Oireachtas Joint and Select Committees
Wednesday, 25 March 2015
Committee on Education and Social Protection: Select Sub-Committee on Social Protection
Social Welfare (Miscellaneous Provisions) 2015: Committee Stage
1:05 pm
Richard Boyd Barrett (Dún Laoghaire, People Before Profit Alliance) | Oireachtas source
I am working off the tables that SPARK put together, which set out that the transition will mean people who are working will lose out in general. The losses are spelt out whereby someone working 20 hours could lose up to €80.52 per week in the third year, someone working 28 hours could lose up to €66 per week and someone is working 35 hours could lose up to €54 per week. The loss of income percentages are fairly dramatic, at 18%, 14% and 11% for these three categories. This situation worsens progressively because of the phasing down to zero of the back-to-work family dividend. The Minister of State said the situation may improve because a person is in work, and it might, but it might not. This is the point. In many cases it might not. For those people who will be worse off even though they are working this will be a disincentive. There is no reason to presume they will be in a better position in a year or two, as it may be the case or it may not be the case. For many it will be a disincentive.
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