Joan Burton (Dublin West, Labour) | Oireachtas source

We have discussed this issue previously and I wish to make clear that people would have to contribute if they wished to claim a wider range of benefits. To cover unemployment, the contribution of the self-employed would have to increase to 15.9%. In other words, self-employed people would have to pay the employee contribution of 4.25%, the employer contribution of 10.5% and a small additional contribution to cover their entitlements on an actuarial basis. One of the proposals that has been made has been to provide such an option on an opt-in basis. The advisory group, to which several members referred, is working on this and other issues. It also had to await the outcome of the actuarial review, which was completed during the summer. The Department published the review at the earliest possible date and circulated it to the joint committee and Dáil in late August or early September before circulating it to the media in order that all the parties would have an opportunity to examine it. This is an area on which there is considerable common ground between the political parties in the Dáil and one on which we can move forward in a progressive manner. I do no yet have a report from the advisory group as it only recently received the actuarial review of the social insurance fund.

Senator Healy Eames referred to placing a cap on the number of payments. Our system does not work in this way. In Austria each family has an account in which all payments and benefits from the State, ranging across education, agriculture and health, are aggregated. It was interesting to study this system and the various benefits individuals and families received from the State but for reasons connected with information technology, it would be some time before we could have a similar system in place.

As I indicated, those who have a significant income from social welfare are households of two adults and more than three children. Such households receive two adult rates of payment and payments of €29.80 per week for each dependent child. A family renting in Limerick or Dublin city centres will also receive rent allowance of between €800 and €1,000 per month. If one compares the income of such a household with the minimum wage, it is easy to envisage that the family may have a social welfare package, including rent allowance, of between €29,000 and €31,000. One of the steps I took on becoming Minister was to reinstate the minimum wage to ensure a distinction between it and social welfare rates. The large number of people in receipt of the single rate of jobseeker's allowance, which stands at €188 per week, can see there is a large differential between social welfare and being in a paying job.

In talking about a family with two adults and more than three or four children, we are talking about a significant amount of income flowing into the house. If the family has a rent allowance, the income is higher again.

Committee members should bear in mind that in this country we have a large number of carers and these are doing a very important job. Therefore, if that family-----