Dáil debates

Thursday, 11 February 2021

Ceisteanna ar Reachtaíocht a Gealladh - Questions on Promised Legislation

 

12:30 pm

Photo of Gary GannonGary Gannon (Dublin Central, Social Democrats) | Oireachtas source

Over the weekend, the Tánaiste was reported discussing the future of social welfare, and social welfare reform in particular. He mentioned that the cessation of the pandemic unemployment payment, whenever that happens, will provide the opportunity for reform of social welfare. Rather than highlighting the fact that the current social welfare rates are set below the poverty line and perhaps taking the opportunity to bring them in line with the minimum essential standard of living, there seemed to be a suggestion that PRSI contributions will be a determining factor in paying a higher earner who loses his or her job a higher social welfare payment. Is that the priority of this Government? How would it be paid for? I highlight that the situation here is often contrasted with the German model, whereby a German employer pays employer social insurance contributions at 20.5% of all gross earnings. In Ireland, the rate is currently set at 8.8% for earnings up to €398 and at 11.5% for earnings over €398. Should we be thinking about moving social contributions here to be in line with those in Germany if we are going to follow that model?

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