Jobseekers to receive up to €450 a week in welfare payments

Social Protection Minister Heather Humphreys is to introduce the laws, which would bring in Jobseeker’s Pay-Related Benefit, as part of efforts to bring Ireland in line with other EU countries. Picture: Julien Behal

New legislation that would provide jobseekers with up to €450 a week in welfare payments, or 60% of their previous salary, is to be introduced to the Dáil this week.

Social Protection Minister Heather Humphreys is to introduce the laws, which would bring in Jobseeker’s Pay-Related Benefit, as part of efforts to bring Ireland in line with other EU countries.

Ms Humphreys has previously said that this is to provide further benefits to individuals with a long work history who lose their jobs.

It will be made available to people who are unemployed and have previously made a “strong and recent attachment” to the labour market.

The system will have three rates of weekly payment:

• Anyone who has at least five years of PRSI contributions will receive 60% of their previous salary, to a maximum of €450 for three months;
• A second rate will then see payments fall to 55% of the persons previous earnings, or a maximum of €375 for a further three months;
• A third rate will be paid at 50%, up to a maximum of €300 for three months.

For individuals who have between two and five years of PRSI contributions, they will be able to receive 50% of their previous earnings, up to a €300 maximum, for six months.

People will then revert to standard jobseekers allowance after the enhanced payment periods elapse.

The social protection minister will say the new proposals are required to “cushion” the shock for a person who loses their job.

The changes are due to be brought in alongside the Government’s PRSI increases, which are expected to see employees pay an extra €46 a year from October.

The Government has said that these changes in PRSI are designed to provide for both the new jobseekers benefit scheme and to keep the pension age at 66.