Dáil debates

Thursday, 29 March 2007

Adjournment Debate

Pension Provisions.

7:00 pm

Photo of Brian O'SheaBrian O'Shea (Waterford, Labour)
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I raise the issue of a social welfare case that appears blatantly unfair, discriminatory and anomalous concerning the pension entitlements of a woman in my constituency who is 66 years of age. This woman lives in west County Waterford, has virtually no vision in her right eye and very little in her left. Since 1999, she has been in receipt of widow's pension and was further granted the blind pension in 2000. However, since turning 66. last November and consequently receiving old age contributory pension, she has found that she has lost a considerable amount of her income.

Before reaching 66, the two pensions combined had given her €340.10 per week, with fuel and living alone allowances in addition. However, on turning 66 she lost the entitlement to the blind pension and now receives only €209.30 in basic pension plus fuel and living alone allowances. As one may imagine, she is quite distressed about this. She believes it is very unfair to take away one of her social welfare payments simply because she has turned 66. As a result of this development, she has become quite depressed and feels a large amount of her independence has been taken away from her.

She has written a number of letters to the Minister for Social and Family Affairs, Deputy Brennan, about her case, to no avail. In each instance she has pointed out the contrast with those receiving carer's allowance. They will be able to claim half a carer's allowance as well as another social welfare payment from September. Why should people with visual impairment not be treated in the same way? It is disgraceful that Celtic tiger Ireland treats older people in such a miserly and skinflint manner. This woman has done nothing wrong. All that has happened to her is that she has aged one more year, yet she finds herself significantly penalised financially for doing so. I am calling on the Minister to explain why this anomaly is allowed to exist, whether he agrees with it and if not, how he intends to clear it up.

Photo of Noel AhernNoel Ahern (Dublin North West, Fianna Fail)
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I am taking this issue on behalf of the Minister for Social and Family Affairs, Deputy Brennan. The social welfare code provides for the avoidance of multiple payments. That is, where a person is entitled to more than one income maintenance payment at any time, only one such payment can be made. However, there are a number of exceptions to this principle provided for in regulations, including the payment of blind pension for persons who have sufficient PRSI contributions concurrent with any of the short-term social insurance payments, including illness, occupational injuries, job seeker's, maternity, adoptive, health and safety benefits or, alternatively, one-parent family and analogous payments or widow's-widower's under 66 contributory or non-contributory payments, all of which relate to working age. Once a person reaches the age of 66 years, only one payment can be made.

The qualifying criteria for entitlement to blind pension states that a person must be over 18 years of age, satisfy a means test and be so blind that he or she cannot perform any work for which eyesight is essential or cannot continue his or her ordinary occupation. It has always been regarded as a scheme providing income maintenance for persons of working age, that is, up to 66 years. Prior to the introduction of the State non-contributory pension, a person receiving blind pension who reached 66 years was allowed to continue on it instead of being transferred to the old age non-contributory pension. This was because the structures of the former old age non-contributory pension and blind pension payments were similar with only marginal differences in terms of the means assessments. This approach was changed with the introduction of the State non-contributory pension as part of a move towards the rationalisation of social assistance payments, with as far as possible one more favourable means test for all recipients aged 66 years or over, including blind persons over that age.

In February 2006, the Government decided that income support and maintenance schemes, together with associated resources, should be transferred from the Health Service Executive to the Department of Social and Family Affairs. An interdepartmental implementation group was established, under the chairmanship of the Department of Health and Children, with representation from the Department for Social and Family Affairs and the HSE, to progress this issue. The blind welfare allowance is one scheme administered by the HSE which will transfer to the Department of Social and Family Affairs.

Blind welfare allowance is a supplementary payment in addition to an existing social welfare payment which is paid to eligible persons over 16 years who are blind or visually impaired or to eligible persons whose income is below the combined rate of blind pension and blind welfare allowance rate. A person in receipt of blind pension and who qualifies for blind welfare allowance will continue their entitlement past 66 years.

A policy review of blind welfare allowance and the other HSE schemes designated for transfer is being conducted. It is expected the social welfare Bill 2008 will provide the necessary legislative framework for the transfer. This policy review will examine the scope for rationalisation of the HSE schemes within existing social welfare schemes and the scope for development of these schemes in the context of progressing issues around the additional costs of disability. Any changes to the blind pension will be considered within the wider context of this policy review and of the transfer of the blind welfare allowance scheme from the HSE to the Department of Social and Family Affairs.