Written answers

Wednesday, 29 November 2017

Department of Employment Affairs and Social Protection

Family Income Supplement

Photo of Willie O'DeaWillie O'Dea (Limerick City, Fianna Fail)
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56. To ask the Minister for Employment Affairs and Social Protection the rationale behind renaming family income supplement to the working family payment; and if she will make a statement on the matter. [50500/17]

Photo of Regina DohertyRegina Doherty (Meath East, Fine Gael)
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The Department’s approach to developing the working family payment was guided by two principles. First, that it should ensure that work pays, and second, that it should have a positive effect on reducing child poverty. To advance the commitment contained in the Programme for Partnership Government, the Department established an internal working group and an Inter-Departmental Group of the relevant Government Departments to consider proposals. The Department also issued a call for submissions from interested parties. As part of this process the Department carried out an extensive analysis of the range of supports it provides to assist individuals to take up employment. This analysis showed the existing in-work supports are very effective, and work well in assisting individuals make the transition from unemployment into employment. These findings are confirmed by the ESRI’s research into the Department’s existing in-work measures, and Eurostat figures, which show that the parental in-work poverty rate in Ireland is 5.8%, significantly below the EU 28 average of 11.2%.

This is in large part due to the Department’s in-work supports such as Family Income Supplement and the Back to Work Family Dividend.

The Department’s approach, my approach and that of my predecessor to the working family payment is guided by two principles: first, that we have to ensure that work pays and that it is worthwhile for people to go out to work, and, second, that it should have a positive impact on reducing child poverty in the country, which is still far too high. This is of particular importance to me.

It is not, for me, as simple as changing the name from Family Income Supplement to Working Family Payment. Under Section 8 I am proposing to put FIS under the umbrella of working family payments and I plan to bring forward a number of progressive supports for working families with a view to assisting those who are transitioning from unemployment into employment, and from under-employment into full employment.

In the context of Budget 2018 it was decided to re-designate the Family Income Supplement (FIS) scheme as the Working Family Payment (WFP), which will bring it more visibility as a payment aimed specifically at working families. The new name better reflects the nature of the payment and the Department would encourage families to look into seeing if they are eligible for the payment. It is also intended to continually review the package of supports offered to working parents to ensure that they continue to meet their objectives.

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