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More than four years\u2019 worth of welfare claims were processed in just five weeks after strict lockdown measures were introduced across the country.<\/p>\nMore than four years\u2019 worth of welfare claims were processed in just five weeks after strict lockdown measures were introduced across the country.<\/p>\n
The Department of Employment Affairs and Social Protection usually receive 200,000 jobseeker claims in a year, but staff processed more than 1.2 million claims in a few weeks.<\/p>\n
John McKeon, secretary general at the Department of Employment Affairs and Social Protection, outlined to the Oireachtas special committee on Covid-19 the level of claims and inquires made by the public.<\/p>\n
The committee, which is examining the Government\u2019s response to the pandemic, heard evidence about the fiscal impact of Covid-19 on the economy.<\/p>\n
Mr McKeon told the committee: \u201cIn a normal month, we receive about 100,000 claims across all of our schemes.<\/p>\n
\u201cSo far, in response to the Covid-19 crisis, the staff of the Department processed over 1.2 million claims from 730,000 people.<\/p>\n
\u201cIn the five-week period from 13 March alone, they dealt with over four years worth of claims and got them into payment quickly, on a new scheme \u2013 the Pandemic Unemployment Payment (PUP) \u2013 that was itself designed, developed and implemented in a matter of days.\u201d<\/p>\n
In March, the Government announced a series of welfare measures which were due to expire this month, however, they will be extended until August.<\/p>\n
Mr McKeon said how the payments, including the PUP, will change and develop over coming months depending on progress in suppressing the virus and restoring business activity.<\/p>\n
\u201cIt will also depend on the ability of the State to finance the extraordinarily high levels of expenditure being incurred,\u201d he added.<\/p>\n
\u201cThe Department is likely to exceed its original budget by some \u20ac10bn or more.<\/p>\n
\u201cThis increase alone is greater than the full estimate for all departments, with the exception of education and health.<\/p>\n
\u201cAt a likely out-turn of \u20ac30bn, the department will this year spend over \u20ac15,000 for each worker, or, put another way, for every euro that is forecast to be raised in income tax this year we will spend about \u20ac1.60 on social welfare.\u201d<\/p>\n
Robert Watt, secretary general at the Department of Public Expenditure and Reform, said the labour market has borne the brunt of the impact of Covid-19 in Ireland.<\/p>\n
He told the committee that at the beginning of the year, Ireland was in a position of \u201cfull employment\u201d.<\/p>\n
\u201cAt the end of May, the Covid-19 adjusted-monthly unemployment measure produced by the CSO (Central Statistics Office) showed the unemployment rate at 26%,\u201d Mr Watt added.<\/p>\n
\u201cIn these exceptional circumstances, the Government has taken significant steps to cushion, where possible, the impact on households and firms.<\/p>\n
\u201cThese supports seek to minimize the potential longer term effects of the crisis on our economy.\u201d<\/p>\n