Mick Barry (Cork North Central, Solidarity)
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1259. To ask the Minister for Employment Affairs and Social Protection her views on a matter (details supplied) regarding the disability allowance. [25428/18]

Finian McGrath (Dublin Bay North, Independent)
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Disability allowance (DA) is a means tested scheme and means are assessed in line with the provisions specified in the relevant social welfare legislation. In summary, any income, with some exceptions, belonging to the person is assessable as means for DA purposes.

Another condition for receipt of DA is that a person has an injury, disease or physical or mental disability that has continued (or may be expected to continue for at least one year) and that as a result of this disability, is substantially restricted in undertaking work that would otherwise be suitable for a person of his/her age, experience and qualifications.

The DA scheme is structured to encourage recipients to avail of opportunities to engage in rehabilitative work where this is appropriate, either in self-employment or in insurable employment. When an individual engages in rehabilitative work, they can avail of an income disregard of €120 per week, and 50% of earnings between €120 and €350 are also disregarded, for the purpose of the means test.

Where the DA recipient commences self-employment, we require them to indicate when they are starting and the type of work involved. We also request that they keep full records of their income and expenses from the date on which the self-employment commences. This is to ensure that the appropriate evidence is available to a deciding officer to calculate the average earnings over the period most appropriate, having regard to the circumstances of each case.

Approval must first be sought from my Department in order for the work to be considered as rehabilitative. The term ‘rehabilitative’ is not defined in legislation and is broadly interpreted in administrative practice as including appropriate work that would be regarded as good for the person and would be expected to result in more positive outcomes in symptom levels, self-esteem, quality of life and social functioning. In all cases the recipient must forward a letter from their own doctor indicating that the work is rehabilitative.

The Make Work Pay (MWP) report for people with disabilities, published in 2017, made a number of recommendations including that the requirement that work be of a ‘rehabilitative nature’ for the DA earnings disregard should be dispensed with. This would mean that a report from a doctor would no longer required before commencing work and that the focus is on capacity rather than incapacity. Legislation is required to give effect to this change and is included in the Social Welfare, Pensions and Civil Registration Bill 2017.

I trust this clarifies the matter for the Deputy.