Pádraig Mac Lochlainn (Donegal North East, Sinn Fein)
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153. To ask the Minister for Social Protection if the full amount of €188 for jobseeker's benefit is only based upon stamps accrued (details supplied). [7396/14]

Joan Burton (Dublin West, Labour)
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Since the extension of full social insurance cover to part-time workers from April 1991, a range of measures were introduced to the short-term illness and jobseeker’s benefit schemes in order to ensure that disincentives to employment were not created. In the absence of these measures, a situation would exist whereby many workers on low incomes would have access to weekly social welfare payments greatly in excess of their income from employment. For instance, while someone earning €31.17 a week or more would have been liable for PRSI Class A contributions, the maximum personal rate of illness and jobseeker’s benefit from January 1993 was €70.60 a week, i.e. the social welfare benefits available could have been more than twice the level of income from employment for some people.

To overcome the potential disincentives involved, new arrangements were introduced with effect from January 1993 to relate the rate of benefit payable to the level of the claimant's earnings. These measures must be regularly updated to keep pace with changes in benefit levels. Most recently, adjustments in Budget 2009 sought to bring the income threshold and banding structure back into line with the level of benefits payable. Under the current arrangements jobseeker's benefit recipients with earnings of less than €300 per week in the relevant tax year – for claims in 2014, the relevant tax year is 2012 – get a personal rate ranging from €84.50 to €147.30, and reduced rates for qualified adults may also apply. Jobseeker’s benefit recipients with average earnings over €300 per week in the relevant tax year will receive a personal rate of €188 per week.

Any person who is in receipt of a reduced rate illness or jobseeker's benefit payment and where their income is insufficient to meet their needs may be eligible for a top-up under the supplementary welfare allowance scheme. Recipients of jobseeker's benefit may also opt to transfer to jobseeker's allowance.