Denis Naughten (Roscommon-South Leitrim, Independent) | Oireachtas source

The cuts in the Bill are to a large extent focused on those in employment or those who were in employment. This undermines the objective of the Taoiseach and the vast majority of members of Dáil Éireann, including me, who want to see the welfare system reformed to encourage people to make the transition from welfare to work. The Bill sends out a contrary message, which is that those who never worked or owned a home have nothing to lose. However, for those who have worked, are in employment or own a house the message is that slowly but surely this very limited State safety net is being pulled from under them.

In other words, they may take up work, but at their own risk. This message has long-term economic consequences for us all. It is saying to entrepreneurs that they are better off playing it safe, not starting their own businesses, not trying to better themselves, not taking up employment and not increasing their hours of employment. We need to encourage people to take risks and the best way to do that is to ensure that they have a safety net if they become sick or cannot find work.

The other clear message from this legislation is that the Government wants young people to emigrate. This has always been the safety valve of successive governments to address the spiralling costs of unemployment payments. However, the policy is fatally flawed and unsustainable. Why? Emigration is costing our economy through education alone €20,000 every minute. The emigration of almost 90,000 people in the past 12 months is an extraordinary brain drain on our economy. It has cost the taxpayer €9.6 billion to educate these young people. This education is flowing out of our country at a time when we urgently need the best and most innovative to start creating jobs in our country. The policy is economically unsustainable because the €9.6 billion that is lost in education is €800 million more than the total annual education budget. We are rocketing towards a catastrophe and we do not even realise it.

I advert to the fear caused by the withdrawal of the telephone allowance. While the Government will argue that this support is small and that there are now mobile telephone alternatives, the practical reality is somewhat different. Older people, the disabled and the vulnerable are fearful. Garda stations in rural communities have closed. Mobile telephone coverage is intermittent. People rely on their emergency pendants. I respectfully suggest to the Minister that this measure should be suspended until three things occur. First, a tailored cost-effective mobile telephone package with a physical desktop handset and efficient pendant service should be rolled out. Second, the Department of Communications, Energy and Natural Resources should establish a vulnerable roaming agreement within Ireland immediately with all the mobile telephone operators, similar to that which operates in Spain, France and Italy. This would significantly improve the mobile telephone coverage to the 999 call standard for all users of emergency pendants. Third, persons in areas where there is poor mobile telephone coverage should be able to continue to avail of the telephone allowance. Technology has changed but we must work with older people to ensure that they can maximise the opportunities.

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