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by HRHQ Editorial Team
The Minister for Social Protection, Heather Humphreys TD, has announced Cabinet Approval for the establishment of a new Pay-Related Jobseeker’s Benefit System in Ireland.
This represents a fundamental reform of the social welfare system and will ensure that people with long work histories will receive enhanced benefits if they lose their employment.
The introduction of Pay-Related Benefit will bring Ireland in line with other EU countries.
Under the system approved by Cabinet, there will be three rates of payment as follows:
- A top rate of a maximum of €450, or 60 per cent of your prior income, for people who have made at least five years PRSI contributions. The €450 rate will be paid for the first three months.
- A second rate of a maximum of €375, or 55 per cent of your prior income. This will be paid for the following three months.
- A third rate of a maximum of €300, or 50 per cent of your prior income for the final three months.
If a person is still unemployed after the nine month period, they can apply for the basic Jobseeker’s Allowance.
Announcing details of the new Pay-Related Benefit, Minister Humphreys said:
“I’m delighted to have secured Cabinet approval for a new Pay-Related Benefit System in Ireland.
“Under these major reforms, people who have a long work history and who have contributed to the system via their PRSI will receive enhance benefits if they find themselves in that awful situation of losing their job.
“This new system represents an enhanced safety net for workers and will help to soften the cliff-edge drop in income that can be faced when a person suddenly loses their job.
“The introduction of Pay-Related Benefit will bring Ireland in line with the vast majority of European countries that already operate similar systems.
“After securing Cabinet approval, I have now asked my officials to draft the necessary legislation that will see Pay-Related Benefit introduced in the second half of 2024.”
The Minister also announced a series of major social welfare reforms, as well as measures that will support pensioners, carers, people with disabilities and low-income families.
