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Understanding Poverty and Social Security: Concepts, Causes, and Functions, Slides of Social Welfare

The concepts of poverty and social security, discussing absolute and relative poverty, causes, and asset-based approaches. It also delves into the functions and goals of social security, its forms and structures, and an evaluation of social security schemes. Using hong kong as a case study, it illustrates the administration and implementation of social security systems.

Typology: Slides

2012/2013

Uploaded on 08/31/2013

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Poverty and social security

Poverty

  • A deprivation of those things that determine the quality of life, including food, clothing, shelter and safe drinking water, but also "intangibles" such as the opportunity to learn and to enjoy the respect of fellow citizens (wiki).

Relative poverty

  • In different societies, there are different conceptions of being poor. A poor person in an affluent society may be considered as rich in a poor country.
  • There are different methods of defining or designating the "poor" stratum in society:

"Pattern of consumption" approach

  • The poor have to spend most of their income for food
  • The level of poverty can defined as the level of income at which increased income will lead to decrease in percentage of income spent on food. i.e. a change in the spending pattern.

"Living standard" approach

  • It refers to the ownership of material items as indicator of being appropriate to or below a certain general pattern of living in the society (e.g. ownership of automobile in USA, Computer in HK). Those who cannot afford to have such living pattern or consumption pattern will be defined as poor.

Asset-based approach to understand

poverty

  • Poverty is a lack of asset
    • physical, financial, human, social, natural…
  • Asset accumulation as a way to eradicate poverty
  • In focusing on the way in which the poor themselves construct their asset portfolios, it recognizes the importance of individual and collective agency (action) and the links between asset accumulation and inequality, security and political stability
  • First generation asset accumulation policy provides social and economic infrastructure essential for assets such as human capital, physical capital (e.g. housing) and financial capital (durable goods).
  • It is commonly assumed that these provide the precondition for individuals and households to further accumulate on their own and move out of poverty (Moser, p.15)

Social Security

  • "s ocial " = "societal", as distinct from, and complementary to, or substitute other natural support systems i.e. family, kinship system, neighbour/ community;
  • " security " = as against risk, misfortune, failure, poverty

Functions and Goals of Social Security

  • a) on individual level:
  • income protection at times of contingencies (e.g. illness, unemployment, maternity, ...etc.) and alleviate individual sufferings;
  • distribution of resources over one's lifetime for future possible risks.
  • b) on society level:
  • communal/societal pooling of resources for sharing of risk, mutual help in modern industrial society;
  • social stabilization for economic production;
  • egalitarian income redistribution.

Different types of social security

  • Retirement
    • pension (PAYG, DB), provident fund (DC), welfare (social assistance)
  • Unemployment
  • Low Income
  • Single-parenthood
  • Disability

Evaluation of social security scheme

Coverage Scope What is the target population/ clients?What type of risks are covered? Benefits Level of payment/ relief standard of living? - is it sufficient for subsistence/ or appropriate to reasonable Provisions Universal or selective (through means-tested)? take-up rate Can it really serve the needy target? arrangement convenient or not? Any element of stigma? Administrative Financing Source of revenue: from government, employer or individuals? Auspice Operated by government, NGO, or private market? government? Central government or local Functions Elimination /alleviation of poverty? Income redistribution? Equity Replenish labour force? Etc.? Social stability?

Administration & implementation of

Social Security system: SWD:

  • Social security field units all over the territory for - CSSA & Special Needs Allowance - Centralized units for Criminal & Law Enforcement Injuries (CLEICS) - Compensation Scheme and the Traffic Accident Victims Assistance Scheme. (TAVAS)
  • Assessment of applications processed by non- professional social work staff;
  • Social Security Appeal Board to hear appeals if claimants are not satisfied of the results:
  • Development of social security in Hong Kong