Marie Moloney (Labour) | Oireachtas source

This is the game of politics. When one is in opposition, one looks at all the bad things while when one is government, one looks at all the good things. Unfortunately, that is politics in Ireland. The Government is re-investing more in jobs, education, training and activation measures than it is taking out with this adjustment. For example, €1.6 billion is being allocated to the revised pathways to work strategy in 2014. It is time that attitudes towards young people, particularly those who are out of work, changed on the part of employers. I listened to a recent radio interview about the differences in internships between this country and others. In Ireland, many interns are given mundane chores to do and they are pen pushing in many cases with little or no stimulation in workplaces where they should be learning and benefitting in the long term by improving their career prospects. In other countries, more hands-on training and engagement is provided and an intern feels part of the workforce. The attitude of some employers needs to change.

The changes to the jobseeker's allowance are part of that change in attitude towards young people. We have moved towards incentivising young jobseekers to avail of education and training opportunities and are trying to avoid a scenario where they become welfare dependants. As Senator Naughton said, it is not discriminatory but rather a specific target aimed at protecting young people from welfare dependency, which is a reality in Ireland. It is argued that this is encouraging emigration and while I have no doubt that some people will emigrate, it will not be because of social welfare payments. Nobody will stay in Ireland because of the amount they receive in social protection payments. That will not stop them emigrating

What will stop young people leaving this country is the availability of jobs and employment and the financial and emotional stability which follows from that. The Government's focus is on jobs; on getting people off social welfare and into work. That is why, in 2014, the Department of Social Protection will spend more than €1 billion on work, training and education places and related supports for jobseekers. This is a significant increase of €85 million on the allocation for 2013. Furthermore, while the reduction in jobseeker's allowance for young people will lead to a saving of €32 million, the Government is investing €46 million in youth employment initiatives. Turning 18 years of age and moving immediately onto social welfare is not the answer. We must be more ambitious for our young people. In this regard, I welcome the commitment to reduce the threshold for eligibility for the JobsPlus scheme from 12 months to six in the case of persons aged under 25. It is anticipated that this will bring an additional 1,500 people into the scheme in 2014. I look forward to that objective being achieved, along with the aim of targeting 1,000 additional places for young people on the Tús scheme.

In a week where five technology companies announced their intention to set up business in Ireland, we must bear in mind the importance of being job-ready. Nobody is better at technology than young people. However, Louise Phelan of PayPal had an important message to convey last month when she announced the creation of 1,000 new jobs in Dundalk. While she praised Ireland as a destination for investment, she also expressed a concern that members of the younger generation are not hungry enough to get ahead in their careers and are woefully unprepared when they enter full-time employment. She also pointed out that Irish workers do not have sufficient language skills to fill more than half of the jobs that will be available. That is why we are moving towards getting young people job-ready, by enhancing their language, technology and other skills. We must be sure they are ready to take up jobs as they become available.

Another very welcome provision for which the Minister should be commended is the change in activation arrangements for older jobseekers. Under the current system, any unemployed person aged up to 65 must be available for work. From the beginning of 2014, however, anybody aged 62 and over will not be required to comply with that condition and will not be penalised for failing to do so. In addition, jobseekers in that age category will be required to sign on only once a year.

I very much welcome the provisions requiring insurers to repay welfare benefits paid by the Department of Social Protection for loss of earnings arising from injury or accident where the insured person has also been compensated for the same loss of earnings through a settlement. The principle here is that a person should not be compensated twice in respect of the same injury or accident. The expected savings will be €21 million in 2014. As it stands, insurers are entitled to reduce the amount of a settlement in respect of loss of earnings from an accident by an amount equivalent to the social welfare benefits and to retain that money for themselves. Under this change, there will be a legal obligation on insurers to repay the money to the Department. I cannot understand why this anomaly was not addressed years ago.

The changes in regard to the bereavement grant and telephone allowance have caused a great deal of concern and unrest. It is important to note that the bereavement grant is not a universal payment. For example, people with a lifelong disability or owners of small farms who are in receipt of a farm assist payment would not be eligible for the grant. In fact, heretofore, half of what was being paid under the grant was going into estates. In other words, the beneficiaries of wills were claiming the payment. Under the new arrangements, anybody in need of financial assistance at the time of a bereavement can go to his or her community welfare officer and request the burial grant, which averages out at some €2,000 rather than €850. This will ensure that those who need it most will continue to receive financial assistance with funeral costs. This is in keeping with the principle to which we all subscribe, that social welfare is there to assist those most in need. What we are about here is real reform - making sure it is those most in need who get help.

There are other supports available to people after a death which the Minister has maintained, such as the widow's pension, widower's pension, the six weeks' payment after death for those bereaved, as well as the widowed parents' grant, and the over 60s household benefit concession for widows and widowers. In respect of the telephone allowance, it is important to remember that the Department of Social Protection expenditure is increasing yearly for elderly people as demand grows. Examples include the living alone allowance, the over 80 allowance, the free fuel allowance, the free television licence, free travel scheme and the companion travel scheme, along with the electricity and gas allowances, all of which have been maintained. We tend to forget what has been retained when one allowance is taken away. The telephone allowance has become quite outdated, however, given the wide variety of telephone services and packages now available. I understand that one company has already absorbed the cost of this change. I welcome the commitment of the Department of the Environment, Community and Local Government to invest more funding in alarms for the elderly, which up to now were one of the main reasons for the retention of a land line. I have spoken to the Minister for Social Protection and I asked to look at the cost of reinstating the allowance for those over 66 in receipt of the living alone allowance or those with a dependent adult. I welcome the fact that those over 66 will not be liable for the extra PRSI and unearned payments.

The budget continues the Government's process of repairing the public fiances, while doing all that is possible to protect the most vulnerable in society. The loss of our economic sovereignty under Fianna Fáil has left this country's finances in a sorry mess but through the measures in this Bill and the budget we can begin again to look forward to restoring our economic independence and ensuring that our people benefit accordingly in the long term.