Social Welfare Schemes
Seanad Éireann — 2025-11-12
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Teresa Costello (FF), Agricultural Panel

I thank the Minister of State for attending today. I raise this matter because I have encountered its real-life impact. The issue concerns the application process timeframe for the partial capacity benefit. This scheme allows people to return to work if they have reduced capacity while continuing to receive support from the Department of Social Protection. The Department sets out that people must apply for partial capacity benefit before they start work, or within 21 days of starting work. This creates a scenario that can affect a person who returns to work after illness with the intention of resuming full-time work, only to find out that they do not have the capacity to do so. By this time, the 21-day window has elapsed and they are unable to access partial capacity benefit, despite being unable to work full-time. They are left working reduced hours with a lower income and without that additional support.
Because the partial capacity benefit payment is lower than full illness benefit or invalidity pension, and because income may also be lower, the individual faces a double hit of reduced hours and missing benefit support. A submission by the Citizens Information Board in 2015 described cases where people were worse off returning to work through the partial capacity benefit scheme than they would be remaining on the social welfare payment.
The rigid timeframe and the risk of losing other payments before they even know their capacity means people may delay returning to work, may continue claiming benefits when they might wish to work, or may accept reduced hours without any support. This is a poor outcome for individuals, employers and the economy. I ask the Minister of State to engage with the Department to undertake a review of the partial capacity benefit application timeframe and process. First, the application deadline should be extended to recognise that an individual's capacity to work may change after they return to work, rather than solely before. Second, a transitional window should be introduced to allow applications after the person realises their reduced capacity and moves to reduced hours without penalty for missing that initial 21-day window. Third, information and guidance should be improved in order to ensure people returning to work are aware of their partial capacity benefit rights, of the deadlines and of the implications for earnings and benefits. Social protection schemes must be responsive to real-life trajectories of illness, recovery and returning to work. The current partial capacity benefit application timeframe places unnecessary risk and undermines the very objective of the scheme, which is to support people who can work some hours but not full time.

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Record URI: https://data.oireachtas.ie/akn/ie/debateRecord/seanad/2025-11-12/debate/main
Retrieved: 2026-08-14T04:54:18+00:00
Sitting date: 2025-11-12