Dinny McGinley (Donegal South West, Fine Gael)
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Question 400: To ask the Minister for Social and Family Affairs the reason for the anomaly in sick benefit payment to persons who are residing in the Republic but work in Northern Ireland; and if he will make a statement on the matter. [41310/06]

Séamus Brennan (Dublin South, Fianna Fail)
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The social security rights of people living and working in the EU are governed by EU Regulations 1408/71 and 574/72. The Regulations co-ordinate social security systems and are designed to ensure that people are not disadvantaged by moving within the EU to take up work. This is achieved primarily by setting out rules as to which State's social security a person will pay insurance contributions towards, when, for example, s/he moves from one Member State to another to take up work or where s/he lives in one State and works in another. In addition, the Regulations set out rules as to which State will pay benefit in the event of the usual contingencies arising, sickness, unemployment, old-age etc.

The general rule is that a person is insured in the State in which s/he works. Equally, the state of employment has, in general, responsibility for paying benefits when, for example, a person becomes unemployed or ill. The Regulations also provide that when entitlement to benefit is being examined, account must be taken of insurance paid in any other Member State where the person worked. In the case of pensions, different rules apply and, in general, a person will get a pension from each State in which s/he worked in proportion to the periods of insurance completed in each Member State. The rules are binding and a person cannot elect to be attached to a particular social security scheme or claim benefits from a State of their choice.

As a general rule, a person is entitled to sickness benefits from the country where s/he is insured and in accordance with the rules of that country's legislation. In the case of a person who is working in Northern Ireland and living in the Republic, the Regulations provide that the person is subject to UK legislation i.e. s/he must pay social insurance contributions to the UK. In the event of sickness the Regulations also provide that sickness benefit is payable by the UK but if, for example, the person has insufficient contributions paid in the UK to meet the contribution conditions there, any PRSI contributions paid in Ireland can be added to the UK record.