Leo Varadkar (Dublin West, Fine Gael) | Oireachtas source

Both the jobseeker's benefit and the jobseeker's allowance schemes provide significant support to individuals so that they can work up to three days a week and still retain access to a reduced jobseeker's payment. As of the end of September, there were approximately 59,000 jobseekers casually employed in this way.

Any changes to the current criteria, such as moving to an hours-based system could result in significant numbers of additional individuals qualifying for a payment with substantial associated cost implications for the Exchequer. There could also be a significant reduction in the number of people eligible if the number of hours allowed was set at a particular level. The current days-based system can provide significant income supports to jobseekers who are casually employed. While it is not commonly known, an individual can earn a little over €19,300 per year and still retain a small jobseeker's allowance payment while an individual with a qualified adult can earn up to €33,300 if they are both working and still claim jobseeker's allowance.

If there was a change from a days-based to an hours-based system, the design would have to take account of earnings. Furthermore, if an hours-based system were introduced, existing casual jobseekers could lose out if their current hours worked over three days exceeded the new hours threshold thereby creating a disincentive to work longer. In addition to the two jobseeker's schemes, my Department's main in-work support is the family income supplement, FIS, which targets families with children on low incomes and who work at least 19 hours per week. The payment effectively preserves the incentive to take up or remain in employment in circumstances where the employee might only be marginally better off than if she or he was claiming other social welfare payments.

Where a long-term unemployed jobseeker is offered employment of more than three days but less than 24 hours a week, they may be eligible for the part-time job incentive scheme. Under this scheme, they can receive a weekly payment of €119 per week if they are single or €193.90 if they have an adult dependent. The combination of jobseeker's schemes, FIS and the part-time job incentive scheme provides considerable income support for individuals who have part-time employment by allowing them retain access to a social welfare payment.

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