Download Models of Social Policy

Session III - SW23A
Theoretical Framework/ Models
of Social Policy
1
Objectives
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Explain at models of Social Policy
Comparing welfare states internationally and
Regionally
Analyse the sorts of social policy systems that
exist in the Caribbean and
Conclude the best model for the nations of the
Region.
2
The Welfare State


The idea of the "welfare state" means different
things in different countries.
An ideal model. The "welfare state" usually
refers to an ideal model of provision, where
the state accepts responsibility for the
provision of comprehensive and universal
welfare for its citizens.
3
The Welfare State


State welfare. Some commentators use it to
mean "welfare provided by the state". This is the
main use in the USA.
Social protection. In many "welfare states",
notably those in Western Europe and
Scandinavia, social protection is not delivered
only by the state, but by a combination of
government, independent, voluntary, and
autonomous public services. These countries are
usually thought of as "welfare states".
4
Comparing Welfare States Mitchell

Comparison of policy, comparing the explicit
terms in which actions are taken. Flora and
Heidenheimer
review
the
historical
development of welfare in Europe and
America. They find that welfare in different
countries often develops on similar lines.
5
Comparing Welfare States Mitchell


Comparison of inputs. Inputs are the resources
which go into welfare provision. For example,
Wilensky's work on welfare spending shows that
the main determinants are the age of the system
and the structure of the population.
Comparing production. Different states operate
different kinds of rules and structures. EspingAndersen uses evidence on the organisation and
delivery of specific services to define positions
adopted by different welfare states.
6
Comparing Welfare States Mitchell

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Comparing operations. This is done by
considering the detailed operation of benefits and
services - what they do, how they are paid for,
and who runs them.
Comparing outcomes. The case can be made that
what matters about welfare is not what is
intended, nor what the process is, but whether or
not people benefit from it.
7
The United Kingdom: The
Welfare State
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Asa Briggs, in a classic essay on the British
welfare state, identified three principal
elements. These were:
a guarantee of minimum standards, including a
minimum income;
social protection in the event of insecurity; and
the provision of services at the best level
possible.
8
The United Kingdom: The
Welfare State


‘Institutional' model of welfare: the key
elements are social protection, and the provision
of welfare services on the basis of right.
In practice, social welfare in the United
Kingdom is very different from this ideal.
Coverage is extensive, but benefits and services
are delivered at a low level. The social
protection provided is patchy, and services are
tightly rationed.
9
Germany: The Social Market
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The post-war German settlement was based on
the idea of a 'social state', sometimes rendered
as a 'social market economy'.
The first, central principle was that economic
development was the best way to achieve
social welfare.
The structure of social services had to reflect
this priority.
10
Germany: The Social Market
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The principle is represented most clearly in the
close relationship of services to people's position
in the labour market.
Social benefits are earnings-related, and those
without work records may find they are not
covered for important contingencies.
Less clear, but probably even more important, is
the general concern to ensure that public
expenditure on welfare is directly compatible
with the need for economic development and
11
growth.
Germany: The Social Market
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Second, the German economy, and the welfare
system, developed through a corporatist structure.
This principle was developed by Bismarck on the
basis of existing mutual aid associations, and
remained the basis for social protection
subsequently.
Social insurance, which covers the costs of health,
some social care and much of the income
maintenance system, is managed by a system of
independent funds.
12
Germany: The Social Market
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Third, there is a strong emphasis on the principle
of "subsidiarity".
This principle is taken in Germany to mean both
that services should be decentralised or
independently managed, and that the level of state
intervention should be residual - that is, limited to
circumstances which are not adequately covered
in other ways.
Higher earners are not covered by the main social
insurance system, but are left to make their own
13
arrangements.
France: Solidarity and insertion

Social protection in France is based on the
principle of solidarity: the commitment is
declared in the first article of the French Code of
Social Security.
14
France: Solidarity and insertion
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The principle is used to refer to co-operative
mutual support.
Some writers apply the term in relation to
'mutualist' groups (friendly societies) and
emphasise that people insured within national
schemes are called to contribute and benefit on an
equal footing.
Others stress that relationships of solidarity are
based in interdependence. Solidarity is usually
understood, in this context, in terms of common
15
action, mutual responsibility and shared risks.
France: Solidarity and insertion
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The pursuit of 'national solidarity' was undertaken
in the first place by attempting to extend the scope
of existing solidarities, most notably through the
creation of a 'régime général' for health and social
security, and subsequently through its progressive
expansion.
Since the 1970s this pattern of solidarities has
been supplemented by additional measures
designed to bring 'excluded' people into the net.
16
France: Solidarity and insertion
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The most important of these measures is the
Revenu Minimum d'Insertion (RMI), introduced in
1988, which combines a basic benefit with a
personal contract for 'insertion' or social inclusion.
In recent years there has been a greater emphasis
on "active solidarity", which puts more stress on
the individual responsibility of unemployed
people.
17
France: Solidarity and insertion
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
This kind of arrangement is relatively expensive,
and much of the focus of social policy in recent
years has fallen on the control of expenditure.
The main areas of concern are not dependency or
unemployment, but pensions, because of the
special privileges accorded to particular
occupational groups, and spending on health care,
where the stress on independent, market-led
services presents considerable problems in cost
control.
18
The United States: A 'liberal' regime
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The United States is sometimes described as a
‘liberal' welfare regime, in the sense that it
represents individualism, laissez-faire, residualism
and a punitive view of poverty.
These issues dominate US debates on welfare:
examples are the introduction of 'workfare', the
exclusion of long-term benefit dependents, and
the criticism of the 'underclass'.
19
The United States: A 'liberal' regime
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The US does not have a unified welfare system.
Federalism has meant that many important
functions are held by the various States, including
public assistance, social care and various health
schemes.
20
The United States: A 'liberal' regime

By comparison with other developed countries,
central government has had a limited role in social
welfare provision: the main developments of federal
provision were during the Roosevelt administration
of the 1930s, which laid the foundations for the
social security system, and the "War on Poverty" of
the 1960s, which provided some important benefits
(notably health care for people on low incomes) and
engaged the federal government in a wide variety of
projects and activities at local level.
21
The United States: A 'liberal' regime
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The US is pluralistic, rather than liberal.
There are significant departures from the residual
model - e.g. state schooling, social insurance, or
services for military personnel, veterans and their
families, which provide for more than 60 million
people.
22
The United States: A 'liberal' regime
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In addition to federal and state activity, there are
extensive private, mutualist and corporate interests
in welfare provision.
The resulting systems are complex (and expensive):
the guiding principle is less one of consistent
individualism than what Klass has called
"decentralised social altruism".
Diversity and complexity come at a price, and
despite - or perhaps because of - political hostility to
welfare provision, the US system is also unusually
23
expensive.
The United States: A 'liberal' regime
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See Obamacare case study.
24
Theoretical Framework

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A collection of interrelated concepts like a
theory.
Guides research, determining what will be
measured and what relationships sought.
25
Theoretical Frameworks
Theoretical Frameworks (Hall & Midgely 2004, 24)
1. Representational Theory – simplifies complex
social policy phenomena to promote a better
understanding of different approaches to Social Policy
2. Explanatory or Analytical Theory – seeks to
explain the nature of social policy and the
rationale for policy decisions. Examines role of
industrialisation, capitalism, social protests etc.
26
Theoretical Frameworks
3. Normative Theory – provides a value framework
for social policy which identifies the values,
ideologies and political objectives which underlie
social policy approaches.
Midgely identified three ideologies which influence
three different approaches to SP
Collectivism – Statist approach –
-Institutional-welfarist approach
Individualism – Enterprise approach
Populism
- Community /Empowerment
Development approach
27

Representational Theory
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Willensky and Lebeaux (1965) – earliest model, called the
Residual-Institutional model had two categories. This was
modified by Titmuss who created a three-pronged model in
1974.
1. Residual Welfare Model of Social Policy
2. Industrial Achievement-Performance
3. Institutional Redistributive

Residual and Institutional Redistributive models are at
extreme ends of spectrum

Usually a blend of models is used
Ideology of the political party in power, and fiscal constraints largely
determine which model is applied
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28
Residual Model
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Social policy provisions begin only when
private market and family fail to meet
individual’s needs

The basis for this model is the English Poor
Laws - see Spicker (2008), G. Cumper (1987)
which was punitive

Concerned with providing for very needy/
poverty oriented model (selectivity) – “those
who can pay, should pay”
29
Residual Model
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Marginal role for social welfare

In JA, examples are cost-sharing introduced in
the mid 80s in social services like health and
education and the Programme for Advancement
through Health and Education –PATH

The Residual model sees welfare as being a
temporary safety net.
30
Residual Model
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Welfare intervention is meant to be temporary,
to help persons while they “get back on the feet”

In Jamaica a Steps to Work programme has been
introduced to provide skills training to
beneficiaries to reduce the time spent on PATH.
Beneficiaries are re-assessed and some removed.

In the US, welfare beneficiaries are expected to
find work within a specified time period.
PATH
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Targeting of the poor is utilised – Ministry of
Labour and Social Security.

Under PATH Means testing is used to determine
eligibility for assistance, i.e. poverty status.
Applicants must complete a detailed form at the
PATH office. Data entered into PATH
Beneficiary Identification System (BIS) and a
score is generated.

PATH is funded by GOJ and a World Bank Loan. Visit
www.mlss.gov.jm for more details
32
PATH
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The score determines the applicant’s
qualification for benefits. A home visit
is then done to confirm the applicant’s
status before payments begin.
Conditional Transfers

Beneficiaries
must
fulfill
obligations to receive benefits
certain
PATH

Children on PATH must have 85% school
attendance (should not be absent for more
than 3 days per month) and must fulfill a
schedule of health centre visits.

Adults also have to attend their health centre
at specified periods.

This approach aims to increase the human
capital of the poor and break the
intergenerational transmission of poverty.
PATH
PATH Beneficiaries
 Children: from birth to completion of secondary
education; a post-secondary training grant of $15,000 just
introduced
 Elderly: 60 years or over, and not in receipt of a pension
 Persons with Disabilities
 Pregnant and Lactating Women
 Poor Adults 18-59 years

Trinidad has a similar programme called their
Conditional Cash Transfer Programme (CCTP)
uses a swipe card
PATH

PATH monthly cash transfers for children paid every
other month (1 June 2010)
Grade
Boys
Girls
1 to 6
$825.00
$750.00
7 to 9
$1,075.00
$975.00
10 to13
$1,265.00
$1,150.00
Children 0 to 6 years receive $750.00 per month. All
other beneficiaries receive $900.00 per month.

For secondary school children GOJ may pay the
auxillary fees if parents apply to PATH for assistance,
but this help is not automatic.
PATH

Between December 2002 and August 2008, the
value of the PATH grants was standardized for
all categories of beneficiaries.

In December 2008, the system of differentiated
benefits was introduced for children receiving
Education Grants, to encourage school
attendance and school retention at the
secondary level.
PATH
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Children who do not meet the attendance
requirements will be deemed non-compliant
and the PATH benefit will be withdrawn.

A base benefit of $400.00 per month was
introduced in June 2010 to assist noncompliant beneficiaries.

The remainder of the benefit is paid upon
achievement of the required compliance
conditionalities.
38
PATH
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Children who go to school receive nutritional
support.

PATH sends money to school for lunch for
PATH beneficiaries but money only covers
lunch for 2-3 days per week
39
PATH
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Cabinet gave approval in March 2011 for
4,000 children in government-run pre-primary
institutions to be added to PATH’s Nutritional
Support Project.
Twenty eight point eight million dollars was
allocated for the programme in the 2011/2012
budget.
40
PATH
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Post Secondary School Grant
In October 2009, PATH introduced a grant of
$15,000 to assist PATH students who are
transitioning from a secondary to a postsecondary institution.
This is a one-time grant which is provided to
assist PATH students who have graduated
from a secondary school and who are moving
on to post secondary training.
41
PATH
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JLP vowed to revise PATH to include postsecondary level students during the last
election campaign.
The PM (Andrew Holness) felt that persons
are most vulnerable to making bad decisions
between the ages of 16 and 20, but there is no
social welfare programme for those in this age
group.
42
Industrial Achievement-Performance Model

Historically the IAP model operated in state-controlled
economies such as former Socialist countries, but it also
operates in capitalist states of Germany, France and
Asian Tigers and other countries worldwide.

Social policy provisions are tied closely to economy
(handmaiden model) and production goals.
The 'handmaiden' model, sees welfare as an essential
complement to industrial development: social policy
helps the economy to grow by serving the workforce,
providing services to industry and offering a secure basis
for development.
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43
Industrial Achievement-Performance Model
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Based on Keynesian economics that sees
spending on welfare as a useful economic
regulator, helping to balance the economy in
periods of recession.
However, Atkinson (1995) shows that although
developed countries generally spend more on
welfare than less developed countries, developed
countries with higher welfare spending do not
generally do better or worse than developed
countries which spend less.
44
Industrial Achievement-Performance Model

Merit and performance guide provision of social security
payments like public pensions, social insurance. E.g. in Ja
include National Insurance Scheme (NIS) NI Gold Health
Insurance for pensioners, National Housing Trust.
 Pension and housing benefits depend on level of contribution

On 15 February 2012 Min. of Health Dr. Fenton Ferguson said
that free health care will go. “Those who can pay should be
required to pay. Those who cannot afford to pay, the State has
an inescapable obligation to cover the cost associated with that
care… GOJ card does not indicate whether patients have used
their cards before in Sav-la-mar…”
45
Industrial-Achievement Performance model

Other forms of income maintenance, e.g.
unemployment benefits, invalidity and disability
benefits are provided in the model

Education and Healthcare provided for all, e.g.
Cuba, Barbados, to build human capital.

Social policy is an important partner to the
economy. Aim is to develop human capital,
ensure unity, solidarity and commitment of
workers.
46
Institutional Redistributive Model

(Welfare State)
This model developed after World War II to
facilitate rebuilding lives, supporting growth and
full employment. British welfare state introduced
in 1948.

Premised on notion that citizens of a country have
a basic right to welfare (Marshall).

Social welfare institutions are integrated and
institutionalized parts of society
47
Institutional Redistributive Model

The Institutional model sees need and states of
dependency e.g. infancy, childhood and old
age, as normal aspects of social life.

This approach is based on acceptance of
mutual social responsibility for these needs
and the general provision for all. (Spicker,
2008).
48
Institutional Redistributive Model


(Welfare State)
Provides universalistic services outside of the
market and is based on individual needs.
Scandanavian countries have the best
states today.
welfare
49
Sweden: The InstitutionalRedistributive model
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Titmuss'
'institutional-redistributive'
model
combines the principles of comprehensive social
provision with egalitarianism.
This is an "ideal type", rather than a description of
reality.
Social protection is not necessarily associated
with equality; the French and German systems
offer differential protection according to one's
position in the labour market.
50
Sweden: The InstitutionalRedistributive model
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The Swedish model can be seen as an ideal form
of 'welfare state', offering institutional care in the
sense that it offers universal minima to its
citizens.
It goes further than the British model in its
commitment to social equality. Sweden has the
highest level of spending on social protection in
the OECD, and the lowest proportion of income
left to independent households - less than half its
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national income.
Sweden: The InstitutionalRedistributive model
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
The Swedish system, looked at in greater detail,
has many of the same characteristics: Ringen
describes the system as "selective by occupational
experience".
However, the importance of equality - sometimes
identified with 'solidarity', in the sense of
organised co-operation - is considerable.
52
Sweden: The InstitutionalRedistributive model

The model of this is the 'solidaristic wage policy'
advocated by the labour movement, which
emphasised
improving
standards,
limited
differentials, and redistribution.
53
Institutional Redistributive Model
(Welfare State)

In Jamaica, examples of this type include:
 free primary education,
 free tuition at secondary level, (not free education)
 free healthcare in public facilities,
 Jamaica Drugs for the Elderly and the National Health
Fund subsidies on prescriptions
 School textbook programmes
54
Institutional Redistributive Model
(Welfare State)


Central government to limit itself to the making of
general policy, and the laying down of general rules, for
the government cannot know the intricacies of individual
merits and factors within a situation.
Weaknesses of welfare provision:
· individual initiatives are sapped
· Freidman - expenditures have increased markedly,
with ‘better off’ being favoured; political expediency
drives the welfare state, and therefore voucher
system would be of benefit, especially to poor
55
Institutional Redistributive Model
(Welfare State)

Public tends to support the welfare state while opposing
state intervention in the economy
Thus:
· privatisation to be encouraged (IMF)
· spending as a proportion of GDP to be reduced
(IMF)
· there should be a return to real family values
· there should be a reduction in taxation
56
Institutional Redistributive Model
(Welfare State)

Ideological factors: welfare cuts - likely to gain approval
if:
· presented in the context of approval of nonintervenionist state rather than attack on social
provision
· cuts more likely to be favoured if focussed on
unfavoured groups
· community care more marketable if presented as
rolling back of state rather than imposition on middle
aged women (bulk of care-givers)
57
Institutional Redistributive Model
(Welfare State)

Long term goals:
· remove state monopoly on welfare provision
· transform state from provider to regulator
· facilitate state provision only for those who ‘need’
it
· ensure changes introduced are unassailable
· supply side must be expanded to include many
suppliers, and ownership must be to private
provision.
58
Gosta Esping-Andersen’s Model of
Welfare (1990)
Updated Titmuss’ model


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1. Liberal – similar to Residual model
2.
Conservative-Corporatist – similar to
Industrial Achievement-Performance model
3. Social democratic – similar to Institutional
Redistributive model
4. Mediterranean model
59
Gosta Esping-Andersen’s Model of
Welfare (1990)

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Thinking point - students to review the three
models and look at the Mediterranean model.
Note critiques
60
Liberal Regime – US, Canada
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Modest public welfare spending
Private social services on the free market and
occupational welfare encouraged
Heavy reliance on family, church and charities
Minimizes decommodification (degree to which
individuals or households can enjoy an
acceptable standard of living independently of
engaging in the market)
Welfare payments to poor are means-tested,
conditional transfers
61
Conservative-Corporatist
Regime – Germany, France

Heavy reliance on social security provisions
e.g. pensions, health insurance.

Also involves a social contract between the
state, labour and private sector to control
wages and prices.

Church, family, voluntary organisations also
involved in social service provisions
62
Social Democratic Regime
– Scandinavian countries

High level of state social protection for all

Sweden arguably the highest level of state
provision

The “Swedish Model”, is intended to secure a fair,
socially acceptable distribution of income and wealth
and the eradication and absence of poverty without
jeopardizing economic efficiency and growth in the
long run. (Gylfason et al, 1997: 13 cited in Tepe,
2005)
63
Social Democratic Regime
– Scandinavian countries

Secured gender equality in the labour market

Pension reform repealed the income test and
pension payments became universal, flat-rate
and state-financed - men and women had
equality in retirement pensions (Tepe, 2005)
64
Mediterranean Regime
– Italy, Greece, Spain

The family’s role in the provision of social
welfare is important.
65
Political/Ideological Influences



Left-leaning – includes collectivists like the
Social Democrats, Socialists, and Marxists
These groups tend to favour institutional welfare
systems
Right leaning- includes Christian Democrats,
Conservatives, Neo-liberals
- they
are
individualist and tend to favour


residual welfare.
Privatized or market provision of social services
66
Political/Ideological background

Political centre- believes in the “social
market”, e.g. Germany

Negative effects of free market should be
moderated by strategic state intervention in the
economy and the use of strong social protection
systems. These use the IAP and also the Social
Democratic model.
67
Residual Model
Strengths


Low Cost
Reduces burden on state
Weaknesses
 Stigmatization
 Access – limited advertising of benefits, those
in need may not be aware of programmes
68
Residual Model

Selectivity requires expensive administrative
process

Leakage

Safety nets can lead to a poverty trap, as a rise
in income usually leads to a loss of welfare
benefits
69
Industrial-Achievement performance
Model
Strengths


Incentivizes work
Protects against contingencies like disability
and unemployment
Weaknesses
 Neglects those outside the labour market
 Pensions and insurance usually dependent on
position in the labour market - lower paid
workers may be marginalised.
70
Institutional Model
Strengths


Strong Protection for all
High investment in human capital
Weaknesses
 Expensive, requires high taxes
 May reinforce the status quo, may not achieve
equity
 Public health and education provisions are
often rigid and may not address specialised
71
needs