Léim ar aghaidh chuig an bpríomhábhar
Gnáthamharc

Tuesday, 22 Mar 2022

Written Answers Nos. 61-80

Departmental Strategies

Ceisteanna (62)

Brendan Griffin

Ceist:

62. Deputy Brendan Griffin asked the Minister for Social Protection the timeline for developing a communications campaign to highlight the ability of people to retain key social welfare supports when taking up employment. [14865/22]

Amharc ar fhreagra

Freagraí scríofa

Promotional campaigns are an important part of how my Department ensures our customers are informed of the schemes and supports to which they may be entitled.

In quarters 2 and 3 of 2019 my Department ran a public information campaign to promote the Working Family Payment (WFP).  The objective of the campaign was to provide customers, particularly working families on low to moderate incomes, with more information about the Working Family Payment, especially those who may not be aware of the payment or who may not realise that they qualify for it.

In 2020, 2021 and in early 2022 the main focus of my Department's communications and campaign activity was on promoting the supports available to those who had lost income as a result of the COVID-19 pandemic.  My Department undertook extensive communications campaigns during this time to promote the COVID-19 Enhanced Illness Benefit, COVID-19 Pandemic Unemployment Payment, and the Temporary Wage Subsidy Scheme. 

We are now working on campaign planning in line with our commitments under the Pathways to Work and Roadmap for Social Inclusion strategies.  In 2022 we are shifting our focus to the promotion of the Public Employment Service and the income supports available to those in work.  

Dedicated campaigns are in planning for later this year, promoting transitioning into employment and the ability of people to retain key social welfare supports when taking up employment.

Question No. 63 answered with Question No. 29.

Emergency Accommodation

Ceisteanna (64)

Donnchadh Ó Laoghaire

Ceist:

64. Deputy Donnchadh Ó Laoghaire asked the Minister for Social Protection if she will consider a policy in which families living in emergency accommodation can access exceptional needs payments to pay for taxis for their children to go to school. [14147/22]

Amharc ar fhreagra

Freagraí scríofa

The supplementary welfare allowance scheme is the safety net within the overall social welfare system in that it provides assistance to eligible people in the State whose means are insufficient to meet their needs and those of their dependants. 

Families living in emergency accommodation placements may have additional costs, such as travel.  Under the SWA scheme my Department may make a single exceptional needs payment (ENP) to help meet essential, once-off expenditure which a person could not reasonably be expected to meet out of their weekly income.  In addition support can be provided through a supplement under the SWA scheme which can be awarded to assist with ongoing or recurring costs that cannot be met from the person's own resources and are deemed to be necessary. 

Decisions on ENPs and SWA supplements are made at the discretion of the officers administering the scheme taking into account the requirements of the legislation and all the relevant circumstances of the case in order to ensure that the payments target those most in need of assistance.  Assistance can be provided for travel costs where there are no other supports available.

I would encourage any person who considers they may have an entitlement to an exceptional needs payment or a supplement to contact the Community Welfare Service at their local Intreo Centre.  There is a national Income Support Helpline in place - 0818-800024 - which will direct callers to the appropriate office.    

I trust this clarifies the matter for the Deputy. 

Social Welfare Benefits

Ceisteanna (65)

Thomas Gould

Ceist:

65. Deputy Thomas Gould asked the Minister for Social Protection her plans to financially recognise the efforts of those in receipt of the carer’s allowance during the Covid-19 pandemic. [14838/22]

Amharc ar fhreagra

Freagraí scríofa

My Department provides a comprehensive package of carer's income supports including Carer’s Allowance, Carer’s Benefit, Domiciliary Care Allowance and the Carer’s Support Grant.  At the end of January, there were 90,934 people in receipt of Carer's Allowance.  The estimated expenditure on Carer’s Allowance in 2022 is approximately €990 million.  Combined spending on all these payments to carers in 2022 is estimated to exceed €1.5 billion.  

In so far as my role as Minister for Social Protection is concerned, I have done my utmost to support the invaluable role played by carers in our society.  Despite the extra financial demands due to the Covid-19 crisis, I increased the Carer’s Support Grant by €150 to a rate of €1,850.  This is the highest rate since its introduction. 

In Budget 2022, I introduced a range of measures benefitting family carers directly, including:

- €5 increase in maximum rate of all core weekly payments, with effect from January,

- €3 increase for qualified child dependants aged 12 and over and €2 for those up to age 12, in all core weekly payments,

- €5 increase in the Fuel Allowance from €28 to €33 per week, from 12 October 2021,

- An increase in the weekly income disregard for Carer’s Allowance to €350 a week for single carers and to €750 for carers with a spouse or partner,

- An increase in the Capital/Savings disregard for Carer’s Allowance from €20,000 to €50,000.  This will bring the capital means test in line with that of Disability Allowance.    

- Domiciliary Care Allowance will be paid for children who go into hospital for up to 6 months (currently 3 months).  Carer’s Allowance and the Carer’s Support Grant will also continue to be paid in respect of children who go into hospital for 6 months.

- I can assure the Deputy that I am very aware of the key role carers play in our society and of the particular challenges they faced in light of the Covid-19 pandemic.  However any further improvements to the Carer's Allowance payment can only be made in an overall Budgetary and policy context.

I trust this clarifies the matter for the Deputy.

Covid-19 Pandemic

Ceisteanna (66)

Niamh Smyth

Ceist:

66. Deputy Niamh Smyth asked the Minister for Social Protection the current procedure to avail of enhanced illness benefit for Covid-19; and if she will make a statement on the matter. [14822/22]

Amharc ar fhreagra

Freagraí scríofa

Enhanced Illness Benefit for Covid-19 is a scheme that was introduced in March 2020, to support people who are incapable of work or who are required to self-isolate, as a result of a COVID diagnosis or being a probable source of infection.  It is paid at a rate of €350 per week and is paid for a maximum of 7 days where a person is self-isolating due to being a probable source of infection, and for a maximum of 10 weeks if a person has been diagnosed with COVID-19.

In order to qualify for this payment, a person must be absent from work and confined to their home or a medical facility.  They must be self-isolating or restricting their movements on the instruction of a doctor, in line with public health guidance, due to being symptomatic and a probable source of COVID-19 infection or diagnosed with COVID-19.

A person must be under pensionable age on the day for which the benefit is claimed.  For employed workers, they must have a contract of employment and have at least 1 paid qualifying social insurance contribution in the 4 weeks immediately before claiming the payment.  For self-employed workers, they must have worked immediately before applying for the enhanced payment and have reckonable income in the current contribution year.

Applications for Enhanced Illness Benefit can be submitted online through MyWelfare.ie or they can be submitted by post.

Applicants must also submit medical evidence to support their claim.  For those self-isolating due to being a probable source of infection, they must submit medical certification from their doctor indicating that they have symptoms of COVID-19 and are a probable source of infection.

For those who have been diagnosed as a positive case of Covid-19, they can submit either confirmation from the HSE that they have tested positive for COVID-19 either through a RT-PCR test or having registered a positive antigen test or they can submit medical certification from their doctor that they have tested positive for Covid-19.

I trust this clarifies the procedure for the Deputy.  

Social Welfare Code

Ceisteanna (67)

Aindrias Moynihan

Ceist:

67. Deputy Aindrias Moynihan asked the Minister for Social Protection if her Department is carrying out means assessment reviews of carers given that the new arrangements of Budget 2022 are being introduced in June 2022; and if she will make a statement on the matter. [14853/22]

Amharc ar fhreagra

Freagraí scríofa

The Government recognises the crucial role that family carers play in Irish society and is fully committed to their support.

As part of Budget 2022, improvements were introduced to the income and capital limits for the Carer’s Allowance (CA) means assessment, effective from June 2022.  The weekly income disregard increases to €350 from €332.50 for a single person, and to €750 from €665 for carers with a spouse/partner.  The Carers Allowance disregard when assessing capital increases to €50,000 from €20,000.  

These measures bring significant changes to the Carer's means assessment and is the first time there have been changes to the means assessment in almost 14 years.  These changes will mean that more Carers will now qualify for Carer’s Allowance, while those Carers that are currently in receipt of a reduced rate will see increases in their payments.  

To accurately assess CA customers means, it is necessary to obtain up to date income and capital information and to review existing CA entitlement to ensure that the Budget 2022 changes are applied correctly and that people are issued with the correct rate of payment in line with the improvements we are making to the means test.

The Budget 2022 improvements will benefit thousands of Carers currently on a reduced rate due to means and will enable more carers with modest incomes to qualify for Carer’s Allowance

 I hope this clarifies the position for the Deputy.

Social Welfare Code

Ceisteanna (68)

Niamh Smyth

Ceist:

68. Deputy Niamh Smyth asked the Minister for Social Protection the status of all Budget 2022 social protection rate and threshold increases including whether any have yet to be implemented; and if she will make a statement on the matter. [14823/22]

Amharc ar fhreagra

Freagraí scríofa

The social welfare package in Budget 2022 was the largest in 14 years and provided for a €5 across the board increase to all weekly payments, as well as a number of other targeted measures intended to focus resources in the most effective way, and to protect the most vulnerable social welfare recipients from poverty. 

As energy prices were increasing, the €5 increase to the Fuel Allowance rate was implemented from October 2021.  At the same time, the income threshold for qualifying for the Fuel Allowance was increased by €20 per week.

The following measures were introduced in January 2022:

- Core social welfare rates were increased by €5 per week, with proportionate increases for qualified adults and those on reduced rates of payment;

- The Living Alone Allowance was increased by €3, from €19 to €22 per week;

- The weekly rate of the qualified child increase for children aged 12 and over was increased by €3, from €45 to €48 per week, while the rate for children aged under 12 was increased by €2, from €38 to €40 per week;

- The rate of Wage Subsidy Scheme for people with disabilities was increased by €1 per hour.

- Eligibility for the disregard of PhD scholarship income in the means test was extended to      recipients of Blind Pension;

- The period during which Domiciliary Care Allowance can be paid for children in hospital will be extended from 3 months to 6 months.

- The remaining measures will be introduced on various dates in 2022:

In April:

- The income threshold by for Working Family Payment will increase by €10 for all families.  The implementation date for this measure was brought forward from June, as part of the package of measures introduced by Government last month to help mitigate the impacts of the increase in the cost of living.

In June:

- Under the Treatment Benefit scheme, a grant of up to €500 towards the cost of wigs/hairpieces/hair replacement systems due to illness will be introduced;

- The number of Pay Related Social Insurance (PRSI) contributions required by younger contributors to qualify for Treatment Benefit will be reduced;

- The list of agri-environmental schemes that attract a disregard under the Farm Assist scheme will be expanded.  The implementation date for this measure has been brought forward from October 2022;

- The Back to School Clothing and Footwear Allowance income thresholds will be equalised for one and two parent households;

- The rate of Back to School Clothing and Footwear Allowance will be increased by €10.  This will bring the rate for each child aged 4-11 years to €160 and for each child aged 12 and over to €285;

- The income disregard for Carer's Allowance will be increased from €332.50 to €350 for a single      person and from €665 to €750 for a couple, while the capital disregard will increase from €20,000 to €50,000;

- The earnings threshold above which means is fully assessed will increase by €25, from €350 to €375 per week, for both the Disability Allowance and Blind Pension.  In addition, the general weekly means disregard will be increased from €2.50 to €7.60 for Disability Allowance.

In July:

- The duration of Parent's Benefit will be extended from 5 weeks to 7 weeks. 

In September:

- Jobseeker's Allowance and Supplementary Welfare Allowance recipients will be able to access Fuel Allowance after 12 months duration on their payment, instead of the current 15 months.  I trust this clarifies the matter for the Deputy.

Question No. 69 answered with Question No. 33.

State Pensions

Ceisteanna (70)

Claire Kerrane

Ceist:

70. Deputy Claire Kerrane asked the Minister for Social Protection if consideration is being given to including foster carers under the State pension for long-term carers recommendation from the Pension Commission report; and if she will make a statement on the matter. [14841/22]

Amharc ar fhreagra

Freagraí scríofa

The Pensions Commission’s Report was published on 7th October 2021.  It established that the current State Pension system is not sustainable into the future and that changes are needed.  The report set out a wide-range of recommendations in relation to the State Pension system and Social Insurance Fund, including enhanced pension provision for long-term carers (who are caring for over 20 years).

Subject to the standard qualifying conditions for State Pension (Contributory) also being satisfied, the State pension system already provides significant recognition to those whose work history includes an extended period of time outside the paid workplace, often to raise families or in a full-time caring role.

This is provided through the award of credits and/or the application of the Homemaker’s Scheme (under the Yearly Average method for payment calculation) and/or the application of HomeCaring Periods (under the Aggregated Contribution Method, also known as the interim Total Contributions Approach). 

Details of these are: 

- Credits – PRSI Credits are awarded to recipients of Carer’s Allowance (and Carer’s Benefit) where they have an underlying entitlement to credits.  Credits are also awarded to workers who take unpaid Carer’s Leave from work.

- The Homemaker’s Scheme - The scheme, which was introduced with effect from 1994, is designed to help homemakers and carers qualify for State Pension (Contributory).  The Scheme, which allows periods caring for children or people with a caring need to be disregarded (from 1994), can have the effect of increasing a person's Yearly Average.

- HomeCaring Periods – HomeCaring Periods may be awarded for each week not already      covered by a paid or credited social insurance contribution (regardless of when they occurred) to a maximum of 20 years.  HomeCaring Periods can only be used under the Aggregated Contribution Method (also known as the Interim Total Contributions Approach) of pension calculation. 

- Since April 2019, all new State (Contributory) Pension applications are assessed under all possible rate calculation methods, including the Yearly Average and the Total Contributions Approach, with the most beneficial rate paid to the pensioner.  The elements which make up each method are set out in legislation. 

- Foster parents are entitled to the benefits of the Homemakers Scheme or HomeCaring Periods, on the same basis as other homemakers, and will qualify if the carer is in receipt of Child Benefit.  If the foster parent is not in receipt of Child Benefit s/he can still qualify for the Homemaker’s scheme or HomeCaring Periods provided the caring periods are confirmed by TUSLA (these are cases where caring is for a short period of time).

- It should be noted that if a person does not satisfy the conditionality to qualify for State Pension (Contributory), s/he may qualify for the means-tested State Pension (Non-Contributory), the maximum rate of which is over 95% that of the maximum rate of the State Pension (Contributory).  Alternatively, if his/her spouse is a State pensioner and has significant household means, his/her most beneficial payment may be an Increase for a Qualified Adult, based on his/her personal means, and amounting to up to 90% of a full contributory pension. 

- In the interests both of older people and future generations of older people, the Government intends to consider the comprehensive and far reaching recommendations in the Pensions Commission’s Report very carefully and holistically.  My officials are examining each of the recommendations and consulting across Government through the Cabinet Committee system.  The Joint Oireachtas Committee on Social Protection and the Commission on Taxation and Welfare have submitted their views on the recommendations.  These various views will be considered carefully as part of the Government's deliberations.

- I think it is really important that we complete that work before reaching conclusions on any one recommendation, such as the recommendations related to long-term carers.  In this regard, I intend bringing a holistic recommended response and implementation plan to Government in April.

I hope this clarifies the matter for the Deputy.

Employment Schemes

Ceisteanna (71)

Claire Kerrane

Ceist:

71. Deputy Claire Kerrane asked the Minister for Social Protection if she intends to carry out a review of the JobPath scheme when it ceases; if findings from a review will be used to inform the design and scaling up of job activation and employment services as set out in the Programme for Government; and if she will make a statement on the matter. [14842/22]

Amharc ar fhreagra

Freagraí scríofa

My Department previously undertook an evaluation of JobPath in partnership with the OECD.  The 2019 OECD econometric evaluation of JobPath published by the Department demonstrated that the outcomes for participating jobseekers, both in terms of employment and earnings, are better than those of non-participants.  Weekly earnings of people who secured employment after JobPath engagement are 17% higher than the weekly employment earnings of people who secured employment without the support of JobPath in 2018.

Taken with the 26% improvement in employment outcomes in the same period, it means the overall positive employment/earnings impact is 37% in 2018 for those who are supported by the JobPath service.  These findings demonstrate that jobseekers who engage with JobPath are significantly more likely to get a positive employment outcome than those not supported by the service.

The Department will be updating this exercise in the coming months and will continually review its employment service provision including the new services, which are currently being procured.  As per the Programme for Government commitments the Department is expanding and extending employment service provision so that for the first time the full range of employment services will be available to those furthest from the labour market across the entire State.

Question No. 72 answered with Question No. 43.

Departmental Contracts

Ceisteanna (73)

Seán Sherlock

Ceist:

73. Deputy Sean Sherlock asked the Minister for Social Protection the cost of the contracts with all third-party operators that engage on behalf of her Department in 2021 and to date in 2022; and the schemes that they operate on behalf of the Department in tabular form. [14860/22]

Amharc ar fhreagra

Freagraí scríofa

I understand that the Deputy has clarified that the question specifically refers to third party operators that have assisted the Department in its schemes or delivery of services to the public during 2021 and to date in 2022.  My officials have identified four main areas which meet this criterion: externally contracted employment services, payment services, translation & interpretation services and customer helpline support.  

1.  Externally Contracted Employment Services   

The Department contracts external employment services through four programmes: JobPath, Local Employment Services (LES), EmployAbility and Job Clubs.  Externally contracted provision supports the Department with additional capacity and access to specialised skills to meet the requirements of jobseekers.  My Department has committed in a number of policy documents (e.g., Make Work Pay for People with Disabilities, Roadmap for Social Inclusion, and Pathways to Work) to extend employment support services to a wider range of cohorts including people with disabilities, lone parents and qualified adults.  It is important that the Department maintains sufficient jobseeker support capacity to meet current and future needs in order to be able to provide a high-quality service to these customers and respond effectively and quickly to rises in unemployment.    

The table below shows the expenditure on these services for 2021 and to date in 2022.  The Deputy will be aware that payments to individual contractors is commercially sensitive information and to publish would place the State at a disadvantage both in terms of the contracts currently in place and in any future procurement that may be undertaken.  Therefore, the overall expenditure on each programme per year has been provided. 

Year 

2021 

2022 

JobPath 

€34m 

€8m 

Local Employment Service (LES) 

€18.5m 

€700,000 

EmployAbility 

€8.4m 

€360,000 

Job Clubs 

€4m 

€143,000 

   

2.  Payment Services   

My Department’s payment services are provided by Danske Bank and An Post.  The cost of the An Post cash payment services contract for 2021 is €49.6m.  Note that this figure has not been fully reconciled so it may change slightly when the 2021 accounts are finalised later this year. 

 

3.  Interpretation & Translation Services 

Details of annual expenditure on services is set out in the table below:   

Year 

2021 

2022 

Translation & Interpretation services 

€14,034* 

Not available

Irish Sign Language Interpretation Services 

€5,798*

Not available

 

* This figure does not include translation of documents - interpretation and on-the-spot translation only.

The Department has not been invoiced yet for services in 2022.

 

4.  Contact Management/Customer Helpline support 

A third-party provider was engaged to support contact management and related services on a drawdown basis to assist the Department in responding to queries from customers relating to the Pandemic Unemployment Payment (PUP).  This support enabled the Department to provide a fast and flexible response to surges in customer call volumes.  Under the terms of the contract, the third-party operator provides information to customers.  This contracted provision is being utilised to supplement the Department’s existing income support line.  To represent the true cost of services the figure provided for in 2021 includes costs paid in 2022 but incurred in 2021.   

.

 

Spend on 2021 Services 

Spend on 2022 Services 

Abtran - Contact Management and Related Administration Services 

€482,000 

€72,800 

 

Finally, my Department operates an extensive network of Social Welfare Branch Offices which utilise contracts for the management and operation of the office.  However, Branch Offices are fully integrated with the Department’s systems and work processes and are effectively presented as an office of the Department, distinguished only by the employment status of the Branch Manager.  On that basis, Branch Offices are not directly comparable with service providers who operate at arm’s length from the Department and who clearly adopt a separate public identity. 

Question No. 74 answered with Question No. 29.

Covid-19 Pandemic Unemployment Payment

Ceisteanna (75)

Richard Boyd Barrett

Ceist:

75. Deputy Richard Boyd Barrett asked the Minister for Social Protection if she will rectify the situation in which those on pandemic unemployment payments over the course of the pandemic do not now have the necessary PRSI contributions to cover regular dental and optician visits; and if she will make a statement on the matter. [14563/22]

Amharc ar fhreagra

Freagraí scríofa

Dental and Optical Benefits are provided to qualified PRSI contributors and their dependent spouses under the departments Treatment Benefit scheme.  To qualify a person must have paid a minimum numbers of contributions since starting work and also have a required number of contributions/or credits, in the relevant tax year that relates to their application.  The number of such PRSI contributions will vary, depending on the persons age.

Amongst the actions taken by Government to mitigate the impact of the Covid-19 pandemic was a provision to attribute social insurance contributions to insured persons who were beneficiaries of certain Covid-19 income support payments including the pandemic unemployment payment. 

The purpose of this measure is to ensure that the social insurance records of the people who lost their jobs due to the impact of the pandemic would not be disadvantaged in accessing social insurance benefits in the future.

The measure provides that persons entitled to and in receipt of the pandemic unemployment payment will have social insurance contributions attributed to them at the same value as they were paying while employed immediately before going on that payment.

Contributions have been attributed in respect of former employees and self-employed persons who were entitled to and in receipt of the pandemic unemployment payment in 2020.  The process to attribute contributions to such employees who were entitled to and in receipt of the pandemic unemployment payment in 2021 is scheduled to be undertaken in the coming months.  

Finally, If the Deputy is referring to a specific case I would advise that they should forward the details to my Department for review.

I trust that this clarifies the position.

Question No. 76 answered with Question No. 29.
Question No. 77 answered with Question No. 35.

Employment Rights

Ceisteanna (78)

Louise O'Reilly

Ceist:

78. Deputy Louise O'Reilly asked the Minister for Social Protection the steps her Department is taking to uncover, address and reduce bogus self-employment from a social insurance perspective, especially in State-funded agencies or in areas in which public monies are being spent; and if she will make a statement on the matter. [7298/22]

Amharc ar fhreagra

Freagraí scríofa

One of my Department’s roles is to ensure the correct class of PRSI is being returned for individuals, in order to protect their PRSI contribution record and future welfare entitlements.  We must also ensure the correct flow of funds into the Social Insurance Fund.

To begin with, it is worth noting that there are approximately 340,000 self-employed individuals in Ireland, the vast majority of whom are genuine entrepreneurs operating their own businesses.

The term 'bogus self-employment' is a provocative one that implies falsehood and a deliberate attempt to commit fraud.  However, false self-employment does not always involve a deliberate or fraudulent misclassification of an employee.  Sometimes it happens that both employer and employee are genuinely mistaken in their approach and are happy to correct the position once the Department’s officials make a determination.  Accordingly, it is clear that the misclassification of employees for PRSI purposes can occur through a lack of knowledge or error or due to changes that occur over time in the relationship between an employer and its contractors.  Therefore, it is really important that employers and workers have clear information and guidance when looking at employment status.  That is why I put great value on the Code of Practice on Determining Employment Status.  I published a revised version of this Code last year ensuring that it reflects both the modern world of work, and the relevant legislation and case law that has emerged from various court cases over the years.  I would encourage all affected stakeholders to make sure they are familiar with its content.

It is also worth noting that there is no compelling evidence that false self-employment is widespread, as some might suggest.  That said, it does exist and, as such, is a matter that I and the Department take very seriously.  I do not want to see a situation where any workers are denied their social insurance entitlements or where much-needed funds are denied to the Social Insurance Fund.  Therefore, I want to be very clear that, where it does occur, the deliberate misclassification of a worker as a self-employed contractor for PRSI purposes, in a situation where they are actually working as an employee, is wrong.  That is why the Social Welfare Consolidation Act contains specific offences in relation to the return of employment contributions which, on conviction, can result in fines and/or imprisonment. 

There is no ‘silver bullet’ solution that would completely eradicate false self-employment.  The primary way to deal with it is through inspection, compliance and deterrence.  My Department's Employment Status Investigation Unit (ESIU) is a team of Inspectors with the sole objective of investigating false self-employment.  Since it was established in late 2019, the unit has investigated over 500 employers.  Additional resources are currently being allocated to both investigation and decision-making units in the Department to increase efforts in this area.

In addition to the ESIU, there are approximately 380 Social Welfare Inspectors appointed nationwide who carry out work across the various social welfare schemes.  This includes engagement in a programme of employer inspections nationwide in which they investigate employment status as part of their more general duties.  More than 100 of these Inspectors are members of the Department’s Special Investigation Unit who work specifically to detect social welfare fraud.  My Department’s Inspectors also work jointly with other agencies including the Revenue Commissioners and the Workplace Relations Commission.

This Government takes the issue of false self-employment very seriously.  A new working group, to be chaired by Minister English, to review false self-employment was recently announced by the Tánaiste.  This will bring my Department together with the Department of Enterprise Trade and Employment, the WRC, Revenue and various social partners representing both workers and employers to examine this area to see what further measures may be possible.

If someone has any individual concerns of false self-employment or bad practice in this respect, they can provide my Department with the details and investigators will be more than happy to review the employment.

I hope this clarifies the matter for the Deputy. 

Employment Schemes

Ceisteanna (79)

Paul Kehoe

Ceist:

79. Deputy Paul Kehoe asked the Minister for Social Protection the impact of the increase in the wage subsidy scheme for people with disabilities; and if she will make a statement on the matter. [14573/22]

Amharc ar fhreagra

Freagraí scríofa

The Wage Subsidy Scheme (WSS) aims to encourage private sector 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. 

As part of Budget 2022, I increased the basic rate of subsidy by €1 to €6.30 per hour giving a total annual subsidy available of €12,776 per annum based on a 39-hour week.  Strand II subsidy is payable when an employer employs three or more people with disabilities who are supported by a Wage Subsidy Scheme Strand I payment.  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 an employer with 3 to 6 employees, gets a 10% top-up applied to the hourly rate bringing it to €6.93 and rising to €9.45 per hour where an employer has more than 23 employees.

The WSS is a demand-led scheme and participation was negatively affected by Covid-19.  Currently there are 1,506 employers availing of the subsidy in respect of some 2,376 employees.  It is notable that 62 new employees have taken up employment under the scheme since January. 

As the new subsidy rate only came into effect on 3 January as restrictions were being lifted, it is too early to assess this measure’s long-term impact at this time.  However, I believe that the increased rate paid to employers will encourage more mainstream employers to employ or increase the numbers of people with a disability in their work force.  Most employers will agree that the new rate is a substantial contribution to the employer’s wage costs and this measure has immediately benefitted all current employers on the scheme.

I trust this clarifies the matter for the Deputy. 

State Pensions

Ceisteanna (80)

Brendan Smith

Ceist:

80. Deputy Brendan Smith asked the Minister for Social Protection the status of the report of the Commission on Pensions; the expected timescale for Government decisions on its recommendations; and if she will make a statement on the matter. [14869/22]

Amharc ar fhreagra

Freagraí scríofa

The Pensions Commission’s Report was published on 7th October 2021.  It established that the current State Pension system is not sustainable into the future and that changes are needed.  The report set out a wide-range of recommendations in relation to the State Pension system and Social Insurance Fund.

In the interests both of older people and future generations of older people, the Government intends to consider the comprehensive and far reaching recommendations in the Pensions Commission’s Report very carefully and holistically.  

The Government agreed in October 2021 that the Commission’s report and recommendations would be referred to the Joint Oireachtas Committee on Social Protection, Community and Rural Development and the Islands and also to the Commission on Taxation and Welfare for its views.  The Committee published its views on the 2nd February 2022 and the Commission on Taxation and Welfare submitted its comments on the PRSI related recommendations at the end of February.  The various views will be considered carefully as part of the Government’s deliberations over the coming weeks. 

My officials are examining each of the recommendations and consulting across Government through the Cabinet Committee system.  I think it is really important that we complete that work before reaching conclusions on any one recommendation.  I will be bringing a holistic recommended response and implementation plan to Government in April. 

As the bedrock of the pension system in Ireland, the State Pension is very effective at ensuring that our pensioners do not experience poverty.  This Government is committed to ensuring that this remains the case for current pensioners, those nearing State Pension age and today’s young workers including those who are only starting their careers.

I hope this clarifies the matter for the Deputy.

Barr
Roinn