Michael Kitt (Galway East, Fianna Fail)
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61. To ask the Tánaiste and Minister for Social Protection if there are proposals to allow for a one-year social protection credit to persons who have been in direct provision centres, upon their gaining employment, for every year they have spent in these centres; and if she will make a statement on the matter. [41975/15]

Joan Burton (Dublin West, Labour)
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PRSI credited contributions or “credits” are a form of PRSI contribution recorded on an employee’s social record. Credits protect an employee’s social insurance entitlements by covering gaps in insurance where they are not in a position to pay PRSI, such as during periods of unemployment, illness etc.

To qualify for credits a worker must have paid at least one PRSI contribution while working and have had an attachment to the workforce in the last 2 tax years, as evidenced by having paid or credited PRSI contributions in that period. If these conditions are met, credits are awarded in specific circumstances. These circumstances include proven unemployment or certified illnesses, receipt of specific social welfare payments, participation on certain training or employment schemes and entitlement to certain statutory leave, such as Parental Leave. Credits on their own, do not give an employee entitlement to social insurance benefits. In combination with paid PRSI contributions, credits assist employees in qualifying for short-term schemes and enhance the level of benefit for long-term schemes.

Where individuals enter the workforce for the first time, including those previously in Direct Provision, they may be entitled to pre-entry credits. The purpose of pre-entry credits is to enable new entrants to the social insurance system to qualify for benefits within a reasonable period after their date of entry, once they have sufficient paid PRSI contributions. They are awarded upon the payment of a worker’s first paid PRSI contribution as an employee. Pre-entry credits are awarded:-

(i) from the beginning of the relevant contribution year to the date on which they began to work i.e. their date of entry into social insurance as an employed contributor, and

(ii) for the two previous contribution years before entry into insurable employment.

In effect, the award of pre-entry credits to those previously in direct provision and who take up employment, will provide recognition for social insurance purposes, of a period of between 2 to 3 years spent in Direct Provision Centres. Any proposal to increase the level of credits awarded for additional periods spent in these centres would have financial implications in terms of increased social insurance entitlements, and would have to be considered in a Budgetary context.