Written answers

Tuesday, 24 January 2017

Department of Social Protection

Labour Activation Measures

Photo of Willie O'DeaWillie O'Dea (Limerick City, Fianna Fail)
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59. To ask the Minister for Social Protection the specific measures his Department plans to introduce to tackle unemployment for those persons aged 50 years of age and over; and if he will make a statement on the matter. [2726/17]

Photo of Leo VaradkarLeo Varadkar (Dublin West, Fine Gael)
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Government policy to reduce unemployment is twofold. First, through policies set out in the Action Plan for Jobs, to create an environment in which business can succeed and create jobs and second, through Pathways to Work to ensure that as many of these new jobs and other vacancies that arise in our economy are filled by people taken from the Live Register, including people over 50 years of age. These policies have seen a significant reduction in unemployment over the last few years.

People of all ages have benefited from this reduction none more so than people over 50 years of age. The unemployment rate for persons aged 50 and over has fallen by almost half, from 11.7% at its peak in the third quarter of 2012 to 6.1% in the third quarter of 2016. The unemployment rate for older members of the labour force is also lower than for those in younger age groups. Quarterly National Household Survey Data data show that in the third quarter of 2016, the most recent period for which disaggregated data is available, the unemployment rate for those aged 50-64 was 6.1%, as compared with 7.5% for those aged 25-49 and 17.7% for those aged under 25.

This pattern – of lower relative unemployment among those in the older age-groups – has been a consistent one over time and current trends suggest that older unemployed people will continue to benefit from the improving labour market conditions.

With regard to the question of targeting the over 50 age group through specific measures, the Department already prioritises two groups for activation support. People aged under 25 are prioritised given the higher rate of unemployment among young people, and people who are long-term unemployed are prioritised given their relatively low progression to employment rates. With the exception of these two groups the prioritisation of resources for employment and activation purposes within the Department is based on a range of factors using a jobseeker profiling and assessment method developed in conjunction with the ESRI. Age is one of the factors taken into account in this model, as are gender, nationality, level of educational attainment, family circumstances and prior employment experience. This holistic approach is in line with best international practice and ensures that resources are targeted in a more precise way than using broadly based indicators such as age alone.

Given that the underlying unemployment data do not indicate a requirement for specific measures targeted at the over 50s it is not proposed to introduce new measures aimed specifically at the older unemployed at this time.

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