Finian McGrath (Dublin Bay North, Independent)
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Illness benefit is funded by the Social Insurance Fund (SIF) through the payment of contributions by workers and employers. The SIF operates on a “pay as you go” basis, with the Exchequer acting as residual financier of the fund when there is a shortfall between contributions received and benefits paid. The fund is central to Ireland’s system of social protection and there is a fundamental requirement that it should be protected for current and future generations.

Specifically, illness benefit is a short term payment made to insured people who are unable to work due to illness. Normally payment of illness benefit begins from the seventh day of the illness; no payment is made for the first six days, known as “waiting days”. Waiting days have been a long standing feature of social insurance schemes and are a feature of similar social security schemes in many other countries.

In order to ensure the sustainability of the Fund, the number of waiting days was increased in 2014 from three to six. The increase in waiting days was a relatively modest adjustment and many employees still receive their salaries when out sick where their employers have occupational sick pay arrangements in place. Furthermore, people who need financial support are not left without such support during waiting days. A person who has no other income may claim supplementary welfare allowance in respect of the days in question.

I have no plans at present to change the number of waiting days for illness benefit.

I hope this clarifies the matter for the Deputy.