Seanad debates

Thursday, 15 December 2011

Social Welfare Bill 2011: Committee Stage

 

1:00 pm

Photo of Joan BurtonJoan Burton (Dublin West, Labour)

The reason is that we did not build the system in that way. Instead, we built 50 or 60 separate schemes, disregards and conditionalities which vary according to the status of the individual, for example, his or her relationship, the age of children, older people and so on. What we are moving towards is a system of five parts relating to five conditions of one's life. We have the period of childhood and the period after a person reaches retirement age. Then we have three stages for people of working age, that is, the period between finishing education and retirement. In the case of the latter, we have three streams of payments. First, we have jobseeker's benefits for those who are out of work and seeking employment. Second, we have disability payments for persons with a certain incapacity, invalidity payments for persons with a higher level of incapacity and illness benefits. Third, we have lone parent payments which are based on relationship status. The general reform is to try to bring the three working age streams into line with each other. In the specific case under discussion, the measure already applies to job seekers and has been extended to others of working age and people who have retired on various pension structures.

I reiterate that the provision applies to people whose spouse or civil partner has an income in excess of €400 a week. The individual will receive the individual rate which is, in general, a minimum of €188 a week and his or her partner will have an income of at least €400. This is an income of €588 which would be augmented by child benefit in the case of households with children. While the income level of such a household is not enormous, it is significant. One of the principles in the Social Welfare Bill is to try to maintain the basic rates of payment for those on a basic rate of social welfare. Carers who rely on their carer's allowance for all of their income and older people who rely on the contributory or non-contributory old age pension, as is the case for the vast majority of pensioners, are not affected and their income is protected.

In the context of all the cuts made, Members from all sides will welcome this protection. Moreover, the basic income of carers has been protected.

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