Written Answers Nos. 16-25
16. Deputy Sean Fleming asked the Minister for Social Protection if she is concerned by recent reports from the St. Vincent de Paul charity that it is paying more than €10 million a year to gas and electricity companies to help families pay their energy bills; the plans her Department has to combat fuel poverty in the future; and if she will make a statement on the matter. [43320/13]
Amharc ar fhreagra27. Deputy Mary Lou McDonald asked the Minister for Social Protection the impact of budget 2014 on fuel poverty. [43365/13]
Amharc ar fhreagra40. Deputy Richard Boyd Barrett asked the Minister for Social Protection if she will consider raising the winter fuel allowance in view of the fact that it is failing to cover rising energy prices, leaving many homes struggling to pay bills; and if she will make a statement on the matter. [43411/13]
Amharc ar fhreagra132. Deputy Brendan Smith asked the Minister for Social Protection the number of weeks per year the fuel allowance is paid; the amount paid; those who qualify for this allowance; if an extension of this scheme by one week for recipients in 2012-13 will be included in the 2013-14 scheme; if she proposes any other changes to the scheme; and if she will make a statement on the matter. [44037/13]
Amharc ar fhreagraI propose to take Questions Nos. 16, 27, 40 and 132 together.
I am very aware of the issues raised by the Society of St. Vincent de Paul. Energy poverty is a factor of income, energy prices and the thermal efficiency of the home. The most cost-effective means of protecting households from energy poverty is to improve the thermal efficiency of the home. The Better Energy Warmer Homes scheme (BEWH), administered by the Sustainable Energy Authority of Ireland (SEAI), funds energy efficiency improvements in the homes of the elderly and vulnerable, making the homes more comfortable, healthier and more cost effective to run. The Department is working with the Department of Communications, Energy and Natural Resources and other Departments and agencies on the implementation of the Energy Affordability Strategy.
We had many difficult choices to make in the recent Budget. I considered the fuel allowance and the electricity and gas allowances as part of the household benefits package to be vital supports to be protected. These allowances are paid as a contribution to the energy costs of the household. They are not intended to meet these costs in full.
This year we will spend over €182 million on the free electricity/gas allowance for over 410,000 customers. In addition, some 410,000 customers will also receive the fuel allowance of €20 per week for the winter months (26 weeks) from October to April, at a cost of €223 million. Over 200,000 customers receive both the electricity/gas allowance and the fuel allowance from the Department, contributing €940 per household towards their energy costs.
The fuel allowance is paid to long-term jobseekers and one-parent family payment recipients as well as people in receipt of disability allowance, invalidity pension and some people in receipt of the State pension. The allowance is subject to a means test and is paid only to those who live alone or with certain exempted people. Full details on the criteria for the scheme are available on the Department’s website www.welfare.ie.
In April 2013, the Department paid an additional week of fuel allowance. This arrangement was specific to the 2012/2013 fuel season due to the unusually cold weather being experienced at the time.
Under the supplementary welfare allowance scheme, exceptional needs payments may be made to help meet an essential, once-off cost which customers are unable to meet out of their own resources; this may include exceptional heating costs. More than 3,000 customers are currently in receipt of a special heating supplement, paid to assist people with special heating needs because of ill health or infirmity.
17. Deputy Charlie McConalogue asked the Minister for Social Protection if she will consider reversing the changes she made to farm assist in view of the fact that it has had a serious negative affect on the income levels of already struggling farming families; if she has carried out an analysis of the impact of the changes on these families; and if she will make a statement on the matter. [43769/13]
Amharc ar fhreagra32. Deputy Charlie McConalogue asked the Minister for Social Protection if she has carried out an analysis on the impact her changes to farm assist with respect to income disregards have had on farmers; and if she will make a statement on the matter. [43770/13]
Amharc ar fhreagraI propose to answer Question numbers 17 & 32 together.
The farm assist scheme is based on jobseeker’s allowance. It was introduced in 1999 to replace ‘Smallholders Unemployment Assistance’ for low income farmers, without the requirement to be available for and genuinely seeking work. Farm assist recipients retain all the advantages of the jobseeker’s allowance scheme such as retention of secondary benefits and access to activation programmes.
Recent changes to the scheme have brought it into closer alignment with the jobseeker’s allowance scheme’s treatment of self-employed persons.
Farm assist is a flexible payment and any farmer experiencing lower levels of income or cash-flow issues can ask his/her local social welfare / Intreo office to review the level of means applying to his/her claim.
The assessment of means for the purpose of qualifying for farm assist is designed to reflect the actual net income and looks at gross income, less any expenses necessarily incurred, from farming. Income and expenditure figures for the preceding year are generally used as an indicator of the expected position in the following year. However, account is taken of any exceptional circumstances so as to ensure that the assessment accurately reflects the current situation. In the case of new entrants or persons changing from one type of farming to another the assessment looks at all expected annual income and is based on normal output and costs appropriate to items such as normal stock levels, capacity, and market trends.
It may be noted that payments received under the Agri-Environment Options Scheme or Special Area of Conservation schemes are assessed separately from other farm income. With regard to this income the first €2,540 is disregarded, then 50% of the balance and related expenses are disregarded - with the balance being assessed as means.
No formal analysis of the impact of recent changes has been carried out but the scheme is kept under review. In addition the Department regularly discusses the scheme with the Irish Farmers Association. There are no plans to change the current scheme criteria.
18. Deputy Denis Naughten asked the Minister for Social Protection her plans to amend the Civil Registration Act 2004; if she intends to close off the sham marriage loophole in the interim; and if she will make a statement on the matter. [43135/13]
Amharc ar fhreagraOn the 19 July, 2013 the Cabinet approved the drafting of the Civil Registration (Amendment) Bill 2013.
The Bill will provide for a wide range of issues relating to the registration of life events in the State. Representations and recommendations have been made by various groups and organisations since the enactment of the Civil Registration Act 2004 and this Bill seeks to address these issues. The General Register Office, which administers the Civil Registration Service, has identified areas where legislative amendments are required to streamline the service to the general public.
One of the issues that will be provided for in the legislation is the introduction of measures to combat marriages of convenience by making such marriages more difficult to contract in the future.
As previously stated in earlier answers to this question, marriages of convenience, or “sham marriages” are defined as marriages which are entered into for the purpose of one of the parties gaining an automatic right of residency based on marriage to a person who already has a right of residency.
The matter is a complex one and the issues involved are primarily for my colleague the Minister for Justice and Equality. EU citizens and their families have the right to move and reside freely within the territories of the Member States. These rights also apply to non-EU national spouses of EU nationals following the ruling of the European Court of Justice in the Metock case on 25th July 2008.
Officials in the Department are working with the Office of the Parliamentary Counsel on drafting the Bill and I hope to publish this legislation early next year.
It should also be noted there are, at present, guidelines for registrars for marriage notifications which include procedures for the verification of identity and marital status which can assist in the prevention of marriages of convenience.
19. Deputy Michael Moynihan asked the Minister for Social Protection her views on whether the rule which provides that someone working more than three days a week is automatically excluded from receiving jobseeker’s benefit-allowance constitutes a poverty trap; her plans to abolish this rule; and if she will make a statement on the matter. [43338/13]
Amharc ar fhreagraThe jobseeker's benefit and jobseeker’s allowance schemes provide income support for people who have lost work and are unable to find alternative full-time employment. The Revised Estimates for the Department provide for expenditure on the jobseeker’s schemes of €3.66 billion in 2013.
It is a fundamental qualifying condition of both schemes that a person must be fully unemployed for 4 in any period of 7 consecutive days. Where a person takes up employment the part-time job incentive scheme may, subject to scheme criteria, support them in making such a transition to employment. The scheme allows persons who are long-term unemployed to take up part-time employment for less than 24 hours per week and receive a weekly income supplement. Participants in this scheme are expected to continue to make efforts to find full-time work.
It is recognised that a changing labour market has resulted in a move away from the more traditional work patterns, resulting in an increase in the number of persons employed for less than a full week. This is an important policy issue for the Department but any changes to the current criteria could have significant cost implications.
The Advisory Group on Tax and Social Welfare, which has already reported to me on a number of important policy areas, is now looking at the whole area of atypical work and I look forward to their recommendations on this issue later this year.
20. Deputy Robert Troy asked the Minister for Social Protection the procedure that is followed by her Department when appointing members of the public to State boards or other agencies under the aegis of her Department; if she will outline all appointments made by her to all boards or agencies since March 2011; and if she will make a statement on the matter. [43329/13]
Amharc ar fhreagraThe statutory bodies operating under the aegis of the Department of Social Protection are the Citizens Information Board, the Pensions Board, the Pensions Ombudsman (which does not have a board) and the Social Welfare Tribunal.
Citizens Information Board
The procedures followed when appointing members to the Citizens Information Board (CIB) are in accordance with the Revised Code of Practice for the Governance of State Bodies where Departments invite expressions of interest from members of the public for vacancies on the boards or bodies under their aegis.
These new arrangements involve using a centralised application service provided by the Public Appointments Service (PAS) to manage the expressions of interest received. Interested parties are required to submit an online application form, a self-assessment of their skills and/or experience in a number of identified competency areas, a curriculum vitae and a covering letter.
The legislative provisions governing appointments are contained in the Comhairle Act 2000, the Citizens Information Act 2007 and the Social Welfare and Pensions Act 2011.
There have been three appointments to the Board since March 2011. One member was appointed with effect from 7 September 2011. This followed an advertisement for expressions of interest from suitably qualified and experienced individuals on the Department’s website, www.welfare.ie, which invited applicants to register their interest through the Public Appointments Service (PAS) website, www.publicjobs.ie . 172 applications were received through PAS and, following a selection process, the appointment was made in accordance with the legislation governing appointments to the Board.
The other two appointments did not require public advertisement. One was appointed as the Department’s representative to the Board on 1 November 2011 and the other was appointed as the CIB’s staff representative on 5 November 2012.
Pensions Board
No appointments have been advertised or made by me to the Pensions Board since I took office in March 2011.
The Public Service Reform Programme provided for a critical review of the integration of the regulatory functions of the Pensions Board with the Financial Regulator and the merging of the Pensions Ombudsman with the Financial Services Ombudsman. The recommendations arising out of the Critical Review on the Pensions Board were approved by Government in April 2013 and were provided for in the Social Welfare and Pensions Act, 2013.
It was recommended that the governance structure of the Pensions Board be restructured with two distinct arms as follows:
- Oversight of the Pensions Board will be undertaken by a three person body called the Pensions Authority. This will consist of a Chairperson and two officials from the Department of Social Protection and the Department of Finance.
- A separate unpaid Pensions Council, with a majority of members representing consumer interests, will be established to advise me on pension’s policy.
I expect to appoint the Chairperson of the Authority shortly and the new structure should be operational by end 2013. Expressions of interest for the appointment to the Pensions Council will be processed through the PAS system in the coming months and I expect the Council to be operational by the end of the year.
Social Welfare Tribunal
The Board of the Social Welfare Tribunal consists of a Chairperson and four ordinary members, two of whom are nominated by the Irish Congress of Trade Unions (ICTU) and two by the Irish Business and Employers Confederation (IBEC), in accordance with legislation.
There have been 6 appointments to the board since March 2011. One of the ICTU members of the Tribunal resigned in 2011 and, on ICTU’s nomination, a replacement member was appointed from 24 October 2011.
All appointments were due for renewal on 4 October 2012. Four members of the previous board and one new person nominated by IBEC were appointed to the new board by me, effective from 5 October 2012. None of these positions were filled on foot of public applications due to the structure of the Tribunal. The board is made up of individuals deemed to be representative of both employers and employees.
21. Deputy Billy Timmins asked the Minister for Social Protection the steps which she is taking to assist self-employed persons to avail of social assistance payments; and if she will make a statement on the matter. [43138/13]
Amharc ar fhreagraDetails of the social assistance payments offered by the Department are widely publicised, for example on the departmental website www.welfare.ie, and information is also available through social welfare local offices.
Self-employed persons are liable for pay related social insurance (PRSI) at a 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). This compares to employees in respect of whom a combined 14.75% rate, under full-rate PRSI Class A, is paid giving entitlement to the full range of social insurance benefits.
In general, where persons do not qualify for social insurance benefits they may claim means tested social assistance payments. For example, any person of working age who does not qualify for jobseeker’s benefit may claim means tested jobseeker’s allowance. Subject to means and other qualifying conditions, self-employed persons may claim jobseeker’s allowance if their business ceases or there is reduced demand for their services. Typically over 80% of jobseeker’s allowance claims from self-employed persons have been awarded over recent years.
It may be noted that previously self-employed persons in receipt of jobseeker’s allowance have access to the full range of activation measures available through the State. Given the scale of unemployment levels, the key objective of activation policy and labour market initiatives is to offer assistance to those most in need of support in securing work and achieving financial self-sufficiency. However, many services are available to the formerly self-employed who are not in receipt of a social welfare payment.
22. Deputy Martin Ferris asked the Minister for Social Protection if she will introduce a facility to apply to participate on Gateway and Tús. [43376/13]
Amharc ar fhreagraThe objective of Gateway is to assist the personal and social development of participants by providing short-term work opportunities with county and city councils with the objective of bridging the gap between unemployment and re-entering the workforce. Gateway is a joint initiative between this Department and county and city councils and responsibility for delivery of this initiative rests with individual councils.
Participants are randomly selected by this Department from those on the Live Register for 24 months or more and currently in receipt of a jobseekers payment. Those agreeing to be considered then have their contact details referred to the appropriate council for recruitment. Failure to respond to the Department’s invitation or to offer an acceptable reason for being unable to participate in Gateway can result in sanctions for the jobseeker. A person cannot apply to participate on Gateway. All selection is undertaken by random processes conducted at local level by the Department of Social Protection. The selection is focused on those on the live register for two or more years and in receipt of a jobseekers’ payment. I consider the current selection process effective and I have no proposals to alter these arrangements. The Deputy should note that a person interested in gaining access to a work placement or internship supported by the Department of Social Protection can avail of opportunities available on community employment schemes and JobBridge. Details are available on the Department website on www.welfare.ie.
23. Deputy Niall Collins asked the Minister for Social Protection if her attention has been drawn to the proposals put forward by Novas Initiatives concerning the impact of a reduced social welfare payment on homeless young persons; if she will accept these proposals; and if she will make a statement on the matter. [43355/13]
Amharc ar fhreagraNovas Initiatives, in a submission to the Department, have raised issues in relation to reduced rates of jobseeker’s allowance for younger persons.
The reduced rates encourage young jobseekers to improve their skills and remain active in the labour market in order to avoid the risk of becoming long-term unemployed and will help them to progress into sustainable employment on a long-term basis. Where a person is in receipt of a reduced rate of jobseeker's allowance and he or she participates in a course of education, training a higher rate of €160 applies.
Similar issues to the ones raised by Novas Initiatives have been raised previously by Focus Ireland. Having regard to these issues approval has been given for a pilot community employment programme targeted at young persons in emergency accommodation. This pilot programme will be developed and run by Focus Ireland and is due to commence in 2013.
It is hoped that results from this pilot programme will inform wider policy development with regard to young persons in emergency homeless accommodation.
24. Deputy Niall Collins asked the Minister for Social Protection if her Department has completed the review of the domiciliary care allowance; the outcome of the review; the actions that will now be taken; and if she will make a statement on the matter. [43341/13]
Amharc ar fhreagraThe review of the Domiciliary Care Allowance (DCA) scheme, which I initiated in May 2012, was completed in December 2012. The report of the review was published in April 2013.
The recommendations in the report of the review of the DCA scheme can be divided into administrative changes, which streamline, simplify and make the process more transparent for parents/guardians, and policy recommendations.
The findings of the report have been widely welcomed by parents/guardians and their representatives groups and the Department is actively working on implementing the administrative changes recommended in the report.
To date an implementation group has been established with representatives of parents groups, other departments/disability groups, to oversee the implementation of the administrative recommendations in the report. The group has met on a number of occasions and this work is progressing well.
An external service provider has been contracted to work on implementing the necessary IT system changes required to support the administrative changes recommended. It is planned to have the administrative recommendations completed and implemented in Q1 of 2014.
25. Deputy Joan Collins asked the Minister for Social Protection from January 2014 workers retiring will not be able to avail of their State pensions until they are 66 years of age, the way persons retiring next year at 65 years of age will engage with social welfare; if she has made provision for these retirees; if they will receive the transition payment to 67 years of age; if they have to sign on for jobseekers, if they will have to be available for work; if they will receive jobseeker's for nine months only and then be means-tested for the last three months; and if she has engaged with employers to make provision for workers to stay working for another year if they wish. [43134/13]
Amharc ar fhreagraIncreasing State pension age and the abolition of the State pension (transition) are steps that have been taken to ensure the sustainability of pensions into the future. The decision to reform State pension was taken in the context of changing demographics and the fact that people are living longer and healthier lives.
The Social Welfare and Pensions Act, 2011 provides that State pension age will be increased gradually to 68 years. This will begin in 2014 with the standardising of State pension age for all at 66 years and the cessation of State pension transition. The State pension age will then increase to 67 years in 2021 and to 68 years in 2028.
It should be noted that until the 1970s, the standard age for receipt of State pension was 70 years of age. This applied at a time when longevity was much lower and working patterns were more likely to be physically demanding. State pension (transition) was introduced in 1970 when it was known as the retirement pension and was designed to bridge the gap between the standard social welfare pension age, which at that time was 70 years of age, and retirement age. Overtime, the age for State pension contributory was reduced to 66 years.
However, the Deputy may wish to note that a significant number of people coming on to State pension (transition) in 2012 did not come from work as many were already on other social welfare schemes. In December 2012 there were approximately 14,400 State pension (transition) claims in payment and of those, 12.5 per cent came from work with over 50 per cent coming from other social welfare schemes such as illness benefit, jobseekers benefit and assistance, invalidity and carers, indicating that significant numbers of people are leaving the workforce for a variety of reasons well in advance of State pension age.
In terms of social welfare supports available to those at age 65, all short term social welfare schemes are payable to age 66. The main social welfare payment available to those who leave employment before pension age is jobseeker’s benefit. Persons who qualify for a jobseeker’s benefit who are aged between 65 and 66 years are generally entitled to receive payment up to the date on which they reach pensionable age (66 years). Each application for any social welfare scheme is assessed on its own merit in terms of qualifying criteria and contribution history. Where a person fails to meet the qualifying conditions of an insurance based scheme, a means tested assistance payment may be available provided they satisfy the qualifying conditions including a means test.
Further consideration is being given to the position of those exiting the workforce before pension age.
It should be noted there is no statutory compulsory retirement age for employees in Ireland. Responsibility for setting retirement age is a matter for the employer/employee relationship and the contract of employment. However, the Court of Justice of the European Union (CJEU) has made rulings in a series of age-discrimination cases concerning Directive 2000/78/EC, which prohibit work-related discrimination on various grounds, including age. The CJEU has clarified that mandatory retirement ages may be set down by employers within the context of national law, whether by contract, custom and practice or other means, which must be objectively and reasonably justified by a legitimate social policy aim, with the means of achieving that aim being both appropriate and necessary. Consideration of these issues as they relate to enterprise and equality policy come within the respective remit of the Minster for Jobs, Enterprise and Innovation and the Minister for Justice and Equality.
An interdepartmental Working and Retirement Group was initiated to consider the cross departmental policy issues arising and thereby improve the sustainability and adequacy of pensions systems. The interdepartmental group, established in August 2012, is chaired by the Department of Social Protection, and includes representatives from the Department of Social Protection, the Department of Jobs, Enterprise and Innovation, the Department of Justice and Equality, the Department of Public Expenditure and Reform and the Pensions Board. Further engagement has also been undertaken with the Department of Education and Skills and the Department of Health and Children and work in this regard is on-going.
