Joan Burton (Dublin West, Labour) | Oireachtas source

I move amendment No. 1:

In page 3, between lines 6 and 7, to insert the following:
“Definitions
1.In this Act—“Act of 2012” means the Social Welfare Act 2012;
“Principal Act” means the Social Welfare Consolidation Act 2005.”.

The purpose of these amendments is to retain the earnings disregard in the case of recipients of one-parent family payment at the current level of €90 per week. This will benefit approximately 28,000 working one-parent family payment recipients in 2015 at a cost of €8 million. This measure will be funded within my Department's existing allocation for 2015.
Budget 2012 provided for the phased reduction over a five-year period in the weekly earnings disregard applying to recipients of one-parent family payment from its pre-2012 level of €146.50 to €60 in 2016. This, in effect, reduced the amount of earnings that a lone parent could earn before it has an impact on his or her payment. These reductions were required in order to achieve savings in my Department's Estimate in line with commitments to reduce the overall Government deficit. However, I recognise that many lone parents have asked that the reductions not be continued further whereas the effect of budget 2012 would be further reductions. If the proposed January 2015 reduction was implemented, that would have reduced the disregard by net of €7.50 per week. I am, therefore, bringing forward this amendment to ensure the one-parent family payment earnings disregard is maintained at its current level of €90 per week. This will protect the existing financial incentive for working lone parents to remain in employment. I said at the time I would keep this under constant review.
As part of these amendments, I am also providing for the inclusion of the standard definition of the term "Principal Act" in the Bill.