Robert Troy (Longford-Westmeath, Fianna Fail)
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To ask the Minister for Social Protection if she has had discussions with groups representing childcare providers regarding the impact the proposed sick pay proposals will have on the provision of childcare services and the additional costs such a measure could impose on these services; and if she will make a statement on the matter. [40692/12]

Joan Burton (Dublin West, Labour)
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The total expenditure on the key illness and disability payments administered by the Department – namely illness benefit, invalidity pension and disability allowance amounted to some €10.6 billion in the period from 2008 to 2011. Of that amount, some €3.6 billion relates to illness benefit and the estimated cost of the scheme in 2012 is €847 million.

Against that background, there are a number of compelling reasons why the Government is giving consideration to the introduction of a scheme of statutory sick pay at this time. Firstly, it is necessary to take steps to address the deficit in the social insurance fund from which illness benefit, amongst other insurance-based benefits and pensions, is paid. In 2011, the deficit in the Fund was some €1.5 billion. Secondly, such a scheme would help to limit progression from short-term illness to long-term illness or disability. Thirdly, it would serve to bring Ireland into line with practice in other countries in this area. And, finally, it would contribute towards enhancing the health of the workforce and achieve active management of absenteeism.

I am acutely conscious of the pressures facing employers in the current economic climate. In this regard, I am aware of the particular concerns of the childcare sector. These concerns will continue to be taken into account in considering the issues associated with the possible introduction of a scheme of statutory sick pay.