Leo Varadkar (Dublin West, Fine Gael) | Oireachtas source

I assure Senator Ardagh that our policy is that child benefit will remain universal. There are no plans to means test or tax it. However, if we were of that mind, we would have access to that information through people's PPS numbers in any case. However, that is certainly not the purpose for which we would use this information and we collect this information already.

I emphasise that the key point of this provision is to facilitate the most effective means of ensuring prompt payment of child benefit to our customers. The purpose of the section is to underpin the process whereby the Department contacts employers to verify continuing employment specifically for child benefit purposes. The provision is modelled on existing provisions for other social welfare schemes, such as FIS, back-to-work family dividend and maternity, paternity and carer's benefit. The Department is already empowered by these provisions to contact employers to verify employment details to establish entitlement, new or ongoing, to benefits.

In general, the onus is on customers to prove to the Department that they qualify for the social welfare payment for which they are applying. This includes child benefit, whether payable in accordance with EU regulations or under domestic legislation. EU and EEA citizens and Swiss nationals working in Ireland qualify for child benefit under EU regulations. Their children may be resident either here or in their home countries. Where children are resident abroad, customers are required to confirm their continued entitlement to child benefit every six months. This includes a statement from the customer or their spouse or partner's employer confirming that the employment is expected to continue.

While it is correct that the employment status of an Irish parent is immaterial to a child benefit claim, all child benefit customers claiming under domestic legislation must satisfy the habitual residency condition. One of the factors being taken into account in determining habitual residence is the nature and pattern of the person's employment. A person is exempt from satisfying the habitual residence condition if they or their spouse or partner is currently employed. For these reasons it is sometimes necessary for the Department to have access to information on the employment of the customer or his or her spouse or partner for child benefit purposes.

In a small number of cases, situations arise where it is less problematic and more convenient for the customer if the Department can contact their employer directly to confirm their employment. The volume of these inquiries is very small. Currently, it averages approximately ten cases per week, and almost all of these relate to claims under EU regulations. As I explained during the debate in the Dáil, there are instances when the employment details required are not those of the customer but relate to the spouse, partner, ex-spouse or ex-partner. In such instances, the co-operation of that person is not always forthcoming. This can lead to situations where a customer does have an entitlement to payment, but where that entitlement cannot be established or where establishing that entitlement could be delayed. The most efficient and customer-focused way in which entitlement can be determined in such circumstances is for the Department to seek the required information directly from the employer. Having this provision in place will ensure that the Department has a robust legislative basis to make these inquiries where the need arises. We do this already, but we wish to ensure we have a solid legislative basis for doing so.

The Department has records of social insurance contributions. However, as was mentioned earlier, these only become available at the end of the year and can only be updated in arrears. That could lead to a delay. Employers are only ever contacted on an individual, case-by-case basis and never on a bulk basis. We are keenly aware of our data protection obligations. Any personal data collected by the Department are collected for specified, explicit and legitimate purposes and are not further processed in any way that is incompatible with those obligations.

I appreciate what Senator Ruane's amendment seeks to do and the safeguards it seeks to put in place. It refers to examples I gave during the Dáil debate, which would be encompassed by this provision and the regulations that would be made on foot of the provision. However, it is the practice that the detail is set out in the regulations rather than in the primary legislation. As I said previously, if this section is enacted I will make regulations which will set out the information that will be sought from employers for child benefit purposes and the circumstances in which it will be sought. As part of the drafting process, the Department will liaise with the Office of the Attorney General to ensure that the regulations are appropriate and proportionate. When made, the regulations will be supplemented by the operational guidelines to which deciding officers must have regard. The guidelines, as always, will be published on the Department’s website.

I appreciate there are some genuine concerns that this provision could be abused or that there might be an alternative agenda here. I am not asking anybody to give me a blank cheque. To further allay concerns Senators may have, I am happy to bring the draft regulations before the Oireachtas Joint Committee on Social Protection in order that its members will have an opportunity to fully examine them and make their views known. I give a commitment that I will not sign the regulations unless the joint committee is happy with them.