Dáil Éireann Debate, Tuesday - 3 November 2020
829. Deputy Carol Nolan asked the Minister for Social Protection if she will support calls for the wage subsidy scheme for persons with disabilities to be improved to boost employment opportunities; and if she will make a statement on the matter. [32978/20]
Amharc ar fhreagraThe Wage Subsidy Scheme (WSS) is an employment support to private sector employers, the objective of which is to encourage employers to employ people with disabilities and thereby increase the numbers of people with disabilities participating in the open labour market.
The scheme provides financial incentives to private sector employers to hire people with a disability for between 21 and 39 subsidised hours per week under a contract of employment. The contract of employment offered must be for a minimum of 6 months and the employee must be paid the going rate for the job (which must be at least the statutory minimum wage).
Private sector employers may claim a subsidy, subject to certain conditions, against the cost incurred where a productivity shortfall arises from a disability. The basic rate of subsidy is €5.30 per hour giving a total annual subsidy available of €10,748 per annum based on a 39 hour week.
The financial supports for employers are structured under three separate strands and companies could benefit under one strand or under two or three strands simultaneously, as the case may be, depending on the number of people with a disability employed, as below.
Strand I is a general subsidy for any perceived productivity shortfall in excess of 20% for a person with a disability, in comparison to a colleague without a disability. The subsidy is based on the number of hours worked.
Strand II subsidy is payable when an employer employs three or more people with disabilities who are supported by a WSS Strand I payment. Strand II is intended to cover the additional supervisory, management and other work based costs relating to such employees. This top-up payment is a percentage of the Strand I subsidy and is based on the overall number of employees with a disability employed under Strand I. It ranges from an additional 10% of wage subsidy for 3 to 6 employees with a disability to a maximum of 50% of wage subsidy for 23+ employees with a disability. Therefore when an employer has 23 or more WSS employees a 50% top up is applied to the hourly rate increasing the payment rate to €7.95 per hour for each employee.
|
3 to 6 employees with a disability |
10% top-up of wage subsidy paid |
|
7 to 11 employees with a disability |
20% top-up of wage subsidy paid |
|
12 to 16 employees with a disability |
30% top-up of wage subsidy paid |
|
17 to 22 employees with a disability |
40% top-up of wage subsidy paid |
|
23 + employees with a disability |
50% top-up of wage subsidy paid |
Strand III subsidy enables employers who employ 25 or more workers with a disability on the Wage Subsidy Scheme to be eligible for a grant of up to €30,000 per year towards the expense of employing an Employment Assistance Officer (EAO) to support these employees.
Through the Comprehensive Employment Strategy, the Government recognises the importance for people with disabilities of participation in employment. As part of the Strategy, my Department is committed to improving employment outcomes and removing barriers to employment for persons with disabilities. The supports provided have been designed to enable people with a disability to achieve their employment ambitions by focusing on the individual’s ability and capacity. The Department offers a range of supports to people with disabilities who may not be in a position to, or wish to, work full-time.
For instance, the Department’s INTREO service is available to any person with a disability who wishes to avail of the service. People with a disability may, on a voluntary basis, seek an appointment with an employment supports case officer to discuss their employment ambitions and develop a personal progression plan. Supports include assistance and advice on employment, training and personal development opportunities from a dedicated Case Officer, a focused service, based on individual needs to support a jobseeker to enter or re-enter the workforce and an access to job vacancies via the Department of Social Protection’s national www.jobsireland.ie website
EmployAbility is a specialist service (delivered under a contract arrangement with 24 companies in 31 locations around the country on behalf of the Department) which works with the Department’s Intreo and Local Employment Services. EmployAbility participants are people with a disability who are able to work a minimum of 8 hours per week and who need the support of a job coach to obtain employment in the open labour market. Budget 2021 included a measure to introduce a training support grant for Jobseekers availing of Employability services. The grant will seek to fund quick access to short term training or other supports for jobseekers with disabilities. The grant will be up to €1,000 and will be available in Q1 2021.
The Department contracts for the provision of Local Employment Services (LES) with 22 companies in 26 locations. Providers deliver a case managed employment service for all Jobseekers (including those with disabilities) who avail of the services. Jobseekers work with a LES Mediator to develop a personal progression plan in order to access the full range of employment supports available. Providers also deliver a recruitment and job matching service for employers. Jobseekers either engage directly with LES providers or are referred by my Department for employment service supports. LES Mediators may refer clients of the service to an EmployAbility service provider, if it is felt the person would benefit from this more specialised service
Partial Capacity Benefit is designed for people who are in receipt of Invalidity Pension or Illness Benefit (for at least six months) and who have some capacity for work. There is no restriction on participant earnings or the number of hours they can work.
The Reasonable Accommodation Fund (RAF) assists both jobseekers with disabilities and employers to enable a person with a disability to enter or re-enter employment by providing a range of grants towards the costs of retaining staff who acquire a disability, the provision of workplace adaptations and disability awareness training.
I can assure the Deputy that I will keep the Department’s employment support schemes for people with disabilities under review to ensure that they continue to meet their policy objectives. However, any potential changes to these schemes can only be considered in the wider budgetary context.
I trust that this clarifies the issue for the Deputy.
