Parliament has approved legislation to change the formula and some parameters for the existing Jobseeker’s Benefit, resulting in a higher benefit for most individuals, and to implement a slight increase in employer and employee social security contributions. Social security, referred to as Pay-Related Social Insurance (PRSI), covers all workers between the ages of 16 and 70 and is funded by employer and employee pay-related contributions.
The changes to the Jobseeker’s Benefit are expected to take effect in December this year; individuals who lose their job before the implementation date will remain entitled to the existing Jobseeker’s Benefit. The state currently provides only a flat-rate (and low) weekly unemployment benefit. Even the statutory redundancy amount (up to €600 a week) payable for collective dismissals has remained the same for many years. With this change, the unemployment benefit will provide something close to prior earnings, for lower-paid workers at least.
Among those companies surveyed by WTW that provide severance in excess of statutory requirements, the median number of weeks of salary paid per year of service to employees leaving the organization involuntarily is four weeks for all levels of staff.