Social Protection Floor for All ACTRAV/ITC-ILO Course (A106025) Trade Union Training on Capacity Building for Organizing and Managing Trade Unions (Turin, Italy, 13 – 24 May 2013) Social Protection Floor for All

Why Do We Need Social Protection?

Social Security is a Human Right Social security is a human right, enshrined in all major UN human rights instruments; Article 22 of the Universal Declaration of Human Rights states: “Everyone, as a member of society, has the right to social security” Article 25 of the Universal Declaration of Human Rights states: “Everyone has the right to a standard of living adequate for health and well being for himself and of his family” Assisting member States in realising the extension of social security measures to provide a basic income to all in need of such protection and comprehensive medical care is at the heart of the ILO’s mandate, as laid down in the Constitution, 1919, and in the Declaration of Philadelphia, 1944 Social Security is a Social Necessity Economic growth does not automatically reduce poverty Social security transfers are a powerful tool to reduce poverty and inequality reduce poverty by at least 50% in almost all OECD countries, All socially and economically stable societies have extensive social security systems

Social Security is an Economic Necessity Access to social health protection and education improves productivity levels an has a positive impact on growth The famous trade-off between efficiency and equity is a myth. Cash transfers in developing countries have multiplier effects on local markets Social security benefits are widely recognised as social and economic stabilisers in times of crises

ILO Global campaign on Social Protection “Social protection has proven to be a powerful anti- crisis measure. It protects and empowers people, and contributes to boosting economic demand and accelerating recovery. It is also a foundation for sustainable and inclusive economic growth,” Former ILO Director-General Juan Somavia

Where Do We Stand as Regards Social Protection Coverage?

Convention 102 Benefits ILO Convention 102 Maternity Sickness Unemployment benefits Survivors Medical care Employment injury benefits Pensions Invalidity Family allowances ILO Convention 102

Social Security Coverage: Statutory and Effective Coverage

The global state of social security coverage and recent policy initiatives 80 % of the world population do not have access to comprehensive coverage 30% of the population do not have access to essential health care 60% of the elderly do not receive a pension 50% of children are living in poverty, many lack access to health and education National social security strategies, based on social dialogue Strengthening social health protection Social security coverage gap Social pension programmes Child and family benefits

Global Coverage 20% of world population = adequate coverage 50% + of world population = no coverage Less than 10% covered in least developed countries 20 to 60% covered in middle-income countries Close to 100% covered in most industrialised countries

individual/household income ILO’s two-dimensional strategy for the extension of social security: Building comprehensive social security systems individual/household income Social Protection Floor: Access to essential health care and basic income security for all Social security benefits of guaranteed levels Voluntary insurance under government regulation level of protection high low Vertical dimension: progressively ensuring higher levels of protection, guided by Convention No.102 and more advanced standards floor level Outcomes can be guaranteed through different means – there is no one-size-fits-all Horizontal dimension: Guaranteeing access to essential health care and minimum income security for all, guided by Recommendation No. 202

Consultation process leading to ILO strategy and Social Protection Floors Recommendation 2001-2010  New consensus 2001  Regional conferences and expert meeting 2008-10  Global Jobs Pact 2009 International Labour Conference 2011  Adoption of two-dimensional strategy (Resolution and Conclusions)  Agreement on elements of possible Recommendation Consultations 2011-12  Replies to questionnaire from governments, employers’ and workers’ organizations International Labour Conference 2012  Adoption of Social Protection Floors Recommendation Global tripartite consensus: 453 votes in favour and 1 abstention from 142 countries 221 responses from 118 countries Social Protection Floor Initiative International and regional endorsements (G20 and others)

The Social Protection Floors Recommendation at a glance Preamble Social security as human right and social and economic necessity Reference to various international instruments I. Objectives, scope and principles Objective and scope Definition of national social protection floors Principles II. National social protection floors Definition of basic social security guarantees Legal foundations Establishment and review Provision Financing III. National strategies for the extension of social security Prioritize implementation of national SPFs Progression to higher levels of protection Building and maintaining social security systems Policy coherence ILO social security standards IV. Monitoring National monitoring National consultations International exchange of information, experiences and expertise

The two-fold objective of the Recommendation: National social protection floors... Provides guidance to members to (b) Implement social protection floors within strategies for the extension of social security that progressively ensure higher levels of social security to as many people as possible, guided by ILO social security standards nationally defined sets of basic social security guarantees which secure protection aimed at preventing or alleviating poverty, vulnerability and social exclusion (a) Establish and maintain, as applicable, social protection floors as a fundamental element of their national social security systems

... and national strategies for the extension of social security Provides guidance to members to (b) Implement social protection floors within strategies for the extension of social security that progressively ensure higher levels of social security to as many people as possible, guided by ILO social security standards Progressively build and maintain comprehensive and adequate social security systems coherent with national policy objectives and seek to coordinate social security policies with other public policies (a) Establish and maintain, as applicable, social protection floors as a fundamental element of their national social security systems

National social protection floors: At least four nationally-defined guarantees The social protection floors should comprise at least the following basic social security guarantees: (para. 5) access to a set of goods and services constituting essential health care including maternity care 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 national definition of minimum levels Guarantees should be provided to at least all residents and children, as defined in national laws and regulations, subject to Members’ existing international obligations. (para. 6)

National social protection floors: Pluralism of approaches national choice social assistance social insurance universal schemes others Most effective and efficient combination of benefits and schemes in national context (para. 9(1)) nationally guaranteed outcomes Benefits may include child and family benefits, sickness and health-care benefits, maternity benefits, disability benefits, old-age benefits, survivors’ benefits, unemployment benefits and employment guarantees, and employment injury benefits as well as any other social benefits in cash or in kind. (para. 9(2))

Financing and delivery Principles Overall and primary responsibility of the State Universality of protection, based on solidarity Social inclusion including persons in the informal economy Universal coverage Adequacy and predictability of benefits Non-discrimination, gender equality and responsiveness to special needs Entitlements to benefits prescibed by national law Efficiency and accessibility of complaint and appeal procedures Respect for the rights and dignity of people covered Respect for collective bargaining and freedom of association Rights Progessive realization, including by setting targets and timeframes Coherence with social, economic and employment policies Regular monitoring of implementation and periodic evaluation Tripartite participation and consultation with representatives of persons concerned Implement-ation Consideration of diversity of methods and approaches Solidarity in financing and fair balance of interests Transparent, accountable and sound financial management and administration Financial, fiscal and economic sustainability with regard to social justice and equity High-quality public services that enhance delivery of social security systems Coherence across institutions responsible for the delivery of social protection Financing and delivery

What Role Can Governments and Social Partners Play to Achieve Comprehensive Social Protection Coverage for All?

The Role of Governments and Social Partners Ensure effective access to social security to all Employers and Workers Governments Raising awareness and building public support for social security and ILO social security standards Actively participate in social dialogue processes aiming at the design, implementation and monitoring of national social security strategies and policies, as well as the establishment of national Social Protection Floors Jointly develop initiatives to support the transition to formal employment and formal enterprises Actively participate in the governance of social security institutions Provide an appropriate policy, legal and institutional framework, effective governance and management Foster coherence of social security policies with employment, macroeconomic and other social policies Develop a national two-dimensional social security extension strategy Promote gender equality Address the needs of women, men and children and the specific needs of vulnerable groups Ensure effective social dialogue processes 20

Anything else to discuss regarding social protection? Ask participants if there is anything else we need to discuss or if there are any questions about workplace problems.

Thank you! 