46^th Report presented by the

GOVERNMENT OF IRELAND to the COUNCIL OF EUROPE

For the period from 1 July 2018 to 30 June 2019

in accordance with Article 74 of the European Code of Social Security

Ireland has accepted:

Part III               Sickness Benefit

Part IV               Unemployment Benefit

Part V                Old-Age Benefit

Part VII             Family Benefit

Part X                Survivor's Benefit                          

Introduction

This is Ireland’s 46th report in accordance with Article 74 of the European Code of Social Security (the Code) .   It covers the period 1 July 2018 to 30 June 2019.   

The first section of the report liststhe principal legislative amendmentsto Irish social security legislation during the reporting period.  

The next section which comprises the bulk of the report sets out the position with regard to each Part of the Code which Ireland has accepted (in addition to the parts which must be applied by every Contracting party, these are Parts III, IV, V, VII and X).    This includes any relevant changes to scheme rules and details of the numbers of people covered, the rates of payment and levels of expenditure[1].

The final part of the report includesthree appendices as follows :

·         Appendix I is the draft resolution on the on the application of the European Code of Social Security by Ireland (Period from 1 July 2017 to 30 June 2018) and Ireland’s responses to the questions raised therein.

·         Apppendix II explains the changes in methodology used in calculating the reference wage figure for 2015 and 2016 and provides the updates 2017 figure.

·         Appendix III sets out the recalculation of the reference wage data for 2015 and 2016 arising from the new methodology as explained at Appendx II.

Principal Changes in Irish Social Security Legislation

Changes to Primary Legislation 1 July 2018 to 30 June 2019

Social Welfare, Pensions and Civil Registration Act 2018 No. 37 of 2018

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Changes to Secondary Legislation 1 July 2018 to 30 June 2019

Social Welfare (Consolidated Claims, Payments and Control) (Amendment) (No. 4) (Assessment of Means) Regulations 2018 S.I. No. 306 of 2018

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Social Welfare (Consolidated Supplementary Welfare Allowance) (Amendment) (No. 3) (Assessment of Means) Regulations 2018 S.I. No. 307 of 2018

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Social Welfare (Consolidated Claims, Payments and Control) (Amendment) (No. 5) (Assessment of Means) Regulations 2018 S.I. No. 333 of 2018

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Social Welfare (Consolidated Supplementary Welfare Allowance) (Amendment) (No. 4) (Assessment of Means) Regulations 2018 S.I. No. 334 of 2018

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Social Welfare (Consolidated Claims, Payments and Control) (Amendment) (No. 6) (Prescribed Time) Regulations 2018 S.I. No. 375 of 2018

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Social Welfare (Consolidated Occupational Injuries) (Amendment) (No. 2) (Prescribed Time) Regulations 2018 S.I. No. 376 of 2018

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Social Welfare (Consolidated Claims, Payments and Control) (Amendment) (No. 7) (Assessment of Means) Regulations 2018 S.I. No. 389 of 2018

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Social Welfare (Consolidated Supplementary Welfare Allowance) (Amendment) (No. 5) (Assessment of Means) Regulations 2018 S.I. No. 390 of 2018

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Social Welfare (Temporary Provisions) Regulations 2018 S.I. No. 476 of 2018

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Social Welfare (Section 290A) (Agreement) Order 2018 S.I. No. 551 of 2018

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Social Welfare (Consolidated Claims, Payments and Control) (Amendment) (No. 10) (Assessment of Means) Regulations 2018  S.I. No. 649 of 2018

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Social Welfare (Consolidated Supplementary Welfare Allowance) (Amendment) (No.7) (Assessment of Means) Regulations 2018 S.I. No. 650 of 2018

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Social Welfare (Consolidated Claims, Payments and Control) (Amendment) (No. 9) (Subsidiary Employment) Regulations 2018  S.I. No. 651 of 2018

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Social Welfare (Consolidated Supplementary Welfare Allowance) (Amendment) (No. 6) (Assessment of Means) Regulations 2018 S.I. No. 652 of 2018

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Social Welfare (Consolidated Contributions and Insurability) (Amendment) (No. 2) Regulations 2018 S.I. No. 653 of 2018

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Social Welfare (Consolidated Claims, Payments and Control) (Amendment) (No. 8) (Assessment of Means) Regulations 2018 S.I. No. 654 of 2018

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Social Welfare, Pensions and Civil Registration Act 2018 (Commencement) Order 2018

S.I. No. 655 of 2018

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Social Welfare (Consolidated Claims, Payments and Control) (Amendment) (No. 1) (Domiciliary Care Allowance – Residence of Qualified Child) Regulations 2019

S.I. No. 11 of 2019

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Social Welfare (Consolidated Claims, Payments and Control) (Amendment) (No. 2) (State Pension (Contributory)) Regulations 2019 S.I. No. 40 of 2019

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Social Welfare (Consolidated Supplementary Welfare Allowance) (Amendment) (No. 1) (Earnings Disregard) Regulations 2019 S.I. No. 41 of 2019

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Social Welfare (Consolidated Claims, Payments and Control) (Amendment) (No. 3) (Earnings Disregard) Regulations 2019 S.I. No. 42 of 2019

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Public Service Pay and Pensions Act 2017 (Payments in respect of Certain Medical Certification and Reports under the Social Welfare Consolidation Act 2005) Regulations 2019 S.I. No. 73 of 2019

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Social Welfare (Rent Allowance) (Amendment) (No. 1) Regulations 2019 S.I. No. 101 of 2019

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Social Welfare (Consolidated Claims, Payments and Control) (Amendment) (No. 4) (Change in Rates) Regulations 2019 S.I. No. 102 of 2019

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Social Welfare (Consolidated Claims, Payments and Control) (Amendment) (No. 5) (Jobseeker’s Transitional Payment) Regulations 2019 S.I. No. 103 of 2019

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Social Welfare (Consolidated Occupational Injuries) (Amendment) (No. 1) Regulations 2019

S.I. No. 107 of 2019

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Social Welfare (Consolidated Supplementary Welfare Allowance) (Amendment) (No. 2) (Diet Supplement) Regulations 2019 S.I. No. 108 of 2019

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Social Welfare (Consolidated Claims, Payments and Control) (Amendment) (No. 6) (Working Family Payment) Regulations 2019 S.I. No. 109 of 2019

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Social Welfare, Pensions and Civil Registration Act 2018 (Commencement) Order 2019

S.I. No. 116 of 2019

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Social Welfare (Consolidated Claims, Payments and Control) (Amendment) (No. 7) (Assessment of Means) Regulations 2019 S.I. No. 130 of 2019

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Social Welfare (Consolidated Supplementary Welfare Allowance) (Amendment) (No. 3) (Assessment of Means) Regulations 2019 S.I. No. 131 of 2019

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Social Welfare (Consolidated Claims, Payments and Control) (Amendment) (No. 8) (Assessment of Means) Regulations 2019 S.I. No. 202 of 2019

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Social Welfare (Consolidated Supplementary Welfare Allowance) (Amendment) (No. 4) (Assessment of Means) Regulations 2019 S.I. No. 203 of 2019

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Social Welfare (Consolidated Claims, Control and Payment) (Amendment) (No. 9) (Days to be treated as days of Incapacity for Work) Regulations 2019 S.I. No. 241 of 2019

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Social Welfare (Consolidated Occupational Injuries) (Amendment) (No. 2) (Provisions as to Incapacity for Work) Regulations 2019 S.I. No. 242 of 2019

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Position with regard to those Parts of the Code Accepted by Ireland

Part II. Medical Care

This Part of the Code has not been accepted by Ireland.
Part III. Sickness Benefit

Article 15

Sub-paragraph (a) applies.

There are no changes to the classes of employees covered for Illness Benefit since the last report.

Table A8 of the Annual Statistical Report for 2017 for the Department of Employment Affairs and Social Protection details the numbers and classes of insured persons.[2]

https://www.welfare.ie/en/downloads/Annual_Statistics_Report_2017.pdf

Detailed explanations of the Classes can be accessed at: http://www.welfare.ie/en/downloads/SW19_17.pdf
Classes of employees who are covered for Illness Benefit:

·         Persons in Classes A, E, H and P– total 2,176,073

Classes of employees not covered for Illness Benefit:

·         Persons in classes B, C, D and J – total 105,579

(Class J includes an unknown number of employees who are over pension age)

Total number of employees = 2,281,652

Percentage insured for Illness Benefit in 2017 = 95%

The following Classes are not counted as employees:

·         Class K applies to Public Office holders, additional income of a self-employed person and other income such as rental, investment income, dividends and interest on deposits and savings;

·         Class S is for self-employed persons;

·         Class M applies to persons with no liability for a contribution;

·         Voluntary contributors are persons who have ceased employment but are contributing to maintain entitlements to long-term benefits such as pensions.

Article 16

An explaination for the changes made by the Irish Central Statistics Office (CSO) to the reference wage figures for 2015/2016 and the updated 2017 reference wage figure is provided in Appendix II.

Illness Benefit Rate

Since  25 March 2019 the maximum personal rate of Illness Benefit has been increased from  €198.00 to €203.00 per week. The maximum rate for a qualified adult has also increased from  €131.40 to €137.70 per week.The rate for a qualified child increased from €31.80 to €34.00 for a child aged under 12 years and to €37.00 for a child aged 12 years and over per week. 

The 2016 rate used in the comparison to the reference wage below includes the personal rate of €188.00, the rate for a qualified adultof €124.80 and the rate for a qualifiedchild of €29.80. The  2017 rate used in the comparison to the reference wage below includes the personal rate of €193.00, the rate for a qualified adult of  €128.10 and the rate for a qualified child of €29.80. The Child Benefit Rate for  2017 is €140 per month per child so the weekly amount for two children is €64.60.

Article 66 Title II

Reference wage / Illness Benefit (couple and 2 children)

*The family allowance for a beneficiary in this column includes Child Benefit only, although payment of the Working family Payment (where already in payment) would continue for the first 6 weeks of illness only.

Article 66 Title V

Reference wage (single person, male) /Maximum weekly rate of Illness Benefit (single person, male or female)

Full details of payment rates are published on the Department of Employment Affairs and Social Protection’s website:

http://www.welfare.ie/en/Pages/SW19_Post_2003.aspx

Article 17

There are no changes to the conditions for receipt of Illness Benefit since the last report.

 

Article 18

Duration of Payment

There are no changes to the duration of payment since the last report.

Part IV. Unemployment Benefit

Article 20

There have been no changes to the qualifying conditions since the last report.

Jobseeker's Benefit is a weekly payment to people who are out of work and covered by social insurance (PRSI).  The Jobseeker’s Benefit week is based on a 7 day week. Sunday is treated the same as any other day in the week; as a day of employment or unemployment as appropriate.

The contingency is satisfied by a person who has experienced a substantial loss of employment and as a result is fully unemployed, or fully unemployed for at least 4 days in any 7 consecutive days.  A person must also be under 66 years of age, capable of work, and be available for and genuinely seeking full-time employment.

Article 21

Sub-paragraph (a) applies.

There have been no changes to the classes of employees covered for Jobseeker’s Benefit since the last report. 

Table A8 of the Annual Report for 2017 of Statistical Information on Social Welfare Services details the numbers and classes of insured persons.[5] 

http://www.welfare.ie/en/downloads/Annual_Statistics_Report_2017.pdf

Classes of employees who are covered for Jobseeker’s Benefit:

• Persons in Classes A, H and P – total 2,175,899

Classes of employees not covered for Jobseeker’s Benefit:

·         Persons in classes B, C, D, E and J – total 105,753 (Class J includes an  unknown number of employees who are over pension age)

Total number of employees= 2,281,652

Percentage insured for Jobseeker’s Benefit in 2017 = 95%

The following Classes are not counted as employees:-

·         Class K applies to Public Office holders, additional income of a self-employed person and other income such as rental, investment income, dividends and interest on deposits and savings;

·         Class S is for self-employed persons;

·         Class M applies to persons with no liability for a contribution;

·         Voluntary contributors are persons who have ceased employment but are contributing to maintain entitlements to long-term benefits such as pensions.

Article 22

An explaination for the changes made by the Irish Central Statistics Office (CSO) to the reference wage figures for 2015/2016 and the updated 2017 reference wage figure is provided in Appendix II.

Rate of Benefit

Budget 2019 introduced changes to the rates of Jobseeker’s Benefit.   From 21 March 2019, the maximum personal rate of Jobseeker’s Benefit increased from €198.00 per week to €203.00 per week. The maximum rate of increase for a qualified adult increased from €131.40 per week to €134.70.  There was a general change to the rate for a qualified child and there are now two rates for a qualified child depending on age.  The rate for a qualified child under 12 is €34.00 per week while the rate for a qualified child 12 years and over is €37.00 per week.  The rate in Budget 2018 was €31.80 per week regardless of the age of the qualified child.

The 2017 rate used in the comparison to the reference wage below includes the personal rate of €193.00, the rate for a qualified adultof €128.10 and the rate for a qualifiedchild of €29.80. The Child Benefit Rate for 2017 is €140 per month per child so the weekly amount for two children is €64.60. These rates were increased in Budget 2018 and 2019.

Article 66 Title II

Reference Wage / Jobseeker’s Benefit (couple and 2 children)

*The family allowance for a beneficiary in this column includes Child Benefit only, although payment of the Working family Payment (where already in payment) would continue for the first 6 weeks of illness only.

Article 66 Title V

Reference Wage (single person) / Maximum weekly rate of Jobseeker’s Benefit (single person)

Full details of rates are published on the Department of Employment Affairs and Social Protection’s website:

http://www.welfare.ie/en/Pages/sw19.aspx

Article 23

Conditions for receipt of Jobseeker’s Benefit

There have been no changes to the conditions for receipt of Jobseeker’s Benefit since the last report.

Part V. Old Age Benefit

Article 26

There are no changes since the last report. 

Article 27

Sub-paragraph (a) applies.

There are no changes to the classes of employees covered or the percentage insured since the last report. 

Classes of employees covered for State Pension (Contributory)

·         Persons in Classes A, E and H– total 2,176,070

 

Classes of employees not covered for State Pension (Contributory)

• Persons in classes B, C, D, P and J – total 105,582

(Class J includes an unknown number of employees who are over pension age)

Total number of employees= 2,281,652

Percentage insured for State Pension (Contributory) in 2017 = 95%

The following Classes are not counted as employees:

·         Class K applies to Public Office holders, additional income of a self-employed person and other income such as rental, investment income, dividends and interest on deposits and savings;

·         Class S is for self-employed persons;

·         Class M applies to persons with no liability for a contribution;

·         Voluntary contributors are persons who have ceased employment but are contributing to maintain entitlements to long-term benefits such as pensions.

Article 28

An explaination for the changes made by the Irish Central Statistics Office (CSO) to the reference wage figures for 2015/2016 and the updated 2017 reference wage figure is provided in Appendix II.

Rate of Benefit

The 2016 rate used in the comparison to the reference wage below includes the maximum personal rate of State Pension (Contributory) €233.30 per week and the maximum rate of qualified adult allowance€209.00 per week. The 2017 rate used in the comparison to the reference wage below includes the personal rate of €238.30 and the qualified adult rate of €213.50 these were both increases in rates of payment from  Budget 2017.

In 2018 the maximum personal rate of State Pension (Contributory) was €243.30 per week and the maximum rate of qualified adult allowancewas €209.00 per week both of these increases in rates of payment were from Budget 2018.  Budget 2019 increased the contributory pension rate to €248.30 and and rate for a qualifiedadult to €222.50.  The living alone allowance continues to be €9.00 per week.

Article 66 Title III

Reference Wage / State Pension (Contributory)

(Couple – both aged between 66 and 80.  No family allowance payable)

Article 66 Title V

Reference Wage (single person) /

Maximum weekly rate of Pension (single person)

Full details of rates are published on the Department of Social Protection’s website:

http://www.welfare.ie/EN/Publications/sw19/Pages/sw19_intro.aspx

Article 65 Title VI

Comparison of Benefit Rates with Cost of Living and Average Wages

(a) http://www.cso.ie/en/releasesandpublications/er/cpi/consumerpriceindexfebruary2018/

(b) https://www.cso.ie/en/releasesandpublications/er/elcq/earningsandlabourcostsq42018finalq12019preliminaryestimates/

(c) Rates increased on 29 March 2019. Figures for Pension would be (Couple + two children (both children 12 years and over) €544.80, and with no children €470.80

(d) https://www.cso.ie/multiquicktables/quickTables.aspx?id=cpm02_cpa04_8

(e) https://www.cso.ie/en/releasesandpublications/er/elcq/earningsandlabourcostsq42018finalq12019preliminaryestimates/

Additional Benefits

Recipients of State Pension (Contributory) may also, depending on their circumstances, be eligible for secondary benefits such as the Living Alone Allowance (a €9 per week increase to their weekly payment), the Fuel Allowance (€22.50 per week for the duration of the fuel season – increased to 27 weeks in 2018) and the Household Benefits Package (€35 per month towards the claimant’s gas/electricity costs, and the free television licence worth €160 per annum).  There is an additional increase of €12.70 for people aged 66 and over living on certain offshore islands.  Recipients are eligible for the Free Travel Pass, which entitles the bearer to free travel on public transport and certain private services in Ireland.  Recipients are automatically paid an extra allowance of €10 per week when they reach 80 years of age. Where they do not own their own home and have rental costs, they may be entitled to Rent Supplement (the amount paid varies with the rent payable).

Article 29

Conditions for receipt of State Pension (Contributory)

There are no changes to the conditions for receipt of the State Pension (Contributory) since the last report. 

Part VI. Work Accident and Occupational Disease Benefit

This Part of the Code has not been accepted by Ireland.

Part VII. Family Benefit

Articles 40 to 41

There are no changes to report in respect of these Articles. 

Child Benefit is payable to the parents or guardians of children under 16 years of age, or under 18 years of age if the child is in full-time education, Youthreach training or has a disability.  Child Benefit is not paid in respect of 18 year olds.

Child Benefit is payable at one and a half times the appropriate monthly rate for twins, and at double the appropriate monthly rate for triplets or other multiple births, provided at least three of the children remain qualified.

Article 42

Child Benefit

The Child Benefit rate remains at €140 per month as set out in the following table.

One-Parent Family Payment (OFP)

One-Parent Family Payment (OFP) is a payment for men and women under 66 who are bringing children up without the support of a partner. To get this payment a person must meet certain conditions and must satisfy a means test.  The maximum age of the youngest child for receipt of One-Parent Family Payment is 7 years for all recipients, save the exemptions outlined below.

Exceptions:

• Where a person is in receipt of a Domiciliary Care Allowance (DCA) for any child in the family, One-Parent Family Payment may continue up to the more favourable of:

•         the 16^th birthday of the child in respect of whom DCA is in payment;

or

•         when the youngest child reaches the relevant qualifying age limit.

• Where a person is caring for an individual other than their own child and is in receipt of One-Parent Family Payment and a half-rate Carer’s Allowance payment, One-Parent Family Payment may continue up to the 16^th birthday of the youngest child once the recipient continues to qualify for OFP and Carer’s Allowance.

• A person who is recently bereaved (having been married, cohabiting or in a civil partnership) and is thus parenting alone can claim One-Parent Family Payment beyond the normal age limit for the youngest child of 7 years.  They can claim One-Parent Family Payment for up to two years from the date of death of the spouse/cohabitant/civil partner or until the youngest child reaches 18 years of age, whichever is earlier. This ensures that those recently bereaved with children approaching or over 7 years of age are supported.

• Lone parents who are in receipt of a Blind Pension can retain their entitlement to One-Parent Family Payment until their youngest child is 16 years of age subject to the conditions of the schemes.

Post One-Parent Family Payment Income Supports

When One-Parent Family Paymententitlement ends, a person may qualify for other income support payments including the following:

·      A person in employment of 19 hours or more per week (38 hours per fortnight), may apply for the Working Family Payment (WFP).  The Working Family Payment was formerly known as Family Income Supplement (FIS).  If already in receipt of WFP, the amount of this supplement may, in certain circumstances, be increased when One-Parent Family Payment ends.  WFP recipients are also entitled to the Back to Work Family Dividend (BTWFD). The BTWFD allows recipients to retain the increase for the qualified child portion of their former One-Parent Family Payment, which equals €34.00 per week per child aged under 12 and €37.00 per child per week aged 12 and over (maximum of four children per claim), for two years, with full payment of the qualified child increase in the first year and 50% entitlement  in the second year. 

·         Lone parents with a youngest child aged 7 to 13 years (inclusive) can transition to the Jobseeker’s Transitional Payment which was introduced in 2013.  This payment exempts such persons from having to be available for and genuinely seeking full-time work, thereby acknowledging that these parents are caring for young children.  They can work part-time, for example mornings only, if they wish and still receive a payment subject to means. They must continue to be a lone parent to receive this payment.  Qualifying for this payment provides access to a one-to-one meeting with an activation case officer and the associated work activation supports.  The BTWFD will allow recipients to retain the increase for their qualified child if they move off this scheme to employment or self-employment.  It is payable for two years, as above.

·         Lone parents whose youngest child is 14 or over can apply for either Jobseeker’s Benefit or Jobseeker’s Allowance.  They must be unemployed, capable of work, and genuinely seeking full-time work. Qualifying for this payment provides access to a wide range of additional work activation supports.  The BTWFD allows recipients to retain the increase for their qualified child if they move off this scheme to employment or self-employment and is payable for two years.

Enhanced Activation Supports

All lone parents on a Jobseeker’s Allowance or Jobseeker’s Transitional Payment gain enhanced access to activation supports.

Jobseeker’s Transitional Payment recipients receive a one-to-one meeting with a case officer who assists them to produce a personal development plan and guides them towards appropriate education, training and employment opportunities.  While the person is on the Jobseeker’s Transitional Payment, this support is available and is not limited to the 12 -  month engagement that applies for other jobseekers following their one-to-one meeting.  Through the Jobseeker’s Transitional Payment, lone parents with children aged between 7 and 13 years are provided with a very long transition period of seven years within which to engage with the Department of Employment Affairs and Social Protection Intreo service.^[10]  The aim of this broader support is to improve the individual’s employment prospects.

The Department of Employment Affairs and Social ProtectionIntreo service operates a range of employment support services that are designed to encourage and assist income support recipients of working age, including lone parents, to return to work.  These services are provided through a network of locally based case officers who work with recipients to help identify appropriate training or development programmes that will enhance their skills. They work in close co-operation with other agencies and service providers including SOLAS (the Further Education and Training Authority in Ireland), the local education and training boards, other education and training providers, and the local community and voluntary sector.

Former One-Parent Family Payment recipients on a Jobseeker’s Allowance payment i.e. those with a youngest child 14 years of age or older, are subject to the standard activation process which includes a group engagement with a case officer followed by appropriate supports. 

Budget 2019 measures relevant to One-Parent Family Payment

• An increase in the income disregard for parents in receipt of the One-Parent Family Payment and the Jobseeker’s Transitional Payment from €130 a week to €150 a week with effect from 25 March 2019;

• A €5 increase in the rate of the One-Parent Family Payment, Jobseeker’s Transitional Payment, Job seekers Allowance and the Back to Education Allowance with effect from 25 March 2019;

• A Christmas Bonus of 100% was paid in early December 2018;
• The National Minimum Wage was increased to €9. an hour from January 2018.

• The qualified child payment, which is paid each week to families with children, increased from €31.80 to €34.00 per child per week for children under 12, and €37.00 per child per week for children aged 12 and over. 

Working Family Payment Rates

The 2018 and 2019 weekly income thresholds for receipt of Working Family Payment are set out in the following table.  

The rate of Working Family Payment payable is 60% of the net family income (gross pay minus tax, employee PRSI, superannuation, and Universal Social Charge) and the income limit that applies to the family circumstances. The minimum weekly Working Family Payment, payable to those who would otherwise qualify for a lesser rate, is €20.00.

Article 43

There are no changes to report under this Article.

Article 44

Child Supports 2017

The following statistics relate to the range of child supports provided by the Department of Employment Affairs and Social Protection in 2017:

Total amount of Child Benefit paid:                                                              €2,086 million

Total amount of Working Family Payment paid:                                              €414 million

Back to School Clothing and Footwear expenditure:                                         €48 million       

Total amount of above:                                                                                   €2,548 million[11]

Total number of children of all residents within qualifying age range:                  1,197,866

The reference wage^[12] for 2017 is €727.00 per week or €37,949.40 per annum.

Total expenditure of €2,548 million is approximately 5.6% of €37,949.40 x 1,197,866 (total number of children of all residents within the qualifying age range).
Article 45

Suspension of Benefit

There is no change to report in respect of this Article.

                                          

Part VIII. Maternity Benefit

This Part of the Code  has not been accepted by Ireland.

Part IX. Invalidity Benefit

This Part of the Code has not been accepted by Ireland.

Part X. Survivor’s Benefit

Article 60

There is no change to report in respect of this Article.

Article 61

Sub-paragraph (b) applies.

Table A8 of the Annual Statistical Report for 2017 for the Department of Employment Affairs and Social Protection details the numbers and classes of insured persons.^[13]

https://www.welfare.ie/en/downloads/Annual_Statistics_Report_2017.pdf

Classes of employees and self-employed who are covered for Widow's/Widower's, or Surviving Civil Partner’s (Contributory) Pension

Persons in Classes A, B, C, D, E, H^[14], S and Voluntary Contributions – total 2,512,908

Estimate of total population in 2017: 4,792,500

Estimate of persons in all classes: 2,988,540

Percentage insured for Widow's/Widower's, or Surviving Civil Partner’s (Contributory) Pension= 84%[15]

Article 62

Rates of Payment

In 2019 the maximum weekly personal rate for Widow’s/Widower’s, or Surviving Civil Partner’s (Contributory) Pension aged under 66 increased by €5 to €208.50. The maximum weekly personal rate for recipients aged 66 and under 80 increased by €5 to €248.30 which increases to €258.30 where the beneficiary is aged over 80. The rate for a qualified child under age 12 increased to €34.00 and for a child aged over 12 to €37.00 weekly.

The 2016 rate used in the comparison to the reference wage below includes the personal rate of €193.5 and the qualified child rate of €29.80.

The 2017 rate used in the comparison to the reference wage below includes the personal rate of €198.50 (if under 66)and the qualified child rate of €29.80. The rate for Over 66 & Under 80  is €238.30

 Duration of Payment

The pension remains payable while the person remains widowed or a surviving civil partner. If they re-marry or start to cohabit i.e. live with someone as a couple, it is no longer payable. A person may get increases for qualified children with their pension - these remain payable while the child is aged under 18 and they may then be continued until age 22 if the child is in full-time education.

Article 66 Title IV

Weekly rate of Widow’s, Widower’s or Surviving Civil Partner (Contributory) Pension / Reference Wage (widow under 66 years of age and 2 children)

*The family allowance for a beneficiary in this column includes Child Benefit only, although payment of the Working family Payment (where already in payment) would continue for the first 6 weeks of illness only.

Article 66 Title V

Reference wage / Weekly rate of Widow’s, Widower’s or Surviving Civil Partner (Contributory) Pension (single person, male or female)

Full details of rates are published on the Department of Social Protection’s website:

http://www.welfare.ie/EN/Publications/sw19/Pages/sw19_intro.aspx

Article 65 Title VI

Comparison of Benefit Rates with Cost of Living and Average Wages

Year	CPI (base 2011 =100) (a)	Average earnings €	Old Age Pension (couple + 2 children) €	Old Age Benefit (couple with no children) €
February 2018	101.80(a)	742.19(b)	511.40	451.80
February 2019	102.4(d)	769.98(e)	524.90(c)	461.30 (c)
Percentage change	+.6	+3.7	+2.6	+2.1

(a) http://www.cso.ie/en/releasesandpublications/er/cpi/consumerpriceindexfebruary2018/

(b) https://www.cso.ie/en/releasesandpublications/er/elcq/earningsandlabourcostsq42018finalq12019preliminaryestimates/

(c) Rates increased on 29 March 2019. Figures for Pension would be (Couple + two children (both children 12 years and over) €544.80, and with no children €470.80

(d) https://www.cso.ie/multiquicktables/quickTables.aspx?id=cpm02_cpa04_8

(e) https://www.cso.ie/en/releasesandpublications/er/elcq/earningsandlabourcostsq42018finalq12019preliminaryestimates/

 

 Article 63

Social InsuranceContributions (PRSI)

There are no changes to the contribution conditions since the 45th report. 

Parts XII – XIII. Equality and Common Provisions

Article 68

Provisions for the suspension of benefits are set out in the individual Parts of the Report.

Article 69

There are no changes since the last report

Article 70

The following gives expenditure for 2017 on each of the schemes dealt with in this report.

Scheme	Expenditure for 2016 €000**	Expenditure for 2017 €000
Illness Benefit	597,460	599,369
Jobseeker’s Benefit	355,806	340,458
State Pension (Contributory)	4, 662,224	4,915,853
Child Benefit*	2, 078,111	2,086,390
Widow's, Widower's or Surviving Civil Partner's (Contributory) Pension	1, 437,022	1,466,597
TOTAL	9,130,623	9,408,667

*Family Benefits are funded by the Exchequer and not from the Social Insurance Fund.

**The updated figures for 2016 are from the Department of Employment Affairs and Social Protection’s Annual Statistics Report for 2016.                                                                                                           

Total expenditure on all social welfare schemes in 2017 amounted to €19,942,391 million, of which €10,857,267 million was met from taxation and €9,085,124 million from the Social Insurance Fund.

 Article 71

There are no changes since the last report.

Article 73

There are no changes since the last report The relevant legislation does not contain any distinctions on the grounds of nationality for beneficiaries. 

Responses to the matters raised in the draft Resolution of the Committee of Ministers

Responses to the matters raised in the draft Resolution of the Committee of Ministers on the 45^th Annual Report submitted by the Government of Ireland are in Appendix I.

Appendix I

Draft Resolution on the on the application of the European Code of Social Security by Ireland (Period from 1 July 2017 to 30 June 2018) and Ireland’s responses

DRAFT

Resolution CM/ResCSS(2019)…on the application of the European Code of Social Security by Ireland (Period from 1 July 2017 to 30 June 2018)

(Adopted by the Committee of Ministers on …. 2019 at the …th meeting of the Ministers’ Deputies)

The Committee of Ministers,

In the exercise of the functions conferred upon it by Article 75 of the European Code of Social Security (hereinafter referred to as the “Code”), and with a view to supervising the application of this instrument by the Contracting Parties;

Whereas the Code, opened for signature on 16 April 1964, entered into force on 17 March 1968 and since 17 February 1972 has been binding on Ireland, which ratified it on 16 February 1971;

Whereas, when ratifying the Code, the Government of Ireland stated that it accepted, in addition to the parts which must be applied by every Contracting Party (Parts I, XI, XII, XIII and XIV), the following parts of the Code:

– Part III on “sickness benefit”,

– Part IV on “unemployment benefit”,

– Part V on “old-age benefit”,

– Part VII on “family benefit”,

– Part X on “survivors’ benefit”;

Whereas, in pursuance of paragraph 1 of Article 74 of the Code, the Government of Ireland submitted its 45th annual report on the application of the Code, for the period from 1 July 2017 to 30 June 2018;

Whereas, in accordance with paragraph 4 of Article 74, that report was examined by the ILO Committee of Experts on the Application of Conventions and Recommendations, at its 89th meeting in November and December 2018;

Whereas, when Contracting Parties are invited to submit annual reports under the Code and its Protocol, if the country has ratified one or more of ILO Convention N°s 102, 121, 128 or 130, copies of the relevant reports may be used in order to report on the Code provided that, where necessary, they are completed by any other information requested in the form;

Whereas, at the 133th meeting of the Governmental Committee of the European Social Charter and the European Code of Social Security (9-13 May 2016), the ILO representative presented the ILO’s approach to assisting governments in fulfilling their reporting obligations by bringing together information on social security provisions in national reports under the Code and relevant ILO treaties, including the above-mentioned ILO Conventions, into one “consolidated report” to be updated by the government, with a view to ensuring consistency;

 

Recalls that the ILO Conclusions on application of the Code and its Protocol for the period 1 July 2017 to 30 June 2018 were transmitted to the government representatives of Contracting Parties in view of discussion and adoption of the draft resolutions on application of the Code and its Protocol at the 139th meeting of the Governmental Committee, 13-17 May 2019;

Recalls that information which the Government is requested to provide in its next report (due by 31 July 2019) for the period 1 July 2018 to 30 June 2019, will be examined by the ILO Committee of Experts at its next meeting in November/December 2019;

Notes:

I.          concerning Part III (Sickness benefit), Article 18 of the Code, Waiting period, the Committee of Ministers recalls that to meet the requirement of Article 18 of the Code, the number of waiting days for illness benefit should be reduced from six days, introduced in 2014 under the EU–IMF fiscal consolidation programme, to three days which existed previously. The 45th report states in this respect that, while it is not yet possible for the Government to reduce the length of waiting days for illness benefit due to the limitations in public spending, 75 per cent of the employers members of the Irish Business and Employers’ Confederation have an occupational sick pay scheme in place, which provides sick pay during the waiting days;

II.        concerning Part III (Sickness benefit), Article 17, and Part IV (Unemployment benefit), Article 23 of the Code, Length of the qualifying period, the Government states that despite the positive economic environment, the Irish government debt built up during the recession period remains elevated and the Irish Central Bank has cautioned on prudence in relation to public spending. Notwithstanding these financial constraints, the Committee of Ministers notes according to the information submitted by the Government that efforts are made to increase the level of benefits provided under the social welfare system. On this point, the Committee of Ministers observes that in 2017, total social welfare expenditure increased up to €19.9 billion in comparison to €19.8 billion in 2016 as indicated in the Annual Statistical Report 2017. The Committee of Ministers also notes the Government’s statement to continue the dialogue with the ILO Committee of Experts to address the issue of qualifying periods in the context of the Irish social welfare system. The Committee of Ministers notes that according to the consolidated report, if a person has at least 260 weeks of pay related social insurance (PRSI) contributions paid, jobseeker’s benefit is payable for nine months (234 payment days) and illness benefit for two years (624 payment days). If a person has between 104 and 259 weeks of paid PRSI contributions, jobseeker’s benefit is payable for six months (156 payment days) and illness benefit for one year (312 payment days). The Committee of Ministers observes that, following the above logic of linking the duration of benefit to the minimum qualifying period of PRSI contributions, if a person who has between 52 and 104 weeks of paid PRSI contributions, would be entitled to three months (13 calendar weeks) of jobseeker’s benefit and six months (26 calendar weeks) of sickness benefit. In this case, the requirements of the Code guaranteeing access to the minimum duration of benefit by completing the minimum qualifying period could be satisfied. The Committee of Ministers, as indicated below, invites the Government to examine the feasibility of introducing such parametric modifications into the national social welfare scheme or other modifications which would ensure conformity with the Code. The Committee of Ministers reminds the Government of the possibility of availing itself of the technical assistance of the ILO in this respect;

III.       concerning Part XIII (Miscellaneous provisions), Article 74(1) of the Code, Reporting on the Code, the Committee of Ministers thanks the Government for reviewing and updating the consolidated report and supplying the necessary explanations to a number of technical questions which greatly facilitated the understanding of the particularities of the Irish social welfare system. The Committee of Ministers notes that there are questions which require clarification in the consolidated report which have not yet been responded to by the Government;

Finds that law and practice in Ireland continue to give full effect to Parts V, VII and X of the Code, and that they also ensure the application of Parts III and IV, subject to the revision of the length of the qualifying period for entitlement to sickness and unemployment benefits;

Decides to invite the Government of Ireland:

I.          concerning Part III (Sickness benefit), Article 18 of the Code, Waiting period, to ensure that the above-mentioned sick pay arrangements cover not less than 50 per cent of all employees, in accordance with Article 15(a) of the Code;        

Ireland’s response:

Although many employers provide occupational sick pay arrangements, this is not a legislative requirement in Ireland and accurate data on the number of employees covered by such arrangements is not available at this time.  Ireland has previously indicated that over 75% of employers, who are represented by Irish Business and Employers Confederation, have an occupational sick pay scheme in place which provides sick pay during the waiting days.  But this figure does not represent a national figure for Ireland and it is therefore difficult to extrapolate an overall figure.  

As outlined in Ireland’s response to question II, Ireland welcomes the offer of technical assistance by the ILO.  During this exchange of views the issue of waiting days could be discussed to establish how the requirements of Article 15(a) of the Code might be met.

It should be noted that people are not left without financial support during waiting days, Ireland wishes it to be noted that where a sick pay scheme is not in place and persons have an income need they may have recourse to the State’s Supplementary Welfare Allowance  to cover the period until the sickness benefit becomes available. The Supplementary Welfare Allowance scheme is the safety net within the overall social welfare system, in that it provides assistance to eligible people in the State whose means are insufficient to meet their needs and those of their dependants.  The main purpose of the scheme is to provide immediate and flexible assistance for those in need who do not qualify for payment under other state schemes.

II.        concerning Part III (Sickness benefit), Article 17, and Part IV (Unemployment benefit), Article 23 of the Code, Length of the qualifying period, to examine in its next report the feasibility of introducing the above-mentioned parametric modifications into the national social welfare scheme or other modifications which would ensure conformity with Articles 17 and 23 of the Code while preserving the financial sustainability of the national social welfare scheme;

Ireland’s response:

Despite the positive economic direction in which Ireland has moved in recent years, Irish national debt, arising from the recent economic downturn remains significant and prudence in relation to public spending is required.

The benefits as described are made to insured people who are unemployed or who are unable to work due to illness.  The payment is funded by the social insurance fund (SIF) in Ireland through the payment of PRSI contributions by workers and employers and, in the event of a shortfall between contributions received and benefits paid, the Exchequer (Government).  The fund is central to Ireland’s system of social protection and the Government needs to ensure that it can provide adequate and sustainable social insurance pensions and benefits for a growing and ageing population.

The Irish Government has recently announced the introduction of a new PRSI contribution based support for the self-employed, who are unemployed, which will become available towards the end of 2019.  

It is to be noted that overall spending on social welfare has increased from €19.8 billion in 2016 to (Circa) €20.3  billion in 2018.

It is difficult to envisage how the modifications, as outlined, would be sustainable in current circumstances and in any event could only be considered in a budgetary context and in the context of overall improvements.  However, Ireland will examine the proposal while taking into account the challenges in the broader macro-economic environment and the need for sustainability and prudence with regard to Ireland’s social insurance fund and public spending in general.

While it is not possible to commit to changing scheme rules for the reasons set out above, Ireland greatly appreciates the ILO’s offer of technical assistance.   Ireland will certainly avail of this offer and looks forward to working with the ILO and the COE in this regard.

III.       concerning Part XIII (Miscellaneous provisions), Article 74(1) of the Code,  Reporting on the Code, to providein its next report the above-mentioned clarifications .

Ireland’s response:

The Irish Government notes the thanks from the Committee of Ministers for submission of its consolidated report and will provide in its next consolidated report the requested clarification.

Appendix II

Reference wage data for years 2015, 2016 and 2017

Below is an explaination for the changes made by the Irish Central Statistics Office (CSO) to the reference wage figures for 2015/2016 and the updated 2017 reference wage figure.

Fig. 1

Analysis of reference wage for males in NACE Code Classification Index sector C in firms with at least 10 employees in the skilled and unskilled occupation categories.

For the 46th report, the CSO has applied a similar methodology to that used to produce the Earnings Analysis using Administrative Data Sources (EAADS) 2011-2014, to create a Structure of Earnings database for 2015, 2016 and 2017 from which the reference wage for those years has been calculated.

In the 45^th report, due to the absence of a structure of earnings data source, or similar dataset, that would allow Ireland to calculate a reference wage using the same methodology as that used for the 2014 figure, the previous estimates provided for 2015 and 2016 were calculated by applying the year on year percentage change in earnings, based on data from the Earnings, Hours and Employment Costs survey (EHECS) (known as Labour Cost Index (LCI) internationally). In this the 46^th Report, the same specifications used in the calculation of the reference wage for 2014 have been applied to the new data source for 2015, 2016 and 2017. In response to the committees concerns over sources and consistency of statistical data, with respect to statistical comparison between national and Eurostat indicators, the Department of Employment Affairs and Social Protection (DEASP) has continued to work with the Irish Central Statistics Office (CSO) with regard to aligning the reference wage used with the comparable figures provided to Eurostat. 

The specifications for 2015, 2016 and 2017are based on the methodology used in 2014 which is as follows:

• The 2014 reference wage figures were based on an analysis, by the CSO, of the data sent to Eurostat to meet our 4 yearly requirements for Structure of Earnings Statistics. This data was a weighted sample (roughly 60k employments) of a larger dataset (roughly 700k employments) which was created as part of a Structure of Earnings Administrative data project.  
• For Male Unskilled Workers the Reference Wage was calculated with reference to Male workers, in Elementary Occupations (ISCO 9), in the Manufacturing Economic Sector (NACE C), in companies with 10 or more employees. (i.e. Wage of Unskilled Male Worker in Manufacturing).

• For Male Skilled Workers the Reference Wage was calculated with reference to Male workers, in Craft and Related Trade Workers Occupations (ISCO 7), in the Manufacturing Economic Sector (NACE C), in companies with 10 or more employees, (i.e. Wage of Skilled Male Worker in Manufacturing).

The exact specifications were:

	Skilled	Unskilled
Sex	Male	Male
GEO	Ireland	Ireland
Structure of Earnings Indicator	Monthly earnings	Monthly earnings
Calssification of economic activities – NACE rev 2	C Manufacturing	C Manufacturing
Curency	Euro	Euro
Period of Time	2014	2014
Size Classes in number of employees	10 employees or more	10 employees or more
International Standard Classification of Occupations 2008 (ISCO-08)	Craft and related trades workers	Elementary occupations

For the 46th report, CSO has applied a similar methodology to that used to produce the EAADS 2011-2014, to create a Structure of Earnings database for 2015, 2016 and 2017 from

which the reference wage for those years has been calculated.
The primary data sources and variables used to construct the Employment Register are:

The occupation variable which is crucial to the calculation of the reference wage has been obtained by matching the Employment register to data from Census 2016.

Appendix III

Recalculation of the Reference wage data for years 2015 and  2016

Reference WageTemplate for 2015 and 2016

	2015*	2015	2016*	2016	% decrease for 2015	% decrease for 2016
Unskilled	3,143	2,996	3,217	3,058	5%	5%
Skilled	3,568	3,274	3,653	3,381	9%	8%

Recalculation for 2015

Using the figures provided in the template above, the 2015 figure for the unskilled male worker has been recalculated to €2,996 per month/€691 per week.

Recalculation for 2016

Using the figures provided in the template above, the 2016 figure for the unskilled male worker has been recalculated to €3,058 per month/€706 per week.

In light of this revised reference wage for 2015 and 2016, the following tables relating to Parts III, IV, V and X have been amended.

Part III - Illness Benefit / Reference Wage (Couple with 2 Children)
Period	Wage	Allowance	Total	Benefit	Allowance	Total	%
2015	691	62.31	753.31	372.40	62.31	434.71	58
2016	706.00	64.60	770.60	372.40	64.60	437.00	57

Part V - State Pension (Contributory)/Reference Wage-Couple both aged between 66 and 80 - No family Allowance
Period	Wage	Benefit	%
2015	691	436.60	63
2016	706	442.30	62

Part X - Widow's/Widower's or Surviving Civil Partner's (Contributory) Pension - person under 66 of age plus 2 Children/ Reference Wage
	Wage	Allowance	Total	Benefit	Allowance	Total	%
2015	691	62.31	753.31	253.10	62.31	315.41	42
2016	706.00	64.60	770.60	253.10	64.60	317.70	41

ENDS