Dan Neville (Limerick West, Fine Gael)
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Question 85: To ask the Minister for Social and Family Affairs if there are measures in place within the social welfare system for the tapered removal of social welfare benefits; if not, if such a measure is being considered; and if he will make a statement on the matter. [32283/07]

Martin Cullen (Waterford, Fianna Fail)
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I am assuming that the Deputy is referring to the position of people in receipt of social welfare payments who are in the process of taking up employment.

My department already provides a number of incentives to ease the transition from welfare to work. For example, the back to work allowance scheme is part of my Department's programme of initiatives designed to assist long term unemployed people, lone parents and other social welfare recipients to return to the active labour force. The allowance provides a monetary incentive designed to make return to work financially attractive and viable.

There are two strands associated with the scheme — back to work enterprise allowance (BTWEA) for the self-employed and back to work allowance (BTWA) for employees. Under the BTEA the self employed person continues to receive 100% of their primary social welfare payment in year one, 75% in year two, 50% in year three, and 25% in year four. In the case of employees who qualify for BTWA, participants receive 75% of their primary social welfare payment in year one, 50% in year two, and 25% in year three. Participants also retain entitlement to certain other secondary benefits.

In the case of the one parent family payment scheme a single parent, in receipt of one parent family payment (OPFP) , may earn up to €146.50 per week and still qualify for the maximum rate of payment. A reduced rate of OPFP may also apply where the person has earnings between €146.50 and €400.00. Where earnings exceed €400 per week, the single parent will continue to receive OPFP at 50% of their appropriate for a period of 26 weeks provided they continue to satisfy all of the other conditions of the scheme and immediate prior to moving to the 50% rate they were in receipt of OPFP for a period of not less than 52 weeks.

Budget 2007 provided for improvements in the rent supplement scheme whereby a person in receipt of rent supplement, who was accepted as suitable for accommodation under the rental accommodation scheme, may engage in full-time employment and continue to receive a supplement subject to satisfying the standard means test. These provisions along with other measures I have outlined are directed at removing obstacles to employment and facilitating the transition to work for those who are long term dependant on the social welfare system.