Seanad debates

Tuesday, 5 November 2013

Social Welfare and Pensions Bill 2013: Second Stage

 

5:00 pm

Photo of Deirdre CluneDeirdre Clune (Fine Gael) | Oireachtas source

I acknowledge the point made by the Minister in her speech that originally €440 million was to be taken from her Department's budget and that figure was reduced to €226 million. She had a similar story to tell us last year. However, as others have said, these spending reductions will still have an impact. Budget 2014 was about getting people back to work while at the same time ensuring that payments in respect of the State pension, carer's allowance, disability benefit and child benefit were all protected.

Budget 2014 was about getting people back to work and at the same time ensuring State pension, carer's allowance, disability and child benefit payments were protected. I acknowledge that some changes were proposed. I will go through some of the measures that will have an impact on individuals.

I do not think it has been mentioned in this debate that work is the single greatest protection against poverty. It should inform everything we do. All of our efforts should aim to ensure people return to work. While the figures are good, they are not good enough. We need to go much further. The creation of 3,500 jobs a month over the past year has had a positive effect on the economic balance sheet and on the lives of individuals and their families. Many payments have been protected, as I have said, but others have not. The reduction in the level of jobseeker's allowance paid to those under the age of 25 has been criticised by many people. The Minister made the case very well in her opening remarks when she said there is an emphasis on creating training, education and internship places across a range of programmes to ensure young people have the necessary skills for employment.

I heard criticism this week of the 300 jobs that are being created in the technology sector, on the basis that they are not suitable for everybody. I accept that they are not suitable for everybody. We should bear in mind that for every job created in employment backed by IDA Ireland or Enterprise Ireland, up to 1.5 further jobs will be created in the community. Anyone who has read the Fast-track to IT report will be aware that a range of skills are needed in the technology sector. It is not just about coders and programmers. A range of skills are required across the board. Many young people who used to work in the construction sector, after finishing their trade apprenticeships, are finding meaningful employment in the IT sector. We should bear in mind that a range of skills are needed in the IT sector. It is not necessarily all about high level coding and programming.

I would like to speak about the job activation measures that are in place. A positive Indecon report, which looked at the success of the JobBridge scheme, referred to the success of those who have participated in the scheme in gaining employment outside their internships or the organisations they were in. It is very positive and it continues to be positive. I look forward to seeing how the Minister will conclude this country's programme under the youth guarantee initiative towards the end of the year. This positive development, which was finalised under the recent Irish Presidency of the EU, is focused on getting young people back to work and ensuring they acquire the right skills. The proposal in this Bill to reduce the jobseeker's payment received by young people, as proposed in the budget, will ensure there is a focus on what is available to young people, how they can be supported in getting back to work and offering them the necessary education or training placements. We have given a commitment to this effect under the youth guarantee fund.

I congratulate the Minister on the introduction of the welfare fraud initiative. I welcome it because it is important for us to know that action is being taken. The introduction of the public service card will be of assistance in that regard. The special investigation unit, which will look at organised fraud, suspected non-residency cases and multiple claims, will co-operate with Revenue. A range of measures have been and will continue to be effective. I understand further funding is being provided towards that end this year.

We should bear in mind that maternity benefit, which is being reduced, is not a payment towards the cost of rearing children. Child benefit is provided for that. Maternity benefit is provided as an employment support to ensure mothers receive income support during the time they spend on maternity leave. We have come an awfully long way. Under EU law, we are required to provide for just 14 weeks of maternity leave, but we provide for 26 weeks of paid maternity leave and 16 weeks of unpaid maternity leave. This goes a long way to help people who have children by giving them time to bond with and adapt to their new arrivals. It is certainly not meant as a payment towards child care.

In many cases, the employer has previously ensured that the mother gets full pay on maternity leave. I suspect that in many cases, those days have gone. We should applaud the way we have moved on in terms of supporting parents with their new children. We have come a long way and should not focus on the payment or cost.

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