Over the weekend, the Tánaiste was reported discussing the future of social welfare, and social welfare reform in particular. He mentioned that the cessation of the pandemic unemployment payment, whenever that happens, will provide the opportunity for reform of social welfare. Rather than highlighting the fact that the current social welfare rates are set below the poverty line and perhaps taking the opportunity to bring them in line with the minimum essential standard of living, there seemed to be a suggestion that PRSI contributions will be a determining factor in paying a higher earner who loses his or her job a higher social welfare payment. Is that the priority of this Government? How would it be paid for? I highlight that the situation here is often contrasted with the German model, whereby a German employer pays employer social insurance contributions at 20.5% of all gross earnings. In Ireland, the rate is currently set at 8.8% for earnings up to €398 and at 11.5% for earnings over €398. Should we be thinking about moving social contributions here to be in line with those in Germany if we are going to follow that model?

It is certainly not a Government priority but it is an option, one that I think is worthy of consideration. It is the norm, or at least commonplace, across advanced European welfare systems to have pay-related benefits such that if a person who has been paying PRSI into the system for many years loses his or her job, that person gets a higher payment, at least in the initial weeks and months of unemployment, which helps the person to adjust to a sudden loss in income. It is very commonplace in Nordic welfare systems. The Deputy referred to the German welfare system. It is something that is worthy of consideration here as well. Such a system used to exist in Ireland. We had pay-related benefits previously but they were phased out as part of necessary reductions in spending. If it can be afforded from the Social Insurance Fund, then I think it is worthy of consideration. I do not think it is the only welfare reform that is worthy of consideration; of course, there are others that merit consideration too.