Ms Ann Irwin:

It could be a whole host of reasons. It could pertain to their rates of pay or it could be that for different reasons, they are engaged in part-time work. This could be a choice they have made or could be because their hours have been reduced. While there is a myriad of reasons, there is a large number of people for whom work does not pay an acceptable rate and this is the reason the State has an in-work payment, such as FIS. Our concern pertains to breaking the relationship between the FIS and work. Consequently, if the FIS payment is to be replaced by this selective second-tier payment, it means this relationship between work and the payment is broken. We think this is highly problematic because if one looks at all the statistics and all the reports, including the most recent one from the ESRI on jobless households, they tell one the best way to get and keep people out of poverty is to have them maintain employment. Essentially, this is what the FIS does. It helps people to maintain employment, even when it is not bringing in a huge financial gain and for the National Women's Council of Ireland, to break that relationship is highly problematic. Many people might ask for what they were working if they would receive the same level of child benefit in any event, even if they were not working. Consequently, the maintenance of the relationship between work and the in work payment is vital.

With regard to Deputy Ryan's point on cut-off points, he is right. It has emerged since the report was published that these figures were indicative and are only given as suggestions. I am aware that Ita Mangan is working on different scenarios and we are glad to hear that because we fully agree that €25,000 is a low level at which people would become eligible for the cut-off of payment. In addition, the withdrawal of payment, once one goes above a certain threshold, is problematic for us because women, for example, on hourly rates from time to time, may be offered additional hours, which would mean additional income. Consequently, they may lose child benefit as a result of taking up additional hours of work. However, those additional hours may well be temporary and consequently, there are all kinds of reasons, in terms of our work on women and economic independence and of maintaining women in employment, when that is their choice or perhaps not even a choice. In terms of our work in that area, it is vital that women are supported to work and that nothing disincentivises women from holding onto work.

We also look forward to looking at the future scenarios that Ms Ita Mangan will produce.