Oireachtas Joint and Select Committees

Thursday, 23 November 2017

Select Committee on Social Protection

Estimates for Public Services 2017
Vote 37 - Employment Affairs and Social Protection (Supplementary)

9:30 am

Photo of John BradyJohn Brady (Wicklow, Sinn Fein) | Oireachtas source

I welcome the Supplementary Estimate. Like the Cathaoirleach, I have no wish to frustrate the payment of the Christmas bonus. Many people rely on the payment desperately at this time of year, especially old age pensioners. They view and use this payment as a way to get out of many financial difficulties.

I did a rough calculation some years ago when the payment was completely stopped. My calculation was based on one town, Bray. Predominately, the payment goes directly to the local economy. It is not for going off on shopping trips to New York or anywhere else. It goes directly into the local community. The loss of the payment to Bray amount to between €3 million and €4 million. That is the impact of it.

The bonus must be welcomed, although it would be better if it were a 100% payment. Given the fact that there are savings within the Department in respect of various schemes and that there is surplus in the Social Insurance Fund, is it possible at this point to give out a 100% payment? Let us consider some of the savings across the Department. There is a saving in the fuel allowance. A whole range of savings can be made. The Minister will correct me if I am wrong, but I reckon increasing the payment to 100% would cost in the region of €32 million. Would it be possible to increase it to 100%?

It is positive that we are ahead of the position that obtained in respect of the Social Insurance Fund in 2016. I appreciate what the Minister has said in terms of the need to continue building the fund. My question is on the issue of bogus self-employment. Has the Department carried out analysis of how much we are missing out on through bogus self-employment and employer PRSI contributions? The fact is that the fund is ahead of profile but it could be far healthier.

The Minister says that the figure for disability payments and disability allowance is up 8.2% compared with 2016. Of all the payments, this is the largest increase. There has to be a reason. I understand this may be because JobPath has now come on the scene and many people are having their payments changed. I am unsure whether there is a reason for that other than an increase in applications.

There has to be another reason for it so perhaps the Minister could provide a breakdown of the position. I might have a few more questions but I will let other Deputies ask theirs now.

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