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Tuesday, 29 Jan 2019

Written Answers Nos. 566-583

JobPath Data

Ceisteanna (566)

John Brady

Ceist:

566. Deputy John Brady asked the Minister for Employment Affairs and Social Protection the number of JobPath participants who have taken up another scheme (details supplied) as permitted since June 2018; and if she will make a statement on the matter. [4108/19]

Amharc ar fhreagra

Freagraí scríofa

My Department operates a number of employment support programmes including Community Employment, CE, and Tús. These schemes help to break the cycle of unemployment, provide work experience and improve a person’s chances of returning to the labour market.

As the Deputy is aware, customers of my Department who are engaged with the JobPath service have, from 1 June 2018, the option of taking up a placement on Community Employment, CE, and Tús while continuing to engage with the JobPath service. This change ensures that jobseekers can benefit from the job-seeking support of the JobPath service while also availing of a part-time work placement provided by Tús or CE.

My Department's records indicate that up to the end of December 2018, 953 persons engaged on JobPath have taken up places on CE, and 673 of those engaged on JobPath have started with Tús.

I trust this clarifies matters for the Deputy.

JobPath Data

Ceisteanna (567, 568, 582, 584, 585)

John Brady

Ceist:

567. Deputy John Brady asked the Minister for Employment Affairs and Social Protection the number of persons referred to JobPath since it commenced; and the number of persons who have been referred to JobPath for a second time. [4109/19]

Amharc ar fhreagra

John Brady

Ceist:

568. Deputy John Brady asked the Minister for Employment Affairs and Social Protection the amount spent on JobPath in 2018. [4110/19]

Amharc ar fhreagra

John Brady

Ceist:

582. Deputy John Brady asked the Minister for Employment Affairs and Social Protection the number of persons who have commenced employment through the JobPath scheme, by county, since its introduction in tabular form. [4376/19]

Amharc ar fhreagra

John Brady

Ceist:

584. Deputy John Brady asked the Minister for Employment Affairs and Social Protection the number of persons engaged with JobPath by county; and the number of those with a penalty rate in place, by county, in tabular form. [4424/19]

Amharc ar fhreagra

John Brady

Ceist:

585. Deputy John Brady asked the Minister for Employment Affairs and Social Protection the number of persons engaged with JobPath since its introduction in 2015; and the number of penalty rates applied in each county over the same period, by county, in tabular form. [4425/19]

Amharc ar fhreagra

Freagraí scríofa

I propose to take Questions Nos. 567, 568, 582, 584 and 585 together.

The Department of Employment Affairs and Social Protection, DEASP, provides a range of activation supports catering for long-term unemployed jobseekers and those most distant from the labour market to secure and sustain full-time paid employment. These supports include the JobPath service.

JobPath is a service that supports people who are long-term unemployed to obtain and sustain paid employment. The service was launched in 2015 on a, "rolling basis", with referral numbers gradually increasing over time. Between July 2015 and January 2019, some 205,000 jobseekers had engaged with the service.

My Department selects clients for the JobPath service by means of a random selection process, and protocols for selection currently preclude the selection of anyone who has already completed 52 weeks with the JobPath service within the previous four months. If, however, at the end of this period the jobseeker has not engaged in other activation supports and services, they then become eligible for selection for a second period of activation on the JobPath programme.

To date, just over 21,000 jobseekers have commenced a second engagement period with the service, having availed of the service previously.

Jobseekers referred for a second time will start working with a Personal Adviser, who will review their development during their previous time with the service, and together they will prepare a new personal progression plan to build on that progress. The actions and tasks agreed will be based on their previous engagement, with particular focus on the identified barriers that are preventing the person moving into full-time suitable employment.

Between July 2015 and January 2019, approximately 14,000 jobseekers had a penalty rate applied to their payment at some point during their engagement period with the JobPath service.

These are broken down by county in Table 1.

There are currently some 79,000 people engaged with the service, of which 432, or 0.5%, have a current penalty rate applied to their payment. This figure is consistent with the overall level of penalty rate applied across all jobseekers.

These are broken down by county in Table 2.

JobPath providers do not apply or recommend the application of a penalty rate of payment. They simply advise my Department if a jobseeker is failing to attend activation meetings. Officials in my Department then contact jobseekers and seek to arrange a meeting to discuss the matter directly with them. The application of penalty rates is entirely a matter for my Department, and officials involved will take all relevant factors into account.

In the interests of natural justice, a jobseeker who fails to participate in the activation process, whether that is provided directly by the Intreo Service or via a contracted service provider, is given both written and verbal warnings and an opportunity to comply before a reduced rate of payment is applied. Furthermore, jobseekers can, through co-operation with the activation service of my Department, benefit from early re-instatement of the full rate of Jobseeker’s payment.

The legislation underpinning the application of reduced rates of payment is provided for in the Social Welfare Act 2010. All decisions on the application of reduced rates of payment are made by Deciding Officers and are based on all the available evidence and the circumstances of each case. The jobseeker can appeal the Deciding Officer’s decision through the Social Welfare Appeals Office, SWAO.

Reduced rates are only applied where a jobseeker fails to engage as requested, and following at least two warnings, with the Department’s employment services.

To date, some 46,000 jobseekers have commenced employment during their engagement period with JobPath as set out in Table 3.

There are two phases to the JobPath service. During the first phase of 12 months duration, a personal advisor, PA, provides practical assistance in searching, preparing for, securing and sustaining employment. The second phase starts if the jobseeker is successful in finding work. During this phase, the PA continues to work with the client for a further period of up to 12 months. In addition to the two phases, jobseekers may also undertake training while with the service, and this may extend the period the jobseeker is supported through the service for up to a further six months.

It should be noted that the figures presented in Table 3 are representative of the entire cohort of JobPath clients between July 2015 and January 2019 and all job starts in the same period. Many clients who are currently engaged with JobPath are still in the first phase of the service and will not have had sufficient time with the service to have gained employment. It is expected that this performance will improve as more clients complete their engagement with the service.

I trust that this clarifies matter for the Deputy.

Table 1: People engaged with JobPath since its introduction in 2015

County

Jobseekers who engaged with JobPath July 2015 - January 2019

Jobseekers who had a penalty rate applied during their engagement with JobPath July 2015 - January 2019

Carlow

4765

160

Cavan

4659

500

Clare

4919

360

Cork

18059

660

Donegal

10645

470

Dublin

41215

3400

Galway

9195

630

Kerry

6975

480

Kildare

8331

640

Kilkenny

4070

180

Laois

4671

550

Leitrim

1962

200

Limerick

9950

730

Longford

4166

360

Louth

8777

750

Mayo

6277

30

Meath

4458

320

Monaghan

2719

300

Offaly

5560

570

Roscommon

1929

80

Sligo

3198

150

Tipperary

8861

510

Waterford

7145

210

Westmeath

6860

580

Wexford

9795

740

Wicklow

6023

440

Total

205184

14000

Table 2: Jobseekers currently engaged with JobPath who currently have a penalty rate applied

County

Currently engaged with JobPath

Currently engaged with JobPath with a current Penalty Rate

Carlow

1775

N/A

Cavan

1727

10

Clare

1845

N/A

Cork

6163

16

Donegal

4421

33

Dublin

17370

186

Galway

3936

24

Kerry

2419

N/A

Kildare

2829

9

Kilkenny

1469

8

Laois

1817

8

Leitrim

860

N/A

Limerick

3525

20

Longford

1451

N/A

Louth

3656

13

Mayo

2802

N/A

Meath

2086

13

Monaghan

1110

7

Offaly

2016

12

Roscommon

892

N/A

Sligo

1350

N/A

Tipperary

3176

14

Waterford

2245

N/A

Westmeath

2557

9

Wexford

2992

26

Wicklow

2304

N/A

Total

78793

432

Please note: Counties marked "N/A" are those counties where there are five penalty rates (or less) currently in place, these are not shown within the table however they are included in the overall total.

Table 3: Jobseekers engaged with JobPath who have commenced employment July 2015- January 2019

County

Jobseekers engaged with JobPath who have commenced employment July 2015 - January 2019

Carlow

1235

Cavan

934

Clare

1127

Cork

4484

Donegal

1739

Dublin

8475

Galway

1796

Kerry

2016

Kildare

2436

Kilkenny

1076

Laois

1079

Leitrim

384

Limerick

2570

Longford

872

Louth

1868

Mayo

854

Meath

800

Monaghan

687

Offaly

1349

Roscommon

307

Sligo

597

Tipperary

2142

Waterford

1816

Westmeath

1536

Wexford

2624

Wicklow

1341

Grand Total

46144

JobPath Programme

Ceisteanna (569)

John Brady

Ceist:

569. Deputy John Brady asked the Minister for Employment Affairs and Social Protection if her attention has been drawn to research carried out by Waterford Institute of Technology into JobPath following interviews with JobPath participants; and if she will make a statement on the matter. [4111/19]

Amharc ar fhreagra

Freagraí scríofa

Academics from Waterford Institute of Technology recently made statements to the Joint Oireachtas Committee on Employment Affairs and Social Protection. The statements made reference to research undertaken where 121 unemployed persons had been interviewed as part of their research into experiences of unemployment. Some 25 of those who partook in the research reported an experience of the JobPath programme. It is unclear from the statements made as to the degree to which those interviewed reflect a representative sample of service users upon which the conclusions and recommendations contained are based.

However, it should be noted that reports to the Committee are at variance with the surveys conducted by the Irish National Organisation of the Unemployed, INOU, and contrary to the feedback and findings arising from research carried out by an independent external consultants W5. This research specifically assesses the level of satisfaction with JobPath services across the country. In summary, the W5 surveys conducted in 2016, 2017 and 2018 reflect the views of some 6,000 jobseekers and found that JobPath participants view the service very positively. On the key aspects of premises, staff, services and processes, reaction is almost uniformly positive and at odds with the findings of the authors’ report.

All of the evidence available to my Department indicates that the experience of customers who have engaged with the JobPath service to date has been quite positive. In addition, the service providers are subject to regular audits and inspections. The Department’s contract with the JobPath provider requires them to have a comprehensive complaints process, and this is advertised in every provider location. The process contains various levels of escalation, allowing complaints to be dealt with at a level appropriate to the concern.

Up to December 2018, approximately 201,972 jobseekers have engaged with the JobPath service, with only 836 complaints received in total – 0.41%. The Department has completed ten reviews of complaints and participants have the option of requesting the Ombudsman to conduct a further review, although to date none have done so.

With regard to the issue of penalty rates of payment, jobseeker payments are conditional on jobseekers being genuinely available for work. The activation and employment support services provided by the Department, at significant expense, are designed to help jobseekers secure employment. In line with the principle of rights and responsibilities, jobseekers are entitled to be provided with these services but are also required to engage with the services when they are made available. This obligation applies irrespective of whether the service is provided by my Department’s own case officers, those employed by the Local Employment Service or by JobPath. Failure, without good cause, to engage with the services can result in a reduction in the payment to the jobseeker. However, reductions are only applied after jobseekers have been given due notice on two occasions and an opportunity to provide an explanation for their non-engagement and to re-engage with the services. All decisions on the application of a reduced rate of payment are made by staff of the Department.

Where the jobseeker is dissatisfied with this decision, it is open to that individual to appeal the decision to the independent Social Welfare Appeals Office. Should an appeal against a decision to apply a penalty rate be upheld, the amounts withheld from the jobseeker payment would be refunded to the person concerned.

I hope this clarifies the matter for the Deputy.

Illness Benefit Applications

Ceisteanna (570)

John McGuinness

Ceist:

570. Deputy John McGuinness asked the Minister for Employment Affairs and Social Protection further to Parliamentary Question No. 1118 of 15 January 2019, the value or purpose of allocating credited contributions from February 2018 in respect of a claim for illness benefit by a person (details supplied); if the person's application has been refused; if the person qualifies for invalidity pension; and if not, if the person will be refused for the same reasons. [4115/19]

Amharc ar fhreagra

Freagraí scríofa

Credited contributions (credits) are social insurance contributions designed to protect the social insurance entitlement record of insured workers who are not in a position to make PRSI contributions. Credits are awarded in circumstances such as unemployment or illness, and their purpose is to help protect the social insurance entitlements of insured persons during periods when they may not be in a position to pay contributions. Credits may enable insured workers to qualify for various social insurance benefits.

Invalidity pension, IP, is a payment for people who are permanently incapable of work because of illness or incapacity and who satisfy the pay related social insurance, PRSI, contribution conditions.

The PRSI contribution conditions for IP are that a person must have at least 260 (five years) paid PRSI contributions since entering social insurance and 48 contributions paid or credited in the last or second-last complete contribution year before the relevant date. Only PRSI classes A, E, H or S contributions are reckonable for IP purposes.

Entitlement to IP can only be determined on receipt of a completed application form. To date, there is no record of the Department having received a claim for IP from the lady concerned. I have arranged for an application form to be issued to her on 25 January 2019.

I hope this clarifies the matter for the Deputy.

Security of the Elderly

Ceisteanna (571)

Noel Grealish

Ceist:

571. Deputy Noel Grealish asked the Minister for Employment Affairs and Social Protection if grants are available for the provision of house alarms for those over 65 years of age; and if she will make a statement on the matter. [4116/19]

Amharc ar fhreagra

Freagraí scríofa

I am informed that the Department of Rural and Community Development funds the Senior Alert Scheme and Pobal administer this on behalf of that Department. This provides funding for a personal monitored alarm, connected to a contact centre to enable older persons aged 65 years or older and of limited means, to continue to live securely in their homes with confidence, independence and peace of mind.

Any decision to extend that scheme to house alarms, rather than personal alarms, would be a matter for the Minister for Rural and Community Development.

The Telephone Support Allowance, TSA, is a weekly payment of €2.50, which may assist people who qualify under the Senior Alert Scheme, among others. Customers of my Department who are in receipt of a qualifying payment and who are also in receipt of the Living Alone Allowance and the Fuel Allowance automatically qualify for the TSA. Approximately 127,000 customers are in receipt of the TSA payment. The estimated full-year cost of the scheme is over €16 million. The primary objective of the TSA is to allow the most vulnerable people at risk of isolation, including the elderly and those with disabilities, access to personal alarms or phones for security. However, there are no criteria attached to the payment which require the purchase of an alarm or phone of any description.

I hope this clarifies the matter for the Deputy.

Illness Benefit Eligibility

Ceisteanna (572)

Brendan Griffin

Ceist:

572. Deputy Brendan Griffin asked the Minister for Employment Affairs and Social Protection if the employment contributions in respect of an application for illness benefit by a person (details supplied) in County Kerry will be reviewed; and if she will make a statement on the matter. [4141/19]

Amharc ar fhreagra

Freagraí scríofa

The person concerned was advised by letter dated 14 January 2019 that she was not entitled to payment of Illness Benefit as she does not satisfy all of the contribution conditions.

In order to qualify for an illness benefit payment, a claimant must have 104 total PRSI contributions paid since entering insurable employment. According to the Department's records, the person concerned has 99 paid contributions.

If the person concerned believes she has further contributions that are not reflected in the Department's records, she should supply the Department with evidence of this from her employer and her entitlement to Illness Benefit will be reviewed.

I trust this clarifies the matter for the deputy.

Treatment Benefit Scheme Data

Ceisteanna (573, 574)

John Brady

Ceist:

573. Deputy John Brady asked the Minister for Employment Affairs and Social Protection the number of persons who applied for hearing aids under the treatment benefit scheme in each of the years 2016 to 2018; the cost in each of the years in the same period; and if she will make a statement on the matter. [4154/19]

Amharc ar fhreagra

John Brady

Ceist:

574. Deputy John Brady asked the Minister for Employment Affairs and Social Protection when the hearing aid grant was last reviewed; and if she will make a statement on the matter. [4155/19]

Amharc ar fhreagra

Freagraí scríofa

I propose to take Questions Nos. 573 and 574 together.

The numbers of applications for hearing aids under the Treatment Benefit scheme in the years 2016 to 2018 are detailed in the following table. There has been an increase in applications of over 50% in the last number of years; this included a significant increase since the self-employed first qualified for the scheme in March 2017.

Year

Number of applications

Costs in euros

2016

9,560

7.45m

2017

12,539

10.33m

2018

14,689

12.74m

The grant payable in respect of the purchase of hearing aids under the treatment benefit scheme is regularly reviewed in light of changes in technology and associated market costs.

The current grant available is 50% of the cost of the hearing aid, to a maximum of €500 per aid, (maximum of two aids in a four-year period) and has been in place since 2012.

I hope this clarifies matters for the Deputy.

Social Welfare Benefits Eligibility

Ceisteanna (575)

Martin Ferris

Ceist:

575. Deputy Martin Ferris asked the Minister for Employment Affairs and Social Protection if a person (details supplied) who is in receipt of a small UK pension is entitled to the living alone and fuel allowances; and if she will make a statement on the matter. [4182/19]

Amharc ar fhreagra

Freagraí scríofa

The fuel allowance is a payment of €22.50 per week for 28 weeks (a total of €630 each year) from October to April, to over 372,000 low income households, at an estimated cost of €240 million in 2019. The purpose of this payment is to assist these households with their energy costs. The allowance represents a contribution toward the energy costs of a household. It is not intended to meet those costs in full. Only one allowance is paid per household.

It is important to note that people in receipt of a British State pension or an equivalent pension from other EU countries are eligible to receive the fuel allowance payment on the same basis as Irish State pension recipients. For my Department to determine a person's entitlement to fuel allowance, he or she must submit an application form. My Department has no record of the person concerned submitting an application for fuel allowance.

The Living Alone Increase is a €9 increase in the weekly rate of payment of certain Irish social protection payments, awarded where the recipient is living alone. These payments include State pensions, disability allowance, invalidity pension, incapacity supplement and blind pension. It is not a stand-alone payment.

People in receipt of the British state pension or equivalent payments from other EU countries are not entitled to receive the Irish living alone increase to that payment, as the respective rates of those payments to people living alone or with other people are set by national legislation in those countries. There are no circumstances where the living alone increase can be paid to people who are not in receipt of a qualifying payment from my Department in the first place.

Certain people who live in Ireland and receive a UK pension may qualify for a State pension (non-contributory). This is a means-tested payment for people aged 66 years and over, who do not qualify for a contributory State Pension, or who only qualify for a reduced rate contributory pension based on their social insurance record. To be eligible for a State pension (non-contributory), an applicant must:

- be aged 66 years or over;

- have a legal right of residence in the State;

- be habitually resident in the State;

- have a valid Personal Public Service Number, PPSN,

- satisfy a means test; and

- if awarded the pension, continue to satisfy the Habitual Residence Condition and the applicable means test.

I hope this clarifies the matter for the Deputy.

Illness Benefit Payments

Ceisteanna (576)

Kevin O'Keeffe

Ceist:

576. Deputy Kevin O'Keeffe asked the Minister for Employment Affairs and Social Protection the reason for irregular payment amounts of illness benefit to a person (details supplied). [4200/19]

Amharc ar fhreagra

Freagraí scríofa

The Illness Benefit claim for the person concerned is fully paid up to 26 January 2019. Her payment pattern is determined by the date her medical certificates are received and the dates her payments are due.

A payment of €162.78 issued to her bank account on 8 January 2019 that paid her for the period 8 January - 12 January 2019.

A further payment of €195.33 issued to her account on 15 January 2019 that paid her for the period 14 January - 19 January 2019.

Her most recent payment issued on 23 January 2019 for the period 21 January - 26 January 2019.

The person concerned is currently certified up to 3 February 2019 and a further payment will issue to her this week.

If she remains ill and unfit for work, further medical certificates should be submitted to the Department as soon as possible in order for payments to issue in a timely manner.

I trust this clarifies the matter for the Deputy.

Invalidity Pension Applications

Ceisteanna (577)

Willie O'Dea

Ceist:

577. Deputy Willie O'Dea asked the Minister for Employment Affairs and Social Protection when a decision will be made on an invalidity pension application by a person (details supplied); and if she will make a statement on the matter. [4223/19]

Amharc ar fhreagra

Freagraí scríofa

The lady referred to has been awarded invalidity pension with effect from 29 March 2018. Payment will issue to her nominated bank account on 7 February 2019. Any arrears due from 29 March 2018 to 6 February 2019 (less any overlapping social welfare payment) will issue as soon as possible. The lady in question was notified of this decision on 24 January 2019.

I hope this clarifies the matter for the Deputy.

Legislative Process

Ceisteanna (578)

Pearse Doherty

Ceist:

578. Deputy Pearse Doherty asked the Minister for Employment Affairs and Social Protection the legislation, including heads of Bills, from her Department that was sent to EU institutions before publication for the period of the Thirty-second Dáil; and if she will make a statement on the matter. [4248/19]

Amharc ar fhreagra

Freagraí scríofa

No pieces of legislation or draft heads of Bills have been sent by my Department to EU institutions before their publication during the period of the Thirty-second Dáil.

In relation to the Miscellaneous Provisions (Withdrawal of the United Kingdom from the European Union on 29 March 2019) Bill 2019, and Brexit Preparedness and Contingency planning more generally, the Government continues to engage with the EU institutions and other Member States to ensure a coordinated approach, where appropriate.

I trust this clarifies the matter for the Deputy.

State Pension (Contributory)

Ceisteanna (579)

Thomas P. Broughan

Ceist:

579. Deputy Thomas P. Broughan asked the Minister for Employment Affairs and Social Protection if she will give consideration to backdating the arrears payments to pensioners affected by the Budget 2012 rate band changes back to January 2013; the estimated cost of the restoration; and if she will make a statement on the matter. [4324/19]

Amharc ar fhreagra

Freagraí scríofa

The rates of payment, and qualification rules for benefits paid by my Department change from time to time with the approval of Government and the Oireachtas. Generally, these are improvements, at times of inflation and economic growth, but during the economic crisis (and the very significant price deflation at that time), there were reductions in a wide range of payments, which were necessary to manage the very large current budget deficit that the economic turndown created. More recent budgets have seen a number of improvements in the rates of payments across a number of schemes, as the economy has recovered, and the Government has tried to restore and improve rates as this has become possible, while mindful not to repeat the mistakes which caused the economic crisis in the first place.

Such increased rates of payment are not backdated to dates before those changes are announced, and applicants receive their payment based on the correct rules that apply at that time.

In January last year, I announced a new Total Contributions Approach, TCA, to calculating the entitlement of pensioners who reached State pension age from September 2012 (i.e., those born on or after 1 September 1946). In this announcement, I stated that payments would be due from 30 March 2018 in keeping with other budgetary increases that had also been announced. However, the practical steps required to implement these new payments, including development of supporting legislation and IT systems, meant that the first payments would be made in the first quarter of 2019, with arrears paid where appropriate.

My Department is in the process of reviewing those pensioners in receipt of a contributory State Pension below the maximum rate. Payments are expected to be processed in the coming months and will be backdated to 30 March 2018, or their 66th birthday, whichever is later. The cost of this change in 2019, including 2018 arrears, is expected to come to something in the region of €54 million, plus inflows from other payments, such as non-contributory pensioners, who will now qualify for a higher rate contributory pension. The precise figure will depend upon a number of factors, including take-up of HomeCaring periods, and also the inflows from other payments, where a person has no existing SPC claim in the system.

It is more difficult again to give a precise figure for what would be the cost of backdating payments for this change to six years ago, as this would include a number of people who have passed away over the years, and are not, therefore, among current pensioners who are being reviewed. A tentative estimate would suggest the cost to be in the region of €220 million if the new rules were to apply for all who reached State pension age after 1 January 2013.

However, aside from the general principles involved in backdating, if there was to be such a measure introduced for pensioners, there would be calls for similar backdating from many other customers who saw reductions in their payments during the recessionary period. This would make the ultimate cost of such backdating a multiple of its cost in the context of pensions.

I hope this clarifies the position for the Deputy.

Departmental Schemes

Ceisteanna (580)

Noel Rock

Ceist:

580. Deputy Noel Rock asked the Minister for Employment Affairs and Social Protection her plans to increase the compulsory retirement age to 70 years for those on community employment and job initiative schemes; and if she will make a statement on the matter. [4335/19]

Amharc ar fhreagra

Freagraí scríofa

I presume that in asking this question the Deputy is alluding to the provisions of the Public Service Superannuation (Age of Retirement) Act 2018. Responsibility for this legislation lies with the Department of Public Expenditure and Reform. As the Deputy is aware, the provisions of the Act apply to public service employees only.

Participants and supervisors on Community Employment and Job Initiative schemes are employees of private companies in the community and voluntary sector who receive public funding. They are not employees of my Department or public servants, and therefore the provisions of the Act do not apply to them.

My Department does not provide funding for participant or supervisors who have reached the State Pension age.

Local Employment Service

Ceisteanna (581)

John Brady

Ceist:

581. Deputy John Brady asked the Minister for Employment Affairs and Social Protection the preliminary work completed on tendering for the local employment service; her plans to commence a tender process for the service; and if she will make a statement on the matter. [4341/19]

Amharc ar fhreagra

Freagraí scríofa

My Department oversees the procurement for JobPath, the Local Employment Services, LES, and Jobs Clubs. The LES and Job Clubs are currently on annual contracts, which are reviewed on an ongoing basis. The contracts for JobPath are due to expire at the end of 2019, with some contractual provisions for extension, although this is not envisaged at this point.

In this context, my Department is continually engaged in ensuring all contracted public employment services are fit for purpose. No formal tendering process for 2020 is currently under way, and no final decisions have been made in this regard.

My Department will continue to consult with the relevant stakeholders to ensure that any future contracted PES gives the best possible service for those who wish to return to the labour market.

Question No. 582 answered with Question No. 567.

Disability Allowance Eligibility

Ceisteanna (583)

Willie Penrose

Ceist:

583. Deputy Willie Penrose asked the Minister for Employment Affairs and Social Protection the reason the amount of tax paid is not allowed as a deduction in terms of the calculation of means in respect of a person applying for a disability allowance (details supplied); and if she will make a statement on the matter. [4398/19]

Amharc ar fhreagra

Freagraí scríofa

Social welfare legislation provides that all income and property belonging to the claimant (and his or her spouse/partner, where applicable) is assessable for means testing purposes for social assistance schemes, such as Disability Allowance. In the assessment of earnings, various disregards and tapers are in place to ensure that financial incentives exist to take up employment.

Earnings assessed for means-testing purposes generally is based on gross earnings before tax but after PRSI contributions, superannuation/PRSA contributions and trade union subscriptions.

The current entry points to the tax net ensures that employees do not have to pay income tax until earnings reach €16,500 per annum for a single person, €24,750 per annum for a married one-earner couple and a single parent, and €33,300 per annum for a married two-earner couple. Allowing taxation as a deduction would mean that the social welfare system, in effect, refunds a person's tax liability.

It should be noted that the recently enacted Social Welfare, Pensions and Civil Registration Act 2018 implemented the Make Work Pay recommendation to remove the requirement that employment must be of a rehabilitative nature in order to qualify for the Disability Allowance earnings disregards. Accordingly, all Disability Allowance recipients in employment from 31 of December 2018 will benefit from a €120 disregard of earnings from employment, with earnings between €120 and €350 per week assessed at 50%.

Any such change to the disregard for outgoings such as taxation when assessing a customer’s income or means would need to be considered in the overall policy and budgetary context.

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