Seanad debates

Tuesday, 13 December 2022

Social Welfare Bill 2022: Committee and Remaining Stages

 

11:00 am

Photo of Gerard CraughwellGerard Craughwell (Independent) | Oireachtas source

I move amendment No. 21.

In page 9, after line 22, to insert the following:

Report by the Minister

19. The Minister shall within 12 months of passing this Act issue a report to the Oireachtas detailing how public representatives, people who belong to the Class K PRSI bracket or an equivalent bracket can receive social protection. The report should address issues related to the lack of social protection available for public representatives once they leave office.”.

Speaking about amendments being ruled out of order because there is a cost to the Exchequer, in printing these there is a cost to the Exchequer. I find it rather confusing that we put these things down as a reason to rule out of order but that is for the Committee on Parliamentary Privileges and Oversight to deal with. We have spoken about Class K and the damage it has done to former Members of this House. I understand why the amendments have been ruled out of order. However we have brought this up every year since 2015. In 2015 the then Minister for Social Protection changed one tiny part of the Bill which excluded county councillors from Class K and moved them into Class S. At that time we initiated a High Court action which was settled without going to court. There is a constitutional question here. It sounds ridiculous. Would anybody take out an insurance policy on their house knowing that if the house went on fire they are not going to get paid? Would anyone take out an insurance policy on their car knowing if the car was stolen they would be left without a car? Quite simply we would not do that. What I ask in this amendment is that the Minister will come back to the House in 12 months' time having taken time to look at the Class K issue and hopefully the next time we meet in this House she will have taken steps to address it.

I understand that the concept behind it, particularly the unearned income side, was aimed at stock holders who were earning massive profits from their investments. Surely the way to handle that issue is through the Revenue Commissioners and to tax them. If a tax is to be put on a public service, then put a tax on public service for being Members of the Oireachtas. That is fine, it should come through the Finance Bill and let us debate it in this House and see how far it would go. Class K is nothing other than a tax on public service. It is a cruel tax because it offers nothing. I think of my colleagues who have left this House. They are damaged forever on their PRSI record. Class K will impact the contributory pension for older Members who come into this House. We really have to come to grips with this issue. It is not easy because anybody looking in on this tonight would think: "they have gold-plated pensions, what the hell do they want?" We do not, anymore. Those days are long gone as the Minister well knows. I do not want to the put the Minister on the spot on this issue but I have decided to take the lead on it and I am willing to take whatever stick comes with it. However we have to deal with it.

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