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Dáil
‹ Ceisteanna—Questions. Oral Answers. - Social Insurance Contributions.

£1 reduction in social insurance stamp

Summary

The Minister said the promised £1 weekly reduction for workers earning under £50 is separate from the move to a fully pay-related contribution and will be handled independently. He assured Dr. O’Connell it would not be lost, while attributing public confusion to a statement by the Opposition leader.

asked the Minister for Social Welfare whether his proposals for a pay-related system of social insurance contributions would result in £1 being taken off the charge on workers earning under £50 per week.

Comment on this

The commitment in the Government's pre-election manifesto to reduce the flat-rate social welfare stamp by £1 weekly for all workers on wage rates of less than £50 weekly is a separate matter from the Government's decision in principle to replace the present system of flat-rate and pay-related social insurance contributions by a single new pay-related contribution, and will be dealt with independently of the arrangements being made to introduce a fully pay-related contribution.

Comment on this

Did I hear the Minister say that the question of the £1 off the social welfare stamp is a separate matter?

Comment on this

Yes. The Deputy need not worry that it will be lost in any other situation.

Comment on this

No, I am not suggesting that, but there was confusion in the public mind that it was related to the new scheme that the Minister was suggesting.

Comment on this

I think that confusion was largely caused by an injudicious statement made by the Deputy's party leader.

Comment on this