Seanad debates

Wednesday, 28 March 2007

Social Welfare and Pensions Bill 2007: Committee Stage

 

1:00 pm

Photo of Séamus BrennanSéamus Brennan (Dublin South, Fianna Fail)

I thank the Senator for those kind comments. I suppose that in everything one does, one would prefer to go further but I acknowledge the generosity of her remarks. I have announced significant improvements in the rate of State pensions for qualified adults as well as important changes in the way these payments will be made. I am also committed to improving the rate for qualified adults to bring them up to the rate of the non-contributory State pension over a three-year period. The changes will involve amending the existing arrangements to provide that in the case of new claimants to the State pension scheme, the qualified adults increase will be paid directly to the qualified adult, as the Senator said. Customers who wish to be paid their pension jointly will continue to be facilitated. I note the Senator's comments about leaving some gaps for people to opt out. The revised arrangements will apply to all new applicants to the State pension scheme with effect from 24 September 2007.

The position regarding payments to people of working age is a little less straightforward, and a separate payment may not be appropriate in certain schemes. It is open to dependent spouses or parents to claim payments, such as the job seeker's allowance, in their own right, subject to satisfying means and other conditions. The decision announced in the budget, which is provided for in this Bill, applies to the State pension contributory, State pension transition, and State pension non-contributory. There is no decision yet to extend direct payment to other schemes at this point, but the matter is being examined by the Department.

Senator Terry and I have had many discussions in the House. I know the view has been expressed many times about the importance of the welfare system being fairer to women. Over the past two years, I have formed the view that that was not the case. That is why we have made dramatic changes in a range of areas, including for lone parents who can now earn up to €400 without their allowance being affected. That starts the process of freeing up lone parents and liberating other areas as well.

It is important to continue to drive forward this type of work. It will take some years to reach the point on pensions or in other areas where women are treated as well and as generously in the welfare system. We have a range of issues concerning marriage bars, averaging stamps, or contributions as they are now called, work records, and the home maker's allowance. Every time I meet women's group, their representatives impress upon me all the gaps that can appear in their contribution systems because they have other duties. The forthcoming Green Paper on pensions, to be published in mid-April, will examine some of those issues. We will see then if suggestions are forthcoming to develop some of those issues, especially in the contributory and non-contributory pension area. This move is a useful first step in that, from September, such payments will be made directly.

Comments

No comments

Log in or join to post a public comment.