Oireachtas Joint and Select Committees

Wednesday, 31 January 2024

Joint Oireachtas Committee on Social Protection

General Scheme of the Social Welfare (Pay-Related Social Insurance and Jobseeker’s Pay-Related Benefit Provisions) Bill 2024: Department of Social Protection

Ms Jackie Harrington:

Well, what the Department looked at was the percentage of jobseeker's benefit in relation to the adult population because it is quite difficult and it is complex in the Irish situation. The scheme has changed a number of times throughout the period and we have a growing population against this as a backdrop. We could see that it could increase by up to four times or four and a half times that cost during a period of recession. In terms of actual costs, the intention is to introduce pay-related benefit, PRB, towards the end of this year. As I said in my statement, we have provided €5 million for that towards the end of this year. The first year in which we would actually see full-year costs is 2026, as the intention would be that people on existing jobseeker's benefit would continue on their payment until it expired.

People who are fully unemployed and on jobseeker's benefit at the end of this year will continue on it for nine months into 2025. Therefore, a full-year cost will not be seen until 2026. That is something we have factored into the costs and the subsequent PRSI increases.

Comments

No comments

Log in or join to post a public comment.