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

Photo of Marc Ó CathasaighMarc Ó Cathasaigh (Waterford, Green Party) | Oireachtas source

While the SIF is looking fairly healthy right now, the actuarial reviews and forecasts for it are not as ebullient. Was any wider analysis done? This scheme is front-loaded in that the first three months will be the most expensive because of the tapered nature of it. One of the things that interests me about the scheme, if implemented, is the counter-cyclical nature and response within the economy. I am referring to one of those larger-scale shocks within the economy. One of the issues is that it becomes a vicious circle where people have less money and therefore, they spend less within the economy and so on. I am interested to know if any wider analysis was done, between the Department and the likes of the Department of Finance or any other relevant body as to whether this scheme would have the effect of cushioning a crash as it gives people a little bit more spending power within the economy.

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