Up to €450 weekly payments for long-term workers who lose jobs

A NEW pay-related benefit scheme will ensure that people with a strong work history receive a higher payment if they lose their jobs.

That’s according to Clare Fine Gael General Election candidate Leonora Carey who said that the scheme, which comes into effect on March 31 and incorporates three rates of payment, represents a landmark reform of the social protection system.

The top rate of up to €450, or 60 per cent of prior income, is for those who have made at least five years PRSI contributions and will be paid for the first three months. A second rate of up to €375, or 55 per cent of prior income, will be paid for the following three months, while a third rate of up to €300, or 50 per cent of prior income will apply for the final three months.

“The introduction of Pay-Related Benefit will bring Ireland in line with other EU countries and will benefit people who have a strong and recent attachment to the labour market”, Ms Carey explained.

“We have seen situations in the past where companies can close and workers face a sudden and large drop in their income. Pay-related benefit is all about providing workers with a greater safety net and cushioning them from a sudden ‘cliff-edge’ drop in income.

“At the moment, when a person who has worked hard for twenty years suddenly loses their job, they receive the same rate of unemployment payment as somebody who might never have worked.

“We need to reward the people who have worked hard; paid their dues; and contributed to the economy through their PRSI contributions. That’s what Pay-Related Benefit will achieve.
“The existing Jobseeker’s Benefit scheme is being retained for people who may not be eligible for the new scheme because they are working on a part-time, casual, short-time or seasonal basis,” Ms Carey added.