Seanad debates

Wednesday, 6 November 2013

Social Welfare and Pensions Bill 2013: Committee Stage

 

3:05 pm

Photo of Joan BurtonJoan Burton (Dublin West, Labour) | Oireachtas source

I will give Senators some background on this matter. I will start with what the Department is spending in this area. In 2005, which is roughly the period when the boom began, the expenditure by the Department on maternity benefit was €132 million. To emphasise the increase in payments that occurred after the boom, expenditure on maternity benefits in 2012 had risen to €303 million. One of the difficulties I have had in framing the budget is that during the boom the number of recipients for all the different social welfare schemes went up hugely. When the crash happened, as Senator Norris said earlier, that climbed even more because 250,000 jobs were lost.

As Minister, I am trying to maintain a social welfare system which is strongly supportive, but savings have to be made in certain areas. I was asked to prioritise child benefit in particular this year. Women who have had a baby receive child benefit immediately, which is an additional €130 per month.

Even after this reduction, maternity benefit payments in Ireland are among the highest in Europe. In most of Europe, including Britain and Northern Ireland, the vast bulk of maternity benefit payments are paid by employers in the same context as the sick pay issues we discussed on the last amendment. I pondered long and hard over making any reduction in social welfare for any category of people. I made very difficult decisions but we are trying to maintain the integrity of the social welfare system.

As to the shortfall in the Social Insurance Fund, expenditure more than doubled in the period in question. I do not contest Senators' remarks on the importance of good, paid maternity arrangements for mothers, fathers and, in particular, children. Our child benefit rate of €130 per month from the moment of the child's birth represents a significant payment, well in excess of many of our European neighbours, including our nearest neighbour and north of the Border.

I take issue with some of the comments of Senators. Compared internationally, we provide relatively generous maternity leave entitlements, currently at 42 weeks comprising 26 weeks of paid leave and a further 16 weeks of unpaid leave. This reflects one of the highest birth rates in Europe and a relatively high level of participation by women in the labour force. The 26-week duration is preserved in the budget. As a mother, I know how important that time is for families.

I accept Senator Power's statement on breast feeding. I strongly support breast feeding. Our maternity services should encourage it further, but that is probably a different issue.

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