustainability of their schemes is ensured and made safer.

Last October, the Department of Social Protection, working with the Central Bank and the Pensions Board, published a report on pension charges which looked at whether charges are reasonable and transparent to members. I invited interested parties to submit comments and observations regarding the report in the period to the end of January 2013. Comments and observations submitted will inform considerations in relation to any further policy or regulatory action that may be required.

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