2026-02-26

14. Deputy Emer Currie asked the Minister for Social Protection for an update on the programme for Government commitment to introduce pay-related parents benefit and explore other payments where a similar model could be applied. [15142/26]

I am seeking an update on the commitment to introduce pay-related parent's benefit and potentially others. I am doing so because Government policies are not joined-up enough when it comes to new parents whose babies are in their first year of life. These parents can find themselves in a catch 22 situation where they either want to stay at home but cannot afford to do so or want to go back to work and cannot source childcare for babies under 12 months of age. The large majority of OECD countries are using earnings-related payments. We seem to be an outlier. We can do more to support parents of children who are in their first year from the point of view of both child development and family well-being.

The programme for Government contains a commitment to introduce pay-related parent's benefit and explore other payments where a similar model could be applied. Parent's benefit provides nine weeks paid leave to each parent during the first two years of a child’s life or following adoption. This leave can be taken in blocks of a minimum of one week up to a maximum of nine weeks. A pay-related model that moves away from flat rates of payment would provide a stronger financial cushion to new parents, as the Deputy has said, while reflecting the contributory and solidarity principles of the social insurance system. A pay-related model was introduced on 31 March 2025 for jobseeker’s benefit. My Department will draw on the learnings and operational experience from that to inform options for parent's benefit and other family leave schemes. In that context, I intend to issue a public consultation document on a pay-related approach to parents' benefit this autumn. That will help to inform decisions about other family and related benefits. I will invite the views of the public, employers, members of the House and stakeholders to support the process and to assist in the development of future proposals in this area. I look forward to working with the Deputy in that consultation and subsequent follow-on.

That is really encouraging, particularly as we in Ireland are above average when it comes to the length of time we can spend at home with our new babies on foot of maternity and parent's benefit. As stated, we are below average when it comes to the financial supports to do so. As the Minister indicated, pay-related jobseeker's benefit is working very well and is a model that could be applied in this instance. I cannot emphasise enough how important the first year of a baby's life is for both the baby and the parents. As a mother, it changes you - your body, your brain formation and your identity. There is a term for it, "matrescence", and it does not get the attention it deserves. We are still behind the curve when it comes to family leave. In most countries, maternity benefit replaces at least half of a person's wages but that does not happen here.

The Deputy has definitely outlined a very strong and fair case. That is why we have the programme for Government commitment and why I will be launching the consultation on this in autumn. We are certainly an outlier among EU member states in paying a flat rate for all family leave benefits. That needs to be looked at. However, we provide one of the most generous durations of maternity leave in terms of 26 paid weeks and 16 unpaid weeks. On the figures, the weekly rate has gone from €245 in 2019 to €299 in 2026. In 2023, there were 76,935 recipients of parent's benefit. In 2025, there were 93,671. This is definitely something we will engage on in the context of the consultation. We have a lot of work to do. We absolutely know that. I want to learn from the first year of operation of jobseeker's pay-related benefit and apply some of the lessons in that regard in order to inform how we design the consultation process in such a way that it will be both good and engaging.

I am really looking forward to engaging in the public consultation. The figures are important. According to the OECD, payments are lowest in Ireland and the UK, where less than one third of gross average earnings are replaced by maternity benefit. Countries such as Lithuania, Austria, France and Germany have benefits based on past incomes. We have a high percentage of maternity leave employer top-ups. In 2021, the most recent year in respect of which I could obtain figures, about 70% of women received a top-up. However, that leaves one third of women relying on maternity benefit. I do not think it is a coincidence that one third of women are not availing of their nine weeks of parental leave. We also have a major issue when it comes to fathers. About 55% of men are taking paternity leave and it drops to 25% when it comes to parental leave. Families are missing out. Ireland can do more here. if you look at countries such as Finland, they have extended leave coupled with lower rates so there is a trade-off. In Ireland, we get above average in terms of time but we are not getting the financial supports. It is really impacting parents with babies who are in their first year in the context of the choices they can make.

I am in full agreement with the Deputy. She has made a very strong case. That is why we will start that consultation and begin work on addressing all of the issues she correctly outlined. They all stand up, and we have an awful lot of work to do in this space. That is why we have that commitment to introduce pay-related benefit for parents, which would address many of the challenges the Deputy highlighted as well