Low dole 'not an incentive to work'

Unemployment benefits can be raised without removing the incentive for people to return to work, according to a new study.

The ESRI report found that the amount of money paid in unemployment benefit has no bearing on whether those out of work actually look for work.

Richard Layte, of the ERSI, says other countries use unemployment benefits to maintain the living standards of the unemployed while they look for jobs.

He says the Irish policy of low benefit rates to discourage people from staying out of the workforce for long periods does not work.