Written answers

Thursday, 5 March 2009

Department of Social and Family Affairs

Social Welfare Benefits

5:00 pm

Photo of Bernard DurkanBernard Durkan (Kildare North, Fine Gael)
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Question 59: To ask the Minister for Social and Family Affairs if her attention has been drawn to the full extent and requirement in terms of social welfare, supplementary welfare and associated back up facilities in the emerging economic downturn; her views on the need to streamline the services available to persons who are unemployed, becoming unemployed or are in receipt of disability benefit or allowance; if her attention has further been drawn to the large number of people previously self employed or otherwise ineligible for various forms of assistance who may qualify for payments based on their present situation; if she will issue a directive to facilitate early entitlement to a payment in all cases in which a current means test indicates that the means are in accordance with established criteria; if she will ensure that adequate staff are deployed to meet the public requirements in full; and if she will make a statement on the matter. [9250/09]

Photo of Mary HanafinMary Hanafin (Dún Laoghaire, Fianna Fail)
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The vast bulk of expenditure by the Department of Social and Family Affairs is incurred on social welfare payments to individual recipients based on predetermined qualifying conditions and rates of payment. The expenditure, which is demand-led, is driven by a range of economic, social and demographic factors. There can also be complex interactions between schemes.

The Estimates for the Department of Social and Family Affairs which were published with the 2009 Budget were based, in the main, on an analysis of trends as regards likely numbers of recipients and average value of payments in 2009. The estimates for jobseeker's benefit and jobseeker's allowance were based on the Department of Finance's prediction of an average Live Register of 290,000 for the year. Developments on the Live Register are being closely monitored by both Departments and the estimate for jobseeker's benefit and allowance will be reconsidered again in the context of the finalisation of the Revised Estimates Volume. Determination of the average Live Register figure to underpin the Estimate is the responsibility of the Department of Finance.

The procedures and processes associated with claims for jobseeker payments are necessary to ensure that the right payment is paid to the right person at the right rate. However these can be off-putting to those who now find themselves unemployed after possibly a lifetime of employment. Our procedures and processes are being reviewed and a number of process improvement initiatives are being implemented. Self-employed people may apply for the means-tested jobseeker's allowance if their business ceases or if they are on low income as a result of a downturn in demand for their services. Legislation provides for the assessment of all income in cash and any non-cash benefits which the person or his or her spouse may reasonably expect to receive during the succeeding year. The means assessment guidelines state that where the income in the coming 12 months is not ascertainable otherwise, the income for the last 12 months should be taken as a guide, allowing for any factors which it is known will vary.

Means are taken as any net profit that a person will earn in the coming 12 months. While income from the previous twelve months is used as an indication in estimating their likely future earnings, it is not simply assumed that the previous year's earnings will be received in the coming year. Instead, account is taken of the potential for significant upward or downward variations in income from one year to the next.

If a self-employed person's situation changes after they have made an initial claim for Jobseeker's Allowance, they can apply to have their means reviewed in the light of their changed circumstances. In addition it is open to the individual if he or she is dissatisfied with the means assessed to appeal to the Social Welfare Appeals office.

In May 2008 an additional 31 staff were assigned to local offices to deal with the increased volume of claims all of these staff are in place.

Following on from this, a further staffing review was undertaken in October and an additional 115 were allocated. By late February 83 of these staff were in place and start dates have been agreed for a further 12 in early March.

In addition to this a separate staffing review was undertaken in Cork local office resulting in the allocation of 12 extra staff.

As many local offices are very close to capacity as regards accommodating further staff, we have decided to set up a number of central decision units around the country. Four such units are currently being set up in Dublin, Sligo, Finglas and Carrick-on-Shannon. Each unit will have 10 staff and the Department expects that all of these staff will be in place within the next few weeks. Work has recently commenced on setting up a further unit in Roscommon and this unit should be operational within the next two months or so.

A number of offices have a particularly high volume of claims awaiting a decision. In order to deal with this, 32 additional temporary staff were recruited with effect from 2 March to support these offices.

A further 16 Social Welfare Inspectors are being assigned to various locations throughout the country to undertake means testing and other work associated with processing claims for the jobseeker's allowance. This brings the total additional staff being assigned to 246.

Photo of Martin FerrisMartin Ferris (Kerry North, Sinn Fein)
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Question 60: To ask the Minister for Social and Family Affairs the reason she has refused to make the fuel allowance payable in two block sums, as lobbied for by many poverty and other agencies. [9248/09]

Photo of Mary HanafinMary Hanafin (Dún Laoghaire, Fianna Fail)
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The national fuel allowance scheme assists householders on long-term social welfare or health service executive (HSE) payments with meeting the cost of their heating needs during the winter season. The allowance which has been increased by €2 to €20 (€23.90 in designated smokeless zones) per week from January 2009 benefits almost 300,000 households and represents a contribution towards a person's normal heating expenses. The duration of payment has also been extended by 2 weeks from April 2009 bringing the total period for which fuel allowance is paid to 32 weeks. A detailed review of the fuel allowance scheme was carried out in 1998. This review looked at alternatives to the weekly method payment method including a single lump sum payment. A survey of recipients with the allowance, carried out in conjunction with the review, showed that the majority favoured weekly payments. The review recommended continuing with the weekly payment method.

While the payment of fuel allowance in lump sums could be advantageous for some people, there would also be disadvantages. The lump sum payment might not be used for the purpose of fuel purchase leading to hardship at a later stage and recourse having to be made to supplementary welfare allowance payments. A person's circumstances could change, leading to disqualification from payment of fuel allowance resulting in an overpayment having to be refunded. Payment of a lump sum in arrears would not be a viable option for persons with immediate needs during the winter period. Many oil companies provide facilities for making payment by instalment over a period of time which allows people to plan and budget for fuel expenses.

The Department is examining alternatives to the weekly method payment method including lump sum payments and as part of this process interested persons and agencies will be consulted. A number of issues need to be considered in detail including the administrative costs and processes involved in any changes to the current method of paying fuel allowance on a weekly basis. When all issues have been examined, a decision can be made in the best interests of all fuel allowance recipients.

Photo of Joan BurtonJoan Burton (Dublin West, Labour)
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Question 61: To ask the Minister for Social and Family Affairs her intentions to further reduce social welfare payments. [9282/09]

Photo of Mary HanafinMary Hanafin (Dún Laoghaire, Fianna Fail)
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The rate of all weekly social welfare payments, including increases for qualified adults and children, was increased, not reduced, in the last Budget. Any changes in social welfare payments would have to be considered in a Budgetary context.

Photo of Seán SherlockSeán Sherlock (Cork East, Labour)
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Question 63: To ask the Minister for Social and Family Affairs her plans to amend the benefit and privilege rule for under 25 year olds. [9295/09]

Photo of Mary HanafinMary Hanafin (Dún Laoghaire, Fianna Fail)
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There are no plans to amend the benefit and privilege rules. Any further improvements to the means testing arrangements for social welfare schemes generally, including the benefit and privilege assessment arrangements for the jobseeker's allowance and supplementary welfare allowance schemes, would have to be considered in a Budgetary context and having regard to available resources.

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