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2 Shevat 5765 - January 12, 2005 | Mordecai Plaut, director Published Weekly
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NEWS
Decrease in Eligibility for Guaranteed Income in 2004

By G. Kleiman

National Insurance Foundation Director Dr. Yigal Ben-Shalom revealed last week that the year 2004 brought a sharp 7 percent decline in eligibility for Guaranteed Income due to the stricter criteria legislated in 2003. The legislative changes and income assessments also led to changes in the profile of typical recipients: 64 percent of Guaranteed Income recipients in 2004 were defined as "job seekers," compared to just 37 percent in 2003.

According to National Insurance figures, 145,000 families were eligible for Guaranteed Income in January-August 2004, compared to 158,000 during the same period in 2003.

L. Achdut, Deputy Director of Research and Development at the National Insurance Foundation, explains the reduction in the number of families receiving Guaranteed Income stems from legislative changes that applied starting in January 2003. National Insurance officials say 5,000 families were denied Guaranteed Income and the rate of entry into the Guaranteed Income system was significantly diminished as a result of these changes.

The National Insurance figures also show an 18 percent drop between January and August of 2004 in the number of single- parent families eligible to receive Guaranteed Income allowances— from 51,200 in 2003 to 42,700 in 2004—due to a new requirement for parents of children over the age of two to report to the Employment Bureau. Previously parents of children up to age 11 were exempt from this requirement.

 

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