Dáil Éireann Debate, Tuesday - 31 May 2022
487. Deputy Robert Troy asked the Minister for Social Protection the reason that self-employed workers are precluded from applying for a working family payment at present, regardless of their income levels; and if she plans to rectify this imbalance in the scheme. [28034/22]
Amharc ar fhreagraThe Working Family Payment (WFP) is an in-work support which provides an income top-up for employees on low earnings. The WFP is designed to prevent in-work poverty for low paid workers with child dependents, and to offer a financial incentive to take-up employment. There are approximately 47,000 families with 103,000 children in receipt of the WFP. Estimated expenditure on the scheme in 2022 is €349 million.
To qualify for the payment a person must be engaged as an employee in full time paid employment which is expected to last for at least 3 months and be working for a minimum of 38 hours per fortnight or 19 hours per week. A couple may combine their hours of employment to meet the qualification criteria. The applicant must also have at least one qualified child who normally resides with them or is part of a family supported by them.
It is possible for the household of a self-employed person to receive a WFP payment where the spouse, civil partner or cohabitant of the self-employed persons meets the qualifying criteria.
My Department has several schemes available to self-employed individuals including:
- The Back to Work Family Dividend which helps families to move from social welfare into employment or self-employment, by retaining their qualified child increase for up to two years. There are currently 2,678 families in receipt of the dividend.
- The Back to Work Enterprise Allowance scheme encourages people in receipt of certain social welfare payments to become self-employed. If a person takes part in the Back to Work Enterprise Allowance scheme they can keep a percentage of their social welfare payment for up to 2 years.
- The Short-Term Enterprise Allowance gives support to people who have lost their job and want to start their own business.
There are no plans to extend the WFP to the self-employed at this time. Any such extension could only be considered in a budgetary context.
I trust this clarifies the matter.
