Joan Burton (Dublin West, Labour) | Oireachtas source

Section 343E(3) sets out the parallel situation to the 15%. It reads:

The Minister, in determining the rate of periodical deductions under subsection (2), and in addition to considering the matters under section 343C shall not -
(a ) without the prior written agreement of the overpaid person, determine a rate that exceeds 15 per cent of the net weekly emoluments to which the person concerned is or becomes entitled,

In voluntary arrangements, people can decide how much they wish to pay. Sometimes people want to clear the debt quickly and may have the resources to do that and they do it. For example, older people who may have savings may decide to come in and clear the debt quickly. If that is not the case, which I anticipate in many situations, the Minister shall not determine a rate that exceeds 15% of the net weekly emoluments. That is the same principle for applies to reductions from social welfare. It is the net weekly emoluments, payments of taxes, universal social charge, PRSI, that is taken into account. I think that is a reasonable basis on which to determine the rate. We had a detailed look at the issue to determine how we could strike a balance that was fair between the Department recovering moneys that are owed and taking into account the circumstances of the individual. I repeat, this is for circumstances where it has not been possible to make a voluntary agreement. The best option would be to make a voluntary agreement between the Department and the individual because that is by far the easiest procedure for everybody.