Written Answers Nos. 154 - 171
155. Deputy Brendan Griffin asked the Tánaiste and Minister for Social Protection if recipients of part-time jobseeker's benefit will receive the 25% Christmas bonus; and if she will make a statement on the matter. [40101/14]
Amharc ar fhreagraI announced in Budget 2015 that a 25% Christmas bonus will be paid this year to recipients of certain social welfare payments. Where payable, the minimum bonus to be paid will be €20 and the measure as a whole is expected to benefit over 1.16m people.
The Christmas bonus was introduced in 1980 and was last paid in 2008. In that year (and in previous years), the Bonus was not paid to persons who had been in receipt of jobseekers’ payments for less than 15 months. Accordingly, it was not paid to recipients of jobseeker’s benefit. It was also not paid to recipients of jobseeker’s allowance who were in receipt of that payment for less than 15 months (time spent on jobseeker’s benefit prior to receipt of jobseeker’s allowance was taken into account in calculating the duration of unemployment).
Similar arrangements will apply in relation to payment of the 25% Bonus this year. Recipients of jobseeker’s allowance who are also engaged in part-time employment can qualify for a Bonus if they have been in receipt of the payment for 15 or more months.
156. Deputy Brendan Griffin asked the Tánaiste and Minister for Social Protection if recipients of back to education allowance will receive the 25% Christmas bonus; and if she will make a statement on the matter. [40104/14]
Amharc ar fhreagra167. Deputy Brendan Griffin asked the Tánaiste and Minister for Social Protection if recipients of family income supplement will receive the 25% Christmas bonus; and if she will make a statement on the matter. [40160/14]
Amharc ar fhreagraI propose to take Questions Nos. 156 and 167 together.
I announced in Budget 2015 that a 25% Christmas bonus will be paid this year to recipients of certain social welfare payments. Where payable, the minimum bonus will be €20 and the measure as a whole is expected to benefit over 1.16m people.
The Christmas bonus was introduced in 1980 and was last paid in 2008. In that year, the Bonus was paid to all recipients of back to education allowance (BTEA) who were in receipt of long-term jobseeker’s allowance prior to commencing the BTEA scheme or to short-term jobseeker’s allowance or jobseeker’s benefit provided, if they had remained on the live register, they would have exhausted 15 months prior to the application of the bonus week. A bonus was not paid to recipients of family income supplement in 2008 and in prior years.
Similar arrangements will apply this year in relation to eligibility to a bonus payment for recipients of the schemes in question.
157. Deputy Michael McGrath asked the Tánaiste and Minister for Social Protection the number of households who are likely to be ineligible for the €100 payment in respect of water charges and by virtue of not having enough income to fully avail of the tax credit will not receive any benefit from either measure; and if she will make a statement on the matter. [40108/14]
Amharc ar fhreagraThe Department of Social Protection will spend €230 million this year on the household benefits package for almost 415,000 customers. The fuel allowance is paid for 26 weeks from October to April to almost 415,000 households at an estimated cost of €208 million in 2014.
The Government has already announced that from 2015 both the household benefits package and the fuel allowance will also include a quarterly water support payment of €25. The estimated cost of this new water support payment of €100 per annum will be in the region of €66 million in 2015.
I am confident that the combination of both household benefits and fuel allowance as qualifying payments for water support will ensure that the payment is made to those most likely to be impacted by the charges, including the elderly, the disabled and those on long term social protection payments.
The following schemes provide entitlement to household benefits or fuel allowance, in some cases subject to a means or household composition test:
- State pension contributory, non-contributory and transition
- widow's, widower's or surviving civil partner's contributory and non-contributory pension
- pre-retirement allowance, farm assist and long term (over 15 months) jobseeker's allowance
- one parent family payment
- deserted wife's allowance
- deserted wife's benefit
- disability allowance
- blind pension
- carer's allowance (if carer lives with person being cared for)
- invalidity pension
- injury benefit
- guardian's payment (non-contributory)
- guardian's payment (contributory)
- others, including people over 70, people in receipt of a foreign pension, people aged 66-70 subject to a means test.
People who had an entitlement to household benefits or fuel allowance before beginning employment support or back to education schemes normally retain their entitlements while on the schemes.
The following short term schemes are not qualifying schemes for either household benefits or fuel allowance:
- basic supplementary welfare allowance (under 15 months)
- short term jobseeker's allowance (under 15 months)
- jobseekers benefit
- maternity or adoptive benefit
- family income supplement
- illness benefit
- carers benefit
- health and safety benefit.
As regards the number who will not be entitled to water support, it is not possible to give a definitive answer, as both household benefits and fuel allowance are paid on a household basis, i.e., a house with several people in receipt of weekly payments from this Department will only receive one water support payment. People who are in receipt of non-qualifying payments may live in households which qualify through other people in the household. Similarly, while family income supplement (FIS) is not a qualifying payment itself, a person in receipt of both FIS and one parent family payment may qualify for fuel allowance.
The question of income tax relief and the numbers who will be able to avail of it is a matter for the Minister for Finance.
159. Deputy Dan Neville asked the Tánaiste and Minister for Social Protection if she will review an application for invalidity pension in respect of a person (details supplied) in County Cork based on latest medical evidence which was submitted to the Department. [40120/14]
Amharc ar fhreagraThe Social Welfare Appeals Office has advised me that the appeal from the person concerned was referred to an Appeals Officer who has decided to hold an oral hearing in this case on 23 October 2014. The person concerned has been notified of the arrangements for the 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 in relation to social welfare entitlements.
160. Deputy Jack Wall asked the Tánaiste and Minister for Social Protection the reason a person (details supplied) in County Kildare was not paid redundancy; and if she will make a statement on the matter. [40122/14]
Amharc ar fhreagraThe redundancy lump sum application in respect of the person detailed has been awarded and payment was lodged to the person’s nominated bank account.
161. Deputy Frank Feighan asked the Tánaiste and Minister for Social Protection if she will provide an update on an application for a carer's allowance in respect of a person (details supplied) in County Roscommon. [40130/14]
Amharc ar fhreagraThe Social Welfare Appeals Office has advised me that an appeal by the person concerned was referred to an Appeals Officer on 07 October 2014, 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 in relation to social welfare entitlements.
166. Deputy Dara Calleary asked the Tánaiste and Minister for Social Protection the changes to employer's PRSI in budget 2015; and if she will make a statement on the matter. [40142/14]
Amharc ar fhreagraThere were no changes to employer’s PRSI in Budget 2015.
169. Deputy Willie O'Dea asked the Tánaiste and Minister for Social Protection the actions she will take to include the self-employed under State social insurance; the number of self-employed persons here; and if she will make a statement on the matter. [40231/14]
Amharc ar fhreagraSelf-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).
Self-employed workers may access social welfare supports by establishing eligibility 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 assessing means from self-employment, income from the previous twelve months is used as an indicator of likely future earnings.
In September 2013, I published the report of the Advisory Group on Tax and Social Welfare on Extending Social Insurance Coverage for the self-employed. The Group was asked to examine and report on issues involved in extending social insurance coverage for self-employed people in order to establish whether or not such cover is technically feasible and financially sustainable, with the requirement that any proposals for change must be cost neutral.
The Group found that the current system of means tested jobseeker’s allowance payments adequately provides cover to self-employed people for the risks associated with unemployment. In this context, the Group noted that almost 9 out of every 10 self-employed people who claimed the means tested jobseeker’s allowance during the three-year period from 2009 to 2011 received payment. Consequently, the Group was not convinced that there was a need for the extension of social insurance for the self-employed to provide cover for jobseeker’s benefit.
The Group found that extending social insurance for the self-employed was warranted in cases related to long term sickness or injuries. To this end, the Group recommended that class S benefits should be extended to provide cover for people who are permanently incapable of work, because of a long-term illness or incapacity, through the invalidity pension and the partial capacity benefit schemes. The Group further recommended that the extension of social insurance in this regard should be on a compulsory basis and that the rate of contribution for class S should be increased by at least 1.5 percentage points.
This recommendation will require further consideration in conjunction with the findings of the most recent Actuarial Review of the Social Insurance Fund which indicated that the self-employed achieve better value for money compared to the employed when the comparison includes both employer and employee contributions in respect of the employed person. The Actuarial Review found that the effective annual rate of contribution needed to provide the full rate State pension (contributory), currently available to self-employed contributors, is approximately 15%.
I will keep recommendations contained in the report under review in the medium term taking into account future developments in terms of the budgetary and fiscal situation.
The most recent statistical information available from this Department shows that there were 321,238 persons paying class S PRSI in 2012.
170. Deputy Willie O'Dea asked the Tánaiste and Minister for Social Protection the actions she will take to ensure that landlords accept tenants who are in receipt of rent supplement; if her attention has been drawn to the high number of persons refused tenancy as a result of their receiving of rent supplement; and if she will make a statement on the matter. [40232/14]
Amharc ar fhreagra183. Deputy Bernard J. Durkan asked the Tánaiste and Minister for Social Protection the extent to which rent supplement levels remain an issue in the context of homelessness; if she and her Department may enter into arrangements with the Department of the Environment, Community and Local Government with a view to ameliorating measures; and if she will make a statement on the matter. [40369/14]
Amharc ar fhreagraI propose to take Questions 170 and 183 together.
The purpose of rent supplement is to provide short-term income support to eligible people living in private rented accommodation. There are approximately 73,500 rent supplement recipients for which the Government has provided over €344 million for 2014.
I am acutely aware of the difficulties people are experiencing in maintaining affordable rented accommodation, including those in receipt of rent supplement, in the current market, particularly in areas of high demand. Raising rent limits may not be the solution to the problem as it is likely to add to further rental inflation and impact, not alone on rent supplement recipients, but also on many lower income workers and students. I plan to keep the matter under close review.
Analysis shows that the impact of increasing limits at this time will yield only a very marginal increase in available supply for rent supplement recipients with the only certainty that raising limits will increase costs disproportionately for the Exchequer with little or no new housing available to new recipients.
I can assure the Deputies that officers administering rent supplement throughout the country have considerable experience in dealing with customers and will continue to make every effort to ensure that their accommodation needs are met. Discretionary powers are available to staff to award a supplement for rental purposes in exceptional cases where it appears that the circumstances of the case so warrant. A notice reminding staff of their statutory discretionary power to award a supplement for rental purposes in exceptional cases, for example, when dealing with applicants who are at risk of losing their tenancy was circulated earlier this year.
In light of a particular concentration of the homelessness problem in the Dublin area, the Department has agreed a tenancy sustainment protocol with the Dublin local authorities and voluntary organisations so that families on rent supplement who are at risk of losing their accommodation can have more timely and appropriate interventions made on their behalf. Since the launch of this protocol in mid-June 2014, over 150 families have had their rent supplement claims revised by the Department.
Increasing housing supply and the reactivation of the construction activity is a critical issue for Government and is key to restoring stability to the rental market. The Government has recently launched its Construction Strategy 2020.
As part of Budget 2015, Government has also announced significant capital investment of over €2.2 billion for social housing for the next three years. In 2014, over €800 million will be invested in a range of housing programmes which represents the first major investment in housing since 2009. An additional €10.5 million will be provided for accommodation and related services for homeless persons, increasing the annual expenditure for tackling homelessness to €55.5 million next year.
My colleague, the Minister for the Environment, Community and Local Government, Alan Kelly T.D., is also due to publish a Social Housing Strategy shortly. This will propose a range of approaches and reforms that are innovative and challenging and will provide a basis for an improved and sustainable approach to the provision of social housing supports in Ireland.
Finally, it is clearly my preference that a person in receipt of rent supplement should not be refused accommodation due to the fact that they are receiving support from the State. The fact that approximately 73,500 people are in receipt of rent supplement, of which some 16,500 were awarded this year, shows that a significant number of persons are being accommodated under the scheme. My position on this matter has been advised to the two larger property website owners in terms of their advertising, following which, one subsequently removed the reference to rent supplement on their website. Officials in the Department are also engaging with those in the Department of Justice and Equality in regard to this issue.
171. Deputy Willie O'Dea asked the Tánaiste and Minister for Social Protection if she is satisfied with her Department’s actions in ensuring that those in long-term unemployment are supported by her Department in their attempts to return to the workforce; the number of long-term unemployed who returned to employment annually from 2011 to date in 2014; the number and percentage of long-term unemployed during that time; and if she will make a statement on the matter. [40233/14]
Amharc ar fhreagra186. Deputy Bernard J. Durkan asked the Tánaiste and Minister for Social Protection the extent to which her Department continues to monitor fluctuations in the number of youth unemployed; the extent to which progress continues to be noted in respect of improvements in the situation; and if she will make a statement on the matter. [40372/14]
Amharc ar fhreagra187. Deputy Bernard J. Durkan asked the Tánaiste and Minister for Social Protection the extent to which her Department continues to focus on the long-term unemployed with a view to identifying the extent to which ongoing reduction may be achieved; and if she will make a statement on the matter. [40373/14]
Amharc ar fhreagra189. Deputy Bernard J. Durkan asked the Tánaiste and Minister for Social Protection the extent to which she and her Department have identified the most successful means of addressing the issue of long-term and youth unemployment; her expectations in this regard in 2015; and if she will make a statement on the matter. [40375/14]
Amharc ar fhreagra192. Deputy Bernard J. Durkan asked the Tánaiste and Minister for Social Protection the extent to which she and her Department continues to monitor the age profile of those on the live register with a view to facilitating their efforts to return to work; and if she will make a statement on the matter. [40378/14]
Amharc ar fhreagraI propose to take Questions Nos. 171, 186, 187, 189 and 192 together.
In the first instance, the Government’s primary strategy to reduce long term unemployment and youth unemployment is through policies to create the environment for a strong economic recovery by promoting competitiveness and productivity. Economic recovery will underpin jobs growth. This strategy is working. Employment has risen by over 75,000 since 2012. The unemployment rate is falling and is currently at 11.1%, the lowest rate in 5 years – and is down from a peak of just over 15% in 2011.
The most recent QNHS figures for long term unemployment show that since a peak in Q1 2012 of 204,000, the numbers had fallen by 57,800 as of Q2 2014, a reduction of 28% (see Figure 1 below). The percentage of the labour force who are long-term unemployed (the long-term unemployment rate) rose from 8.2% in 2011 Q1 to 9.5% in Q1 2012 before falling over the last two years to a recent low of 6.8% in Q2 2014.
Table 1: Long Term Unemployment 2011-2014
|
- |
2011 Q1 |
2012 Q1 |
2013 Q1 |
2014 Q1 |
2014 Q2 |
|
Numbers of LTU |
177,000 |
204,300 |
180,500 |
156,200 |
146,500 |
|
LTU rate |
8.2% |
9.5% |
8.4% |
7.3% |
6.8% |
The most recent figures also show youth unemployment down by 11,400 year-on year to 52,600 in Q2 2014, equating to an unemployment rate of 27%.
In Pathways to Work 2012, a target was set for the Department of Social Protection of moving 75,000 of those who were long-term live registrants at the end of 2011 into employment by the end of 2015. Up to the end of the third quarter of 2015, over 56,000 of this group had moved into, and remain in, employment. Of this number over 18,500 moved into employment in 2012, over 20,500 moved into employment in 2013 and just under 17,000 have moved into employment so far this year. Given progress to date, the Department is on course to reach its 2015 target.
Nevertheless, despite the progress that has been made, the Government recognises that both long-term unemployment and youth unemployment remain unacceptably high. People who are long-term unemployed account for 58% of total unemployment and within the overall number who are more than 12 months unemployed the number that are two and three years unemployed is particularly worrying. It is clear that some people who became unemployed at the height of the jobs crisis in 2009 have found it particularly difficult to find employment. In this regard it is noted that nearly 100,000 (c 26%) of people on the Live Register have been unemployed for three years or more. Hence, the Government recognises the need for additional activation measures to ensure that as many as possible of the jobs created as the economy recovers are taken up long-term and young Live Registrants. This is the rationale behind the Government’s Pathways to Work strategy and the Youth Guarantee, both of which are being led by the Department of Social Protection.
The latest iteration of the Pathways to Work Strategy - Pathways to Work 2015, which was published earlier this month, includes a wide range of programmes and services to help long term unemployed jobseekers back to employment. These include programmes such as JobBridge, JobsPlus and Momentum introduced by this Government and schemes such as Community Employment and Tús, where the Department has significantly increased the number of places available. Pathways to Work 2015 also includes arrangements to increase the level of systematic engagement of the employment services with those who are out of work for long periods. There is also a specific focus on employer engagement to encourage employers to recruit from the Live Register.
In addition, the Youth Guarantee initiative is specifically aimed at those under 25 who are unemployed with specific targeting of those who are either long-term unemployed or are most at risk of becoming long-term unemployed. The implementation of the Guarantee is a medium-term policy of the Irish Government. The guarantee of an offer of training, education or work experience for those aged under 25 years after a four month period is currently being implemented on a phased basis. Processes and programmes are being progressively rolled out to ensure that all of those young unemployed people who need most support (i.e. are assessed as having a low probability of securing employment in the absence of support from the Public Employment Services) will receive a Youth Guarantee offer within four months. During 2014–2015 all long-term unemployed young people under 25 will be engaged by the Public Employment Service and will receive a Youth Guarantee offer if still unemployed after four months of this engagement process commencing.
The Department of Social Protection keeps a detailed breakdown of the profiles of jobseekers and this information is used both to inform policy developments and to support operational management of the services provide by the Department. Data on each client’s age, past occupation, and his/her education, is collected at the point of registration for job-seekers’ payments; these and other relevant data are processed and the probability of exiting the live register is calculated (PEX). This is essentially a predictor on how long a client will remain unemployed. The roll-out of the profiling system at the Department’s ‘one-stop-shop’ Intreo offices implicitly involves age profiling of the unemployed, as age is one of the main determining variables in predicting how long a client will remain unemployed. As a result, if someone is in an age category that is more likely to experience longer term unemployment, s/he will, all other things being equal, receive more targeted assistance.
Summary statistical information on the clients’ age together with other demographic and regional information is published on the Central Statistics Office website.
