Aengus Ó Snodaigh (Dublin South Central, Sinn Fein)
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18. To ask the Tánaiste and Minister for Social Protection if she will restore equality for young jobseekers by increasing payments. [1214/16]

Joan Burton (Dublin West, Labour)
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Reduced rates for young jobseeker’s allowance (JA) recipients were first introduced in 2009. These measures were further extended in 2014. Reduced JA rates for jobseeker’s who are under 26 years of age is a targeted measure aimed at protecting young people from welfare dependency. It aims to incentivise young jobseeker’s allowance recipients to avail of education and training opportunities. If a jobseeker in receipt of the reduced jobseeker’s allowance rate participates on an education or training programme they will receive a higher weekly payment of €160.

To guard against the development of welfare dependency I believe that it is necessary to provide young jobseekers with a strong financial incentive to engage in education or training or to take up employment. If they do not improve their skills, it will be much more difficult for them to avail of job opportunities as the economy recovers and they are at risk of becoming long term unemployed from a young age. Reduced rates of JA are a targeted measure aimed at protecting young people from welfare dependency.

The Government’s primary strategy to tackle youth unemployment is through policies to create the environment for a strong economic recovery by promoting competitiveness and productivity. Economic recovery will underpin jobs growth and the availability of employment for young people.

Reflecting the overall improvement in the labour market, youth unemployment continues to fall. The youth unemployment rate rose relatively rapidly in the recession, up to an average of over 30% in 2012. It has fallen in line with the overall recovery, to an average 19.2% by December 2015. However, these unemployment levels are still unacceptably high and the Government recognises that there is a need for additional measures to ensure that as many as possible of the jobs created are taken up by jobseekers and young jobseekers in particular. This is the rationale behind the Government’s Youth Guarantee Implementation Plan and the Pathways to Work Strategy. In fact Pathways to Work 2016-2020 will be published shortly and will continue to prioritise measures to address youth unemployment with monthly engagement by case officers with all young unemployed jobseekers.

Any proposal to increase the rates of JA for people under 26 would be a matter for Government to consider in a budgetary context.