Katherine Zappone (Dublin South West, Independent) | Oireachtas source

I move amendment No. 4:

In page 6, between lines 32 and 33, to insert the following:“(2) In this Act any reference to a partner of a person shall apply only if the person is a member of a couple.”.

Amendments Nos. 4 and 11 respond to a concern raised by Deputy Rabbitte on Committee Stage on provisions for lone parents. Amendment No. 4 provides clarity throughout the Bill that any reference to a partner in the Bill does not apply if the applicant is a lone parent. While it was always the intention that one-parent families would benefit fully from the scheme - and there is no flaw in the Bill - this amendment removes any risk of misinterpretation. The amendment therefore provides assurance that one-parent families are recognised and reflected in the legislation.

Amendment No. 11 provides for up to 40 hours of financial support each week, at a maximum, to be paid on a temporary basis during transitions into or between periods of work and study. This amendment addresses the scenario to which Deputy Rabbitte referred on Committee Stage of a lone parent who is temporarily out of work following the completion of a training course and prior to commencing employment. Such a person may be out of work for only a short period of time. However, a temporary drop in child care support from 40 to 15 hours per week could disrupt the stability of child care arrangements, which might make it harder for the lone parent to return quickly to the labour market, as the Deputy has ably argued. In such a case, a strict application of the link between hours of subsidy and participation in work or study could potentially have negative effects on both child outcomes and labour market participation. The amendment I am proposing would avoid this consequence by allowing for the continuation of the maximum hours of subsidy on a temporary basis.

The amendment refers to the commencement, interruption or cessation of work or study. Regarding commencement, the amendment would, for example, allow the maximum hours of child care subsidy to be awarded to a parent who had been offered a job or a place on an education or training course and who wanted to help his or her child to settle into a new child care setting in advance of commencing the new job or the new education or training course. In relation to interruption, the amendment would allow maximum hours to continue, and a child to continue in his or her child care setting, for a limited period of time if a parent has to step back from his or her work or study temporarily. Regarding cessation, this amendment would allow the maximum hours of subsidy to continue after completion of an education or training course or the ending of a period of employment to provide stability in child care arrangements for a person who takes up another employment within a short period of time. This approach will allow the scheme to support parents during all critical bridging periods, when they are entering or moving between employment or educational opportunities, including the particular scenario outlined by Deputy Rabbitte in Committee Stage.

I would like to emphasise that, as the proposed amendment would allow enhanced hours subsidies while parents are temporarily transitioning into or between different jobs or education and training courses, it should not undermine the basic labour market incentives that are built into the scheme. Rather, it should in fact further reinforce and bolster them. More broadly, I can reassure Deputies that the affordable childcare scheme will provide a high level of support for one-parent families. First, the scheme will be open to separated parents to make separate, parallel applications for support. Second, because the average income level in one-parent families is lower than in two-parent families, one-parent families will on average be awarded higher subsidy rates under the scheme. Third, while the maximum hours of subsidy each week will only be awarded to a one-parent family if the parent is taking part in work or study or transitioning into or between periods of work or study, maximum hours will only be awarded to a two-parent family if both parents are taking part in work or study. One-parent families will therefore not be placed at any disadvantage.

I would like to thank Deputy Rabbitte for raising this important issue. By taking it on board via the present proposed amendment I am confident that we are strengthening the affordable childcare scheme and its supporting legislation.

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