Dáil Éireann Debate, Thursday - 18 December 2025
539. Deputy Malcolm Byrne asked the Minister for Social Protection the measures in place to ensure that it remains more financially rewarding for someone to take up full time employment rather than to remain on jobseeker’s allowance, with all the additional benefits (such as medical card, entitlement to HAP, and so on); how that is monitored within his Department and Government; and if he will make a statement on the matter. [73351/25]
View answerRecent ESRI research found that Ireland had among the third lowest share of in-work poor in the EU. Moreover, it found that, in Ireland, owing to the progressive tax-benefit system, there are comparatively a very low proportion of individuals at-risk of poverty, who remained at-risk of poverty after increasing their working hours. This suggests that in Ireland, more than in other countries, increasing work hours does help reduce in work poverty, owing to the alignment of work incentives and supports.
Arrangements are in place to incentivise and encourage people in receipt of the Jobseeker’s Allowance scheme to take up work or to engage in training and development programmes to prepare for work. There is a statutory requirement to engage in activation supports in order to retain the payment. A Jobseeker can use the benefit of work estimator on MyWelfare.ie to assess the benefits of taking up employment. Some of the key supports are set out in the following paragraphs.
A person can work up to three days per week and continue to receive a partial jobseeker’s payment. Under Jobseeker's Allowance, the first €20 of earnings per day is disregarded up to a maximum of €60 for three days worked, with the balance assessed at 60%. This ensures that these part-time workers benefit from an increase in their weekly income.
Under the Back to Work Family Dividend scheme, long term jobseekers taking up full-time employment retain the Child Support element of their social welfare payment for two-years. This supports families transition from social welfare into employment. The first year is paid at the full rate and the second year is paid at 50%.
The Working Family Payment is a weekly, tax-free payment available to employees with children. It gives extra financial support to families with children with rates of payment depending on their incomes and family size.
Officials in my Department are currently exploring a range of potential models for a new Working Age Payment and it is intended to publish a proposal for consultation in the coming months. The Programme for Government commits that any new Working Age Payment will ensure that individuals will always see an increase in income when they work or take on additional hours.
In addition, I have been advised that a person who has been on a jobseeker's payment for 12 consecutive months or longer and returns to employment may retain their Medical Card for up to three years.
I trust that this clarifies the position for the Deputy.
