1. ILO Social Security Norms and the Upcoming Recommendation on the SPF
Phnom Penh, Nov. 2011
Helmut Schwarzer

2. ILO Mandate in Social Security
The ILO Mission:
Preamble to the ILO Constitution: …to improve conditions of labour, inter alia, through the « prevention of unemployment, …the protection of the worker against sickness, disease, and injury arising out of his employment, the protection of children, young persons and women, provision for old-age and injury »
Declaration of Philadelphia1944: to pursue…  « the extension of social security measures to provide a basic income to all in need of such protection and comprehensive medical care »
ILC 2001/ILC 2011: Conclusions of the ILC 2001 and 2011 confirmed ILO Mandate in social security. ILC 2001 requested the ILO to launch a global campaign for the extension of social security for all (launched in 2003).

3. ILO’s main tools for pursuing its mandate….
International Labour Standards
Conventions and Recommendations are adopted by the International Labour Conference of the ILO by 2/3 majority of ILO constituents
Conventions (188):
Are open for ratification
When ratified: become legal obligations
When not ratified: represent goals for national policy making
Recommendations (199):
Not open to ratification
Often accompany a Convention
Technical or policy guidelines

4. ILO’s up-to-date social security Conventions…..
C. 102 on Social Security (Minimum Standards)
C. 121 on Employment Injury Benefits
C. 128 on Old-Age, Invalidity and Survivors’ Benefits
C. 130 on Medical Care Benefits
C. 168 on Unemployment Benefits
C. 183 on Maternity Benefits
C. 118 on Equality of Treatment in Social Security
C. 157 on Maintenance of Migrant Workers Rights

5. Social Security (Minimum Standards) Convention, 1952 (No. 102)…..
Flagship Convention
Convention No. 102 is built upon the basis that there is no right model for social security, and that social security grows and evolves over time. Social security policies should reflect countries’ social and cultural values, their history, their institutions and their level of economic development
The Convention therefore does not prescribe a certain behaviour of the member states, it rather fixes a set of minimum objectives built on commonly agreed principles which fixes the social floor for all the ILO member States

6. Social Security (Minimum Standards) Convention, 1952 (No. 102)…..
Flagship Convention
Defines 9 branches of social security
Medical care benefit, sickness benefit, unemployment benefit, old-age benefit, employment injury benefits, maternity benefit, family benefit, Invalidity benefit, survivors’ benefit
Sets minimum standards for these nine branches
Based on basic social security principles

7. Social Security (Minimum Standards) Convention, 1952 (No. 102)…..
Flagship Convention
Sets minimum standards for the nine branches
Minimum percentage of personal coverage
Minimum level of benefits
Maximum qualifying period for the entitlement to benefits
Minimum duration of benefits

8. Social Security (Minimum Standards) Convention, 1952 (No. 102)…..
Branches
Convention No. 102
Conventions Nos. 121, 128, 130, 168, 183
Benefit
Sickness Benefit
45 %1
60 %
Unemployment Benefit
45 %
50 %
Old-Age Benefit
40 %
Employment Injury Benefits
Short term
Disability
Survivors’
Family Benefit
3 % or 1,5 %)2
---
Maternity Benefit
2/3 of the woman’s previous earnings
Invalidity Benefit
Survivors’ Benefit

9. Social Security (Minimum Standards) Convention, 1952 (No. 102)…..
Flagship Convention
Defines basic social security principles
Guaranteed, defined benefits
Participation of protected persons in administration
General responsibility of the Governments for
provision of benefits, and
proper administration of schemes, e.g. through regular actuarial reviews
Collective financing
Adjustment of pensions
Right of appeal
Equality of treatment

10. Social Security Schemes to comply with Convention No. 102 …..
Social insurance schemes
with earnings-related components, or
flat rate components, or
Combination of both
Universal schemes
Social assistance schemes
Administrations to comply with
Convention No. 102 …..
Public social security schemes
Private social security schemes, if in compliance with minimum standards and basic principles

11. Flexibility clauses of Convention No. 102
Offers flexibility, as it takes into account socio-economic levels within different countries by providing for specific temporary exception by covering at least 50% of all employees working at industrial establishments of 20 persons or more
Offers possibility of ratifying initially 3 social security branches and ratifying at a later stage, according to the socio-economic situation in the country, further branches, which is regarded as an incentive for extension of social security coverage

12. Benefits of ratification of Convention No. 102
When Convention No. 102 is ratified, member States will benefit from ILO experience in the field of social protection and from technical assistance, including policy advice and actuarial studies, collection of data, drafting of legislation, etc.
Commitment to Convention No. 102 will lead to provide regular and sustainable benefits, thus it will enhance confidence of the insured persons in the scheme and the national social security administration
As a result: Social security in ILO member States will be strengthened

13. Social Security (Minimum Standards) Convention, 1952 (No. 102)…..
Ratification by 47 countries
Flagship Convention on Social Security
Increased Ratification Interest in the World
Minimum Standards for the 9 Branches:
% individual coverage., minimum benefit
level, max. vesting period, duration of
benefits, etc.
Health care, Sickness,
Unemployment, Old-Age, Labour
Accident, Invalidity, Maternity,
Survivor, Family Benefits
(9 Branches)
Ratification represents a
commitment with the quality
of social protection in the
country.
Ratification by Uruguay
(2010), Argentina (2011), Brazil (2009)
Paraguay and Honduras (request of
support), Jordania, Mongolia,
Syria (analyzing). CIT 2011 asks for
Campaign for Ratification.

14. Extension of Social Protection and the Bidimensional Approach
«Social Security Staircase»: reference for description and development of social security coverage at national level…
Vertical dimension: progressively ensuring higher levels of protection guided by C.102 and higher-level standards
high
Voluntary insurance under government regulation
Higher levels min. C. 102
Social Insurance Beneftis of Guaranteed Levels
Protection Level
Floor level
Access to essential health and minimum income security for all
low
low
individual/household income
high
Horizontal dimension: Guaranteeing access to essential health care and minimum income security for all

15. C. 102 strongly supports Social Security Extension in the Vertical Dimension...
Establishes minimum level of benefits and other conditions
Supports the introduction of coverage for new risks
Ratification C. 102 as a Guideline for Development of Social Protection
… but it doesn’t guarantee the universalization of Social Security to All by itself. Hence the need for a supplementary instrument for the horizontal extension, whose development was approved at ILC 2011.

16. Basic Transfers Essential Services
Horizontal Extension of Coverage: The Social Protection Floor to guarantee basic social rights to everyone in need
Monetary or in kind;
To guarantee a minimum level of income; and
To allow access to some basic services as education and health care.
Basic Transfers
Geographic and Finanical Access to Nutrition, Health, Water and Sewage, Education, Housing and other essential Services.
Essential Services
“A socio-economic
floor for a
global society”
(World Commission on
the Social Dimension
of Globalization, 2004)

17. The 4 Basic Guarantees of a SPF
Essential Health Services
Benefits for Families with Children
Benefits for the Aged and Disabled
Policies for the Unemployed and Workers without Sufficient Income
Basic attention,
affordable and
available
CCTs, Family
Benefits,
Maternity Ben.
Contents to be
defined according to
national situation
Unempl. Insurance,
Public Works, etc.
Social Assistance
Or Universal
Benefits

18. Significance of a possible Recommendation on Social Protection Floors at national and global level
National level
Global level
Contributes to...
reducing poverty and promoting social cohesion and investments in people
facilitating access to essential goods and services
promoting productive economic activity and reduction of informality and precariousness
providing framework for national social protection policies in close coordination with economic, employment and other social policies
strengthening national dialogue, institutional frameworks and state-building
achievement of Millennium Development Goals
promoting rights-based development policies
building sustainable institutional structures in poor countries
fostering policy coherence and coordination, and deepening multilateral collaboration

19. Questionnaire please submit before 1 Nov 2011
Next step: Preparation for the ILC 2012 Afterwards: Work on the Implementation
June ILC Recurrent Discussion on social protection (social security)
Resolution and conclusions
Decision on standard-setting item (single discussion) at ILC 2012 (GB)
August 2011 Law and practice report (white report)
Summary of law and practice in member States
Questionnaire on possible Recommenda-tion on SPF (deadline: 1 Nov. 2011)
March 2012 Final report (blue report)
Summary of Member responses to questionnaire
Office draft of possible Recommenda-tion
June 2012 ILC standard-setting item (single discussion)
Discussion of amendments
Possible adoption of Recommenda-tion on Social Protection Floors
Questionnaire please submit before 1 Nov 2011