Social Welfare Act, 1989

Pay-related social insurance contributions (increase in earnings ceiling).

8.—(1) Section 10 of the Principal Act is hereby amended—

(a) by the substitution in paragraph (b) of subsection (1) of “paragraphs (c), (cc) and (d)” for “paragraphs (c) and (d)”,

(b) by the substitution for paragraph (c) (inserted by section 6 of the Act of 1988) of subsection (1) of the following paragraphs:

“(c) Where in a particular contribution year an employed contributor’s reckonable earnings have amounted to the sum of £18,000 and contributions under paragraph (b) (ii) have been paid in respect of those reckonable earnings, no further such contribution shall be payable in respect of any reckonable earnings of that employed contributor by his employer in that contribution year.

(cc) Where in a particular contribution year an employed contributor’s reckonable earnings have amounted to the sum of £16,700 and contributions under paragraph (b) (i) have been paid in respect of those reckonable earnings, no further such contribution shall be payable in respect of any reckonable earnings of that employed contributor by the employed contributor in that contribution year.”,

(c) by the substitution in paragraph (a) of subsection (2) of “sums” for “sum” and “paragraphs (c) and (cc) of subsection (1)” for “subsection (1) (c)” and the said paragraph (a) as so amended is set out in the Table to this subsection, and

(d) by the substitution for paragraph (b) of subsection (2) of the following paragraph:

“(b) When making regulations under this subsection to vary the sum specified in subsection (1) (cc) the Minister shall take into account any changes in the average earnings of workers in the transportable goods industries so recorded by the Central Statistics Office since the date by reference to which the sum specified in subsection (1) (cc) was last determined.”.

TABLE

(a) The Minister may by regulations vary the sums specified in paragraphs (c) and (cc) of subsection (1) and such variation shall take effect from the beginning of the contribution year following that in which the regulations are made.

(2) Section 11 of the Principal Act is hereby amended by the substitution in paragraph (c) of subsection (1) of “section 10 (1) (cc)” for “section 10 (1) (c)”.

(3) Section 2 (1) of the Principal Act is hereby amended by the substitution in the definition of “qualifying contribution” (inserted by section 10 of the Act of 1988) of “section 10 (1) (c) or (cc)” for “section 10 (1) (c)”.

(4) This section shall come into operation on the 6th day of April, 1989.