Social protection floors and beyond: Implementation issues Vinicius Pinheiro Deputy Director, ILO Office for the UN in New York Seoul, 7 October 2013

Social Protection: accelerating progress in achieving the MDGs… Poverty, hunger and employment ▫Reducing poverty and inequality ▫Labour participation and entrepreneurship ▫Food consumption and nutritional level Health ▫Access health services and quality preventive and curative care for child and maternal health ▫Reducing risk factors for diseases among disadvantaged populations. ▫Mitigating the impact of illness, supporing HIV-AIDS infected people and orphans Education ▫Educational attainment, school enrolment rates ▫Reducing drop-out rates and child labour Gender empowerment ▫Greater participation of women in the economy ▫Strengthening women’s position in the household

… and enhancing policy coherence in the sustainable development framework Automatic stabilizer Aggregate demand Labour force participation Productivity Economic resilience Inclusive growth Poverty and Inequality Employment Food and Nutrition Heath Education Gender Climate change mitigation and adaptation Resilience Just transition EconomicSocialEnvironmental

Social Protection Floor: a changing paradigm 20 per cent of global lacks access to adequate social protection Population Level of protection Poor Rest of informal sectorFormal sector

Social Protection Floor: a changing paradigm All residents should enjoy at least a minimum level of social security Countries should establish SPFs as a fundamental element of their social security systems Population Level of protection Poor Rest of informal sectorFormal sector Social Protection Floor

A global south revolution: Increase in the health coverage in selected developed and developing countries

National floors of social protection (ILO Recommendation 202)

National Floors of Social Protection (ILO Recommendation 202) access to a set of goods and services constituting essential health care including maternity care and nutritio n basic income security for children basic income security for persons in active age unable to earn sufficient income basic income security for persons in old age

Social protection floors - changing paradigm Safety nets (90’s)Social Protection Floors TemporaryPermanent CompensatoryPrevention, Protection and Empowerment FragmentedIntegrated, coherent, holistic Needs-basedRights-based Lack of institutionalityRule of law, governance and social dialogue Residual to the economic model; shock mitigation Integral part of the economic model, connected to productivity, consumption investment in human capital, and sustainable development

Affordable even in low income countries Efficiency and re-allocation of public expenditures Increasing tax revenues ▫Mineral-based taxation or similar single taxes for specific purposes (earmarked taxation) Borrowing or restructuring existing debt Macroeconomic framework International aid Political will is the game changer Implementation challenge 1: Financing and sustainability

The guiding principles in practice Affordability & fiscal space Cambodia; 0.4 – 2.4% GDP by 2020Indonesia; 0.7 to 2.4% GDP by 2020 Thailand; 0.5 – 1.2% GDP by 2020Viet Nam; 2% to 6% GDP by 2020

Build on existing structures Entitlement to benefits prescribed by Law Adequacy & predictability Links between contributory and non contributory schemes Universality of protection Eligibility criteria, targeting criteria and particular attention to vulnerable groups Links with other social (education, housing, sanitation, environment) and economic policies Implementation challenge 2: Design

Coordination across institutions involved Participation of social partners, beneficiaires and other stakeholders Partnerships Communication, information and awareness Identification, membership registration and outreach Intensive use of ITs, integration of databases and systems, single window services Monitoring and evaluation High quality delivery services Implementation challenge 3: Governance and Delivery

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