Written answers

Tuesday, 18 May 2021

Department of Employment Affairs and Social Protection

National Economic and Social Council

Photo of Richard Boyd BarrettRichard Boyd Barrett (Dún Laoghaire, People Before Profit Alliance)
Link to this: Individually | In context | Oireachtas source

135. To ask the Minister for Employment Affairs and Social Protection if she has read the NESC report on the position of the self-employed. [1330/21]

Photo of Paul MurphyPaul Murphy (Dublin South West, RISE)
Link to this: Individually | In context | Oireachtas source

557. To ask the Minister for Employment Affairs and Social Protection if she read the recent NESC publication on the position of the self-employed; and her views on the matter. [1490/21]

Photo of Heather HumphreysHeather Humphreys (Cavan-Monaghan, Fine Gael)
Link to this: Individually | In context | Oireachtas source

I propose to take Questions Nos. 135 and 557 together.

I am aware of the National Economic and Social Council (NESC) paper on ‘The Position of the Self-Employed’ that was published last November.  I note that the paper considers a number of issues concerning self-employed workers, and groups these into the four policy areas of: the social insurance contributions made by self-employed workers;  the social protection supports provided to them; the differentiation between employed and self-employed workers; and representation for self-employed workers.    

With respect to the level of contribution to the social insurance fund by self-employed workers, they are now covered for most of the benefits available under the social insurance scheme which represents approximately 93% of the value of all benefits paid by the social insurance fund - in return for a contribution of 11 percentage points lower than that made in respect of employed contributors.  As the Deputy will be aware, the Programme for Government includes a commitment that consideration will be given to increasing all classes of PRSI over time to replenish the social insurance fund to help pay for measures and changes to be agreed and the NESC paper will help inform deliberations in that regard.     

The second issue relates to the levels of welfare support provided to self-employed workers.  My Department offers a range of income supports to self-employed people, including - jobseeker's benefit (self-employed), the option of applying for a means tested jobseeker’s allowance instead depending on their personal circumstances; the pandemic unemployment payment, facilitating self-employed workers who are in receipt of the pandemic unemployment payment and who are seeking to maintain their business, to earn up to €960 over an eight week period while maintaining their full payment entitlement, the enhanced illness benefit payment of €350 per week where they have been medically diagnosed with COVID or have been medically advised to self-isolate or restrict their movements, the back to work enterprise allowance scheme which offers support to people who are long-term unemployed and who are interested in self-employment as a route to entering the labour market; this allowance is payable to self-employed workers for up to a 24-month period from the commencement of their new business, the once-off enterprise support grant of up to €1,000 to assist with the costs associated with reopening a business following the imposition of Covid-related restrictions, and  my Department's employment support services on a voluntary basis through their local Intreo Centre.

With respect to the categorisation of self-employed workers, my Department’s social welfare inspectorate carry out, as part of their duties, employer investigations to ensure compliance with social insurance law and employment status investigations form part of this work.  The approach to addressing potential false self-employment includes the setting up of a new team of inspectors in late 2019 to focus entirely on detecting and investigating such practices.  In recognising the need to increase awareness in this area, my Department is leading an interdepartmental group on updating and revising the important ‘Code of Practice for Determining Employment or Self-Employment’.  I expect this revised Code to be published very soon.

Finally, in the area of representation, industrial relations in Ireland rests on a voluntary model.  The State’s role is largely restricted to the development of an institutional framework supportive of a voluntary system that is premised upon freedom of contract and freedom of association.   Progressing matters of representation come within the remit of my colleague, the Tánaiste and Minister for Enterprise, Trade and Employment.

I trust this clarifies the matter for the Deputies.

Comments

No comments

Log in or join to post a public comment.