Dáil Éireann Debate, Thursday - 14 February 2019
264. Deputy Bernard J. Durkan asked the Minister for Employment Affairs and Social Protection the procedure for dealing with means-tested jobseeker's payments in cases in which the jobseeker obtains a single day's work in a six-month period; if all or part of the person's payment in respect of employment becomes deductible from the person's social welfare entitlement; and if she will make a statement on the matter. [7612/19]
Amharc ar fhreagraMy Department’s main social welfare supports for people who are unemployed are the jobseeker’s allowance and the jobseekers benefit schemes which provide income support for people who have lost work and are unable to find alternative full time employment. The 2019 Estimates for my Department provide for expenditure this year on the jobseeker’s schemes of €1.95 billion.
Social insurance benefits including jobseeker’s benefit are not means tested payments but rather payments which are covered by PRSI contributions. In any single jobseeker benefit payment week, the number of the days for which benefit is paid plus the number of days worked cannot exceed five. Where a person is in receipt of a jobseekers benefit payment and obtain a single day's employment they lose a days payment for the day they work.
Jobseeker's allowance is a means tested social assistance scheme. Where a person or their spouse/partner has earnings from insurable employment, their earnings less PRSI contributions, pension contributions and trade union subscriptions are assessed as means. A disregard of €20 per day is applied, which can cover associated costs, to the earnings for each day worked subject to a maximum of €60 per week (3 days) and the balance of the employment income is assessed at 60%. In any single jobseeker allowance payment week where a person has a single day of employment the disregard of €20 for that day is applied and the balance of that day's earnings are assessed at 60%. This amount is then deducted from that weeks payment.
Both schemes are based on a day of employment or unemployment as the case may be. This days based system can provide significant income supports to jobseekers who are part-time workers or casually employed. For instance an individual can earn a little over €20,190 per year and still retain a small jobseekers allowance payment, while the equivalent threshold for an individual with a qualified adult is almost €34,700 if they are both working.
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 which is kept under review in a budgetary context.
I trust that this clarifies the matter for the Deputy.
