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International
Labour
Office
Social protection and the Decent Work Agenda
“All human beings, irrespective of race, creed, or sex, have the
right to pursue both their material wellbeing and their spiritual
development in conditions of freedom and dignity, of economic
security, and of equal opportunity” - Declaration of Philadelphia
(1944)
Philippe Marcadent
Social Protection Sector
International Labour Office
Structure of the presentation
International
Labour
Office
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One:
The Decent Work Agenda
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Two:
Social security from an ILO perspective
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Three:
An huge coverage gap – a variety of
strategies to overcome this gap
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Four:
ILO policy framework to extend coverage
(including the Social Protection Floor)
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Five :
Some conditions of success
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The Decent Work Agenda
International
Labour
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The Decent Work Agenda - Four strategic objectives:
 Creating Jobs
 Guaranteeing rights at work
 Extending social protection – working conditions
which are safe, allow adequate free time and rest,
take into account family and social values + social
security to provide adequate compensation in
case of lost or reduced income and to permit
access to healthcare
 Promoting social dialogue
The ILO Global Campaign to Extend Social Security to All
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Social security from an ILO Perspective: The
roots …The right to social security …
International
Labour
Office
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Article 22 of the Universal Declaration of Human Rights
states: “Everyone, as a member of society, has the right to
social security”
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The ILO’s Declaration of Philadelphia laid out for the ILO “to
further among the nations of the world programmes which
will achieve…. the extension of social security measures to
provide a basic income to all in need of such protection and
comprehensive medical care”. Confirmed by the ILO
Declaration on Social Justice for a Fair Globalization in 2008
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ILO conventions define the range and levels of essential
social security benefits
The ILO Campaign on Social Security and Coverage for All
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Social security from an ILO Perspective: The
roots …The need for social security
International
Labour
Office
All women and men need social security
• Everybody, poor and rich, needs social security, to be able to deal with
uncertainty and social and economic risks over the life-cycle
Any society, state and economy needs social security
 It prevents and reduces poverty and income inequality
 It contributes to growth as:
 Raising the incomes of the poor increases domestic demand and,
in turn, encourages growth by expanding domestic markets
 It enhances human capital and productive employment thanks to a
better educated, healthy and well nourished workforce
 Promotes peace, stability and social cohesion and facilitates economic
change
 In time of crisis it not only prevents greater poverty but stabilizes the
aggregate demand
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What does social security encompass for
the ILO?
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International
Labour
Office
Income security + guaranteed access to health care
-> Via social transfers to individuals or households to help them to face
defined risks or situations.
Guaranteed access to health care = access to health services with
financial protection;
Not all means to provide income security are SS interventions;
Not all means to better manage risks are SS interventions;
For « All » and not for « All workers »;
No a single right model of social security
– A plurality of instruments: contributory –non contributory, based on
employment – based on residence, universal or not, categorical or
not, under resources conditions or not, based on insurance or not,
conditional to behavior or not, etc.
– Public or private provisions
Who define risks and situations that fall under the umbrella of SS?
The ILO Global Campaign to Extend Social Security to All
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A right and a need … but an huge coverage
gap…
International
Labour
Office
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Coverage has two dimensions:
– Horizontal – who is covered?
– Vertical – how adequate are the benefits and services
provided?
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Lower income countries: huge horizontal coverage gap
(majority of the world’s population uncovered) but even
those minority groups covered are not covered adequately
(scope of benefits narrow and level/quality low)
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Higher income countries: still exist here and there gaps in
horizontal coverage (domestic workers, temporary workers)
and issues in vertical coverage (like inadequate benefits for
those with short or broken careers as a result of some
recent pension reforms)
The ILO Global Campaign to Extend Social Security to All
Social security coverage map
The ILO Global Campaign to extend Social Security to all
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Office
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Effective coverage - pensions
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Office
9
Vertical coverage (pensions): OECD
The ILO Global Campaign to extend Social Security to all
International
Labour
Office
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Percentage of countries with a statutory programme
Familly allowances | Existence of a statutory programme
& type of programme
Percentage of countries (on a basis of 155 countries)
International
Labour
Office
No statutory provision
100
80
Employer liability
9
12
60
7
16
Social assistance
40
63
20
0
29
15
15
3
5
44
49
23
Social insurance
10
Social
security
provision
None
Low income
Social
security
provision
None
Medium income
Social
security
provision
None
Universal | Demogrant
High income
11
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Labour
Office
Proportion of unemployed receiving unemployment
benefits from statutory unemployment schemes
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ILO policy framework for extending social
security to All: One priority, a set of
principles…
International
Labour
Office
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ILC 2001 - A New Consensus: “Of highest priority are
policies and initiatives which can bring social security
to those who are not covered by existing systems.”
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Principles:
 Universality
 Progressiveness
 Pluralism
 Outcome (not process) focus
The ILO Campaign on Social Security and Coverage for All
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ILO policy framework to extend social security to all:
A story of two dimensions …
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Labour
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Horizontal: Promoting the Social Protection Floor...
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Vertical: Promoting the ratification and application of flagship conventions
Benefit coverage
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100%
Full
benefit
Intermediate
benefit
Elderly
Non employed
Children
Non employed
Working
age
Informal
economy
Private
employees
Civil servant
public
employees
Basic benefit
coverage
Population coverage by groups
The ILO Campaign on Social Security and Coverage for All
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What is the Social Protection Floor (SPF)–
Initiative? ..
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International
Labour
Office
On April 2009, the UN Chief Executives Board (CEB) has
agreed on nine joint initiatives to confront the crisis- SPF
part of it
The SPF Initiative aims at joint global and local UN action to
promote access to essential services and social transfers
for the poor and vulnerable. It includes:
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A basic set of essential social rights and transfers, in cash
and in kind, to provide a minimum income and livelihood
security for poor and vulnerable populations and to facilitate
access to essential services, such as health care
Geographical and financial access to essential services,
such as health, water and sanitation, education, social work
The ILO Global Campaign to Extend Social Security to All
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The social security component of the social
protection floor could consist of four essential
social security guarantees:
International
Labour
Office
Universal access to health care
 all residents have …access to a nationally defined set of
essential health care services;
A minimum of income security over the life cycle
 all children have income security through family/child benefits
aimed at facilitating access to nutrition, education and care;
 all those in active age groups who are unable to earn sufficient
income on the labour markets should enjoy a minimum income
security through social assistance …in link with employment
policies
 all residents in old age and with disabilities have income security
through pensions for old age and disability.
The ILO Global Campaign to Extend Social Security to All
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Cost of basic transfers…
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Labour
Office
6.0%
4.0%
3.0%
2.0%
O ld - ag e p e ns io ns
C h ild b en ef it s
H ea lt h care
S o ci al a ssi st an ce/ em p lo ym en t sch em e
V ie t N a m
P a k ist a n
N ep al
In d ia
B an g lad es h
T a n z a n ia
U n it e d R e p .
S en eg al
Ke ny a
G u in e a
E t hi op ia
0.0%
C am er o o n
1.0%
B urk in a F as o
in pec ent o f G DP
5.0%
A dm i ni st rat ive co st s
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International
Labour
Office
Financing strategies: Lack of fiscal space?
60
France
Belarus
Public SP & Health expenditure | Total government expenditure
Hungary
Belgium
Ukraine
50
Italy
Croatia
Portugal
Greece
Czech Republic
United Kingdom
Poland
Bulgaria
Mongolia
40
Germany
Slovakia
Morocco
Spain
Latvia
Bolivia
Estonia
New Zealand
Uruguay
Tunisia
Viet Nam
France
Argentina
Russian Federation
30
Germany
Kuwait
Bahrain
Italy
Mauritius
Ukraine
Portugal
Burundi
Panama
Indonesia
Thailand
China
Uruguay
Croatia
Poland
20
Nepal
Hungary
Greece
United Kingdom
Spain
Korea, Republic of
Czech Republic
Belarus
Singapore
New Zealand
Panama
Uganda
Mexico
India
China
Burundi
Ethiopia
0
0
United Arab Emirates
South Africa
Georgia
Viet Nam
Linear (Public SP &
health expenditure
as a percentage of
GDP)
Linear (Public
government
expenditure as a
percentage of GDP)
Chile
Argentina
Bolivia
Public government
expenditure as a
percentage of GDP
Latvia
Russian Federation
Mongolia
Belgium
Japan
Chile
Dominica
India
10
Public SP & health
expenditure as a
percentage of GDP
Japan
South Africa
Ethiopia
Korea, Republic of
Kuwait
Thailand
Bhutan
5000
10000
15000
20000
GDP per capita PPP
25000
30000
35000
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Our portfolio of activities : some examples
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International
Labour
Office
Policy development and research: IPC-ILO, Bolsa Familia, NREGA, Child Grant
+EPWP (SA) and the DWA
Support to Countries (30 countries in portfolio/year) for:
– Designing and implementing national SP policies and reforms: (Mozambique)
– Extending/improving Social Health Protection: National health insurance
(Ghana), Social insurance, National tax-financed system (Thailand),
Occupation and community based schemes (Senegal), etc.
– Extending and reforming pensions schemes: contributory and non contributory
schemes (Chile)
– Extending social insurance (pensions + health) to informal economy workers:
own-accounts workers, domestic workers, workers in micro and small
enterprises (Cape Verde);
– Extending /improving family allowances: universal schemes, CCT (Argentina)
– Quantitative studies: Actuarial studies (Greece), SPER (Zambia), Social
budgeting (Thailand)
– Etc.
Capacity building (Quatrain programme in Africa)
Statistics: Social Security Inquiry (database administrative data)
Standards
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Some conditions of success
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International
Labour
Office
Promote employment-friendly macroeconomic
frameworks, job-rich growth and transition to formal
(decent) employment;
A mix of non-contributory and contributory measures,
well coordinated, is most effective in providing universal
adequate coverage almost everywhere
Enhancing availability of quality social services is a
conditions to increase impact of transfers;
For working age population (able to work) improving
coherence and integration of social security and
employment policies
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