Work should pay more than welfare – Byrne
26th February 2015 - Fine Gael Press Office
Fine Gael Dublin South Central TD, Catherine Byrne, has welcomed the launch of the Government’s Low Pay Commission, saying that work should pay more than welfare.
“The Government has established the Low Pay Commission because it believes that work should pay more than welfare.
“We now have a strong record of job creation, with 90,000 extra people back at work since the launch of the Government’s Action Plan for Jobs. But as the Taoiseach pointed out at the launch of the Low Pay Commission today (Thursday), it is morally unacceptable that families where the head of the household is at work can still be classed as poor.
“One of the first things this Government did on being elected was to restore the cut to the minimum wage implemented by the last Government. Now the Low Pay Commission will look at pay levels and address the problem of the working poor, making annual recommendations to the Government about the appropriate level of the minimum wage.
“Crucially, the Commission’s work will not do anything to put existing jobs at risk. The Taoiseach has said he has asked Government to look at measures to mitigate the impact any changes could have on small employers.
“The bottom line is that no one working should be poor and crucially, it must be more attractive for people to be at work than to be dependent on social welfare payments. It is good to hear the CSO saying today that average earnings increased by 2.3% last year.
“It is not just about pay however. Aswell as restoring the minimum wage the Government also took 410,000 low paid people out of USC and is also lowering taxes on working people to ensure everyone starts to feel the benefit of the economic recovery.
“Another element of our strategy is to introduce targeted welfare supports for people returning to work, and particularly for the low-paid. From April, the Government will pay €30 a week to mothers or fathers returning to work from long-term unemployment for each child for the first year, and €15 per week per child for the second year. Furthermore, anyone trapped on rent supplement who feels they cannot return to the workplace for fear they would lose their housing support should now be on the new Housing Assistance Payment. This payment takes into account your income as opposed to your employment status, so there is no block to taking up employment.
“I wish the Chair of the Commission, Dr Donal de Butléir, and all of the Commission members all the very best in their new role.”
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