Dáil debates

Wednesday, 2 November 2011

8:00 pm

Photo of John BrowneJohn Browne (Wexford, Fianna Fail)

I welcome the motion which gives us an opportunity to address social welfare issues in general. Like previous speakers, I hope Fine Gael and the Labour Party, who promised so much prior to the election, will deliver on their promises and that there will not be in the forthcoming budget cuts in social welfare payments or tax increases for people currently living barely above the breadline.

Given some of the recent speeches of the Minister for Finance there is concern that the forthcoming budget will introduce cuts in social welfare for pensioners, people on disability allowances and other social welfare recipients. As has been said, the social welfare budget increased from €6.7 billion in 2000 to €20.9 billion in 2010. Pension levies increased by 130%, unemployment benefits increased by 130% and child payments increased by 330%, which is as it should be. Given the ready availability of money during the boom times it was important the less well off in our society were protected. At that time, unemployment was 4.4% and 2 million people were in employment. The latter figure has now reduced to 1.7 to 1.8 million people working. Each week, 1.4 million people receive a social welfare payment, with 2.1 million people benefiting from weekly payments. A huge amount of money is being paid out but people are deserving of this money. It is important this continues into the future.

The four year plan introduced in November aimed to achieve savings in social welfare expenditure through a combination of control measures, labour activation, structural reforms, further reductions in rates, as necessary, and in a fall in the liver register. However, it is important to note that the fall in the liver register has not occurred and that the figure in respect of unemployment, as of September 2011, is 14.3%, which is a considerable increase on the 13.9% figure when this Government took office. Despite the Government's introduction of the jobs and other initiatives the number of people working has not increased. The Minister might, when replying, comment on that issue.

I would like to raise a number of issues with the Minister. There is much talk on radio and reference in media reports to tackling fraud. While it is important fraud is tackled, it is also important that people on social welfare are not labelled criminals. Much of this talk would lead people to believe that the only people engaged in fraud are social welfare recipients. The percentage of fraud in this country is minuscule. While it is right to stamp this out we must ensure we do not go over board. In this regard, huge numbers of people in receipt of disability allowance and invalidity pension are having their allowances withdrawn. These are seriously ill people. We have all been visited at our clinics by disabled people and by people with serious problems whose allowances are being withdrawn, causing consternation and severe hardship.

Most people appeal these decisions. I have attended social welfare appeals with many constituents. Generally, following a nine or 12 month wait for an appeal, the independent appeals officer restores a disability allowance or invalidity pension. I do not know what type of medical personnel are undertaking these assessments but some of the decisions to withdraw invalidity pension or disability allowances are not in the best interests of the client. The Minister should take a serious look at this area. The long delays and the waste of the time of appeals officers in having to travel to places such as Wexford to engage with seriously ill people in respect of having their payment restored is not good enough. The issue needs to be examined by the Department.

Many long term unemployed people are seeking places on what are currently termed "activation schemes". In my earlier days in politics these were known as FÁS and CE schemes. There is demand for places on such schemes. However, a person who has been in receipt of social welfare during the previous year may only take up a place on the scheme for one year. This needs to be re-examined. People want to remain on these schemes rather than return to claiming unemployment benefit. They want to contribute to their communities, be it the GAA or soccer club, tidy towns or so on. It is a waste of talent and manpower to have such people return to claiming social welfare benefit, the amount of which is often akin to what they would get while on the scheme. It is ridiculous that these people are being returned to the unemployment register when they could remain on these schemes.

When in office, former Minister for Social Protection, Deputy Ó Cuív, announced he had employed extra appeals officers. However, it can still take up to nine months before an appeal is heard. Perhaps the Minister will when replying will tell us how many extra appeals officers are now in the system and why it is taking nine months to a year for appeals to be heard, which is the case in my constituency. It should be possible to speed up this system.

Another issue of concern, as highlighted by Deputy Cowen, is self employed people, many of whom, through no fault of their own, lost their business and income, in particular in the construction sector. These people are being put through the ringer when they go to claim supplementary or job seeker's allowances. Most times, they are refused, following which there is a cumbersome appeals system. In fairness, it should be easier for these people, who have worked all their lives and have never claimed social welfare payments, to get help when they need it. After all, they have contributed to the State and should not be abandoned by it, as is currently the case. It is not good enough.

My final point relates to part-time workers who take up short term work for, say, two or three months or, seasonal work. People in receipt of jobseeker's allowance will not take up short term opportunities owing to difficulties in the system in terms of reclaiming jobseeker's allowance. I believe anyone engaged in part time work for a minimum of three or six months, be it in strawberry picking, as is common in my constituency, should be automatically returned to jobseeker's allowance when that work finishes. They should not have to make a claim, have it refused and then engage in the appeals system. These issues need to be addressed. While I accept the need to combat fraud, the genuine person should not be penalised. There should be in place an easier system which allows people who take up part time work to reclaim jobseeker's allowance when that work finishes.

There are other issues I could raise, including the free fuel and back-to-education allowances. Perhaps the Minister will, when replying, tell us the number of people awaiting payment of the back-to-education allowance. Many people in my constituency have still not received their allowance. I am aware the Minister has done her best to speed up the process and that the problem is one of increased numbers of claimants. However, people are dependant on the allowance, the processing of which should be speeded up further.

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