Johnny Brady (Meath West, Fianna Fail)

I am delighted to speak on this Bill. My party in Government has always worked very hard to protect the most vulnerable in our society. When resources were available, we invested heavily in improving social welfare rates. Over the past 12 years, unemployment benefits increased by almost 130%, pension rates increased by approximately 120% and child benefit payments went up by a massive 330%. The price of goods and services increased by 40% during the same period.

In 2000, our social welfare expenditure was €6.7 billion, while today it stands at almost €21 billion. It is no secret that this position is unsustainable. Given the current state of our public finances, it is would not be feasible to leave this budget untouched. At all times, however, we must ensure we that we protect the most vulnerable in our society. Put simply, we are taking a small step backwards in order to protect welfare services for the future. In any debate on social welfare it is important to point out that even after the adjustments last year, our rates compare extremely favourably to our neighbouring jurisdictions.

The Bill before us will transform the provision of social welfare by providing for the full transfer and integration of employment services and community services programmes of FÁS from the Department of Education and Skills to the Department of Social Protection. This means that, as well as providing income support, the Department of Social Protection will also focus on helping people to find work. This marks a more proactive, employment-focused and customer-centred approach by the Department.

The best way to reduce the social welfare budget is to get people back to work. Therefore, it makes sense that the Department should play a pivotal role in the provision of employment and community service programmes, as well as progressing people to participate in the workforce. It is envisaged that trained staff will work together with individuals on a one-to-one basis with clearly defined milestones and targets. For its part, FÁS will now focus primarily on the provision of training services.

I was pleased to hear the Minister, Deputy Ó Cuív, say last week that the practical arrangements to support this transfer of functions are now largely in place and that there has been a lot of co-operation between the Department and FÁS. This shows that public sector reform, as facilitated by the Croke Park agreement, is well under way.

The Bill also introduces a provision which will allow for certain people who receive the jobseeker's allowance and jobseeker's benefit to complete their certification or signing-on process by electronic means. This will see local and branch officers collecting signatures by means of a digital signature. It is also envisaged that the signing-on process could at some stage in the future be conducted online or by using a mobile telephone. In this day and age, when most people of working age are technologically savvy, it makes sense to look at these options.

These new channels will make the signing-on process more efficient, while delivering better customer care. It will also result in cost savings and reduced pressure on local offices. This means that staff resources will be freed up to work in other areas such as client, claim and payment issues. It is important to point out that the necessary levels of control will at all times be maintained.

Another important provision of the Bill is that, from 1 January 2011, landlords will have to supply their tax reference number to the HSE before rent supplement can be awarded to new claimants. Meanwhile, landlords of existing claimants will be requested to supply their tax reference number at the time of their next rent supplement review. The main objective is to ensure that landlords are tax compliant. Those who are paying their taxes have nothing to worry about.

Time constraints prevent me from listing all the other changes being introduced in this Bill. However, I welcome the clarifications being introduced on the calculation of claims. I also welcome the Minister's comments that he intends to introduce an amendment on Committee Stage which will provide for the introduction of a partial capacity scheme. Currently, the social welfare code categorises people with long-term illnesses or disabilities as either "fit for work" or "unfit for work". The introduction of greater flexibility in this area shows that the Department is determined to focus on capacity rather than incapacity, marking a "can do" approach.

At a time when our State finances are under huge pressure, I welcome the sensible measures in this Bill, which make the provision of welfare and employment services more cohesive.

I agree with Deputy Catherine Byrne's comments on the elderly and less well off sectors of our society at this particular time, given the severe weather conditions. I appeal to the Minister to do everything possible to protect the weakest in society. People in rural and urban areas should call on elderly neighbours to ensure they are all right during this severe cold snap. Their neighbours should ensure that elderly persons have the necessary items, including milk and water. As we all know, many pumps are frozen and water pipes have burst. Elderly people in rural areas could thus be left without any drinking water to make a cup of tea or cook the dinner. We should all ensure that such people are looked after.

I welcome the Minister of State, Deputy Brady, but I was hoping the Minister, Deputy Ó Cuív, would attend. I want to bring one issue to his attention. I cannot understand the case of a man applying for a non-contributory pension. He was in a small business all his life. He lost his wife, was in very bad health and was in and out of hospital for long periods. He sold his business to a family member. He divided the money he received from the sale of his business among all family members. Everything was done legally and his taxes were paid but because of the way he had divided it, he was denied an old age pension. The social welfare officers maintained that the way he had divided the money among six or seven family members was done in order to receive a pension.

This man was well into his 80s after having been in business and paid his taxes and done everything legally. He could have signed over the property to one member of his family. The property was worth a few hundred thousand euro, not millions. If he had done so, he would automatically qualify for a pension. He tried to help out all his children and because of this effort he was deprived of a pension. I have been in contact with the Department of Social Protection and I have written to the Minister because this matter should be examined. It is very unfair that a person who has done everything legally, paid his taxes and worked very hard is treated this way because he had no option other than to sell his business as a result of ill-health. I appeal to the Minister of State to bring it to the attention of the Minister. I welcome this Bill.

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