Seanad debates

Tuesday, 28 June 2011

Social Welfare and Pensions Bill 2011: Committee and Remaining Stages

 

3:00 pm

Photo of Paul BradfordPaul Bradford (Fine Gael)

I agree with the previous speaker. While we are not formally pursuing our amendment, we hope the Minister will take on board what has been suggested in it and in Senator Fidelma Healy Eames's contribution when she thinks about the matter and issues her policy proposals in the next few months.

The jobs initiative was announced at a time of substantial unemployment when the options and finances available to the Government were profoundly restricted. The PRSI change has been designed to bring about an increase in job creation and give employers an incentive to take on additional employees. The various employer groups have been demanding for some time that such a change be made by politicians and the Government. That is why it is important that the thinking behind Senator Fidelma Healy Eames's suggestion be taken on board. In so far as is possible, we should quantify the success of the scheme. This measure can be considered from two ideological angles. Some will ask the Minister to monitor it to ensure it is not being abused and is producing results. At the other end of the spectrum, people will ask that it be monitored to ensure it is enhancing job creation and giving people further incentives to create and take up work. In such circumstances, we might be able to expand the scheme.

The Minister will recall last week's interesting Second Stage debate on the Bill. Virtually every Senator who spoke said there was a need to give people an incentive to go back to work. The incentive to go back to work is not great for those on the margin between work and welfare. That makes it even more difficult for employers to try to create such an incentive. I would not say the contents of this section are novel. This is not exactly rocket science. It is very obvious and we will see how it works out. We should try to quantify its success within a reasonable timeframe. It would be interesting, therefore, if the Minister could report to the Oireachtas on the success of the scheme and try to give some numbers. If it is not working as we would wish, it may have to be amended. If it is working, we can see if it can be expanded upon.

All legislation must be jobs proofed. We must ask ourselves if legislation is helping to create jobs or hindering job creation, none more so than social welfare legislation. I will be interested in the Minister's overall views. In six or 12 months' time, on the figures available at that stage, I will be interested in seeing exactly the consequence of the Bill.

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