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UNICEF-Policy Analysis Section Comments to World Bank and Labor Strategy Resilience, Equity and Opportunity 2012-2022

General comments

1. Resilience and Equity UNICEF welcomes and appreciates the World Bank’s focus on equity and resilience as key overarching goals of its Social Protection and Labor Strategy (2012-2022). In line with UNICEF’s approach, we look forward to working with the World Bank in social protection policy and programming, as critical tools for furthering equitable outcomes, while playing a key role in strengthening the resilience of children, families and communities.

However, we would like to reinforce that social protection needs to be acknowledged as a tool beyond risk management. Although resilience is identified as a key goal, it is defined as “insuring against the effects of drops in wellbeing from a range of shocks (page iv, executive summary). From UNICEF’s perspective, strengthening resilience goes beyond insuring against risks, and implies addressing the pre-existing capacities that shape ability to deal with/manage risks. In other words, social protection addresses social and economic vulnerabilities; vulnerabilities which capture the interaction between exposure to risk, and capacity to respond and cope (susceptibility or exposure due to level of economic, social, political and physical resources).

2. Integrated systems As the overarching approach for UNICEF’s work in social protection, and in recognition of the multiple and compounding vulnerabilities faced by children and their families, UNICEF supports the World Bank’s strategic focus on moving from “fragmented to harmonized systems” for social protection. We would welcome a collaborative effort among UNICEF and the World Bank at global, regional and country levels, to support countries in the implementation of integrated, multi-sector social protection systems, including the development long-term national financing strategies and expansion of the coverage and reach of effective social protection.

3. Inclusion The Strategy also calls for social protection “to be more inclusive of excluded regions and groups”. UNICEF welcomes and supports the Bank’s commitment to inclusive social protection systems. It may be helpful to distinguish more clearly two distinct angles (and respective social protection responses) in this area which the strategy seems to identify but is not clear on: - Inclusive social protection, acknowledging how the different dimensions of social economic exclusion shape vulnerability and therefore need to be addressed in social protection policy and implementation. In this sense, we look forward to working together with Bank colleagues (HQ and regional) in (i) identifying dimensions of exclusion relevant in each specific country/region context (i.e.: gender, HIV/AIDs status, ethnicity, disability) and added vulnerabilities; (ii) identify the best social protection responses and instruments that specifically address exclusion; and (iii) influence design and implementation (and evaluation) of programs to make them sensitive / responsive to different dimensions of exclusion. - Exclusion due to inadequate coverage of programs. Limited coverage due to (i) limited financial and institutional capacity to implement nation-wide interventions; (ii) inadequate mechanisms and/or targeting methodologies which fail to reach the most vulnerable. o On financing, UNICEF shares the World Bank’s concern on the challenge countries face in setting up inclusive and effective social protection 2

systems, particularly in fiscally constrained and fragile context. As part of its Collaborative agenda for Action, UNICEF proposes helping governments to identify effective and sustainable financing for expansion and strengthening of social protection. We look forward to working in close coordination with the World Bank to help countries assess costs and financing options available and toadvocate for and protect key investments in social protection. o On “effective targeting”, UNICEF argues for Progressive Realization of Universal coverage, acknowledging the different capacities and challenges (institutional, financial, etc) governments face in achieving long-term goal of universalization. In addition, we recognize that there are many pathways that need to be considered, based on context settings, conducive to universalization. Narrow, income/asset based targeting methodologies may not necessarily be the most effective way to reach the most vulnerable.

4. National leadership and context specificity As key principles guiding UNICEF work in social protection, we also support World Bank’s engagement principles of country-tailored and collaborative work in social protection, supporting nationally supported and led systems, while fostering strategic partnerships with key actors to the maximize the potential of social protection.

5. Life-cycle approach We found the integration of a life-cycle approach as a way to structure social protection responses very helpful. We welcome and support the Bank’s interest and focus on early childhood development, as well as on school-to-work transitions, as key intervention points to influence and impact future adult productivity. It may be important however to also acknowledge key interventions which are essential to contributing to children’s wellbeing (not only looking at future returns), also looking at the specific needs and vulnerabilities during school age and early adolescence. For instance, looking at transitions from primary to secondary education, access to basic health services, etc.

6. Instruments Following UNICEF’s approach to social protection, and recognizing the need to address economic and social vulnerabilities (and how they interact with other), it would be important for the WB Strategy to acknowledge the broader range of existing social protection instruments (going beyond economic measures), even though this may not be the focus of World Bank work or the Strategy.

UNICEF work on social protection concentrates on four components: o Social transfers (including cash transfers, pensions, public works, food transfers, etc) o Programmes to ensure economic and social access to services (health insurance, user fee abolition, birth registration) o Social support and care services (home base care, family support services) o Legislation and policies to ensure equity and non-discrimination in children’s and families’ access to services and employment/livelihoods. (employment guarantee schemes, child care policy, maternity/paternity leave, etc).

7. HIV-Sensitive Social Protection: We expected to see more references to the work being done in HIV-sensitive social protection, especially given the work currently being developed by the Bank and partners. There is important evidence and guidance on the links between social protection and HIV sector outcomes, in terms of (i) mitigation of social and economic impacts of HIV; (ii) addressing the multiple social determinants of the epidemic; and (iii) addressing demand side barriers to access HIV services to improve prevention, treatment and care and support 3

outcomes. Many of these have been developed and mainstreamed through different global and regional settings and frameworks, including the UNAIDS Investment Framework, UNAIDS Business Case for Social Protection, UNAIDS Social Protection, Care and Support Working Group (co-led by the Bank and UNICEF), RATESA-Technical Group on HIV- Sensitive social protection, among others. As a key component of the multi-sector and systems approach, the experience of many actors, including UNAIDS, UNICEF, and the Bank in this area and the specific impacts to the main overarching objective of the strategy: equity, resilience and opportunity, needs to be documented and highlighted.

Specific comments

 Exclusion Errors PP 31, page vii (executive summary); pp 59, page 19 (main document): Important to acknowledge that exclusion errors and problems in coverage are are not exclusive to LICs or fragile contexts. It is for instance a critical challenge in many CEE/CIS and LAC countries. Issues to consider are mostly linked with effective design, barriers due to social/horizontal inequalities, and appropriate mix of mechanisms to identify and reach the most vulnerable.

 On the Social Protection Floor - PP 15, page iv (executive summary) , : Would suggest adjusting the wording to reflect consensus among SPF members—SPF is a UN initiative, which brings together several agencies, NGOs and government partners. The SPF was created in 2009 in response to the economic and financial crises and endorsed by the Chief Executives Board and by the Heads of State and Government in the 2010 Millennium Development Summit. The SPF is currently co-led by ILO and WHO.

- Box 3.1, page 12 (main document)-The language included is from earlier SPF documents. Correct working in tracked changes- see below The Social Protection Floor initiative (SPF-I), currently co-led by the International Labour Organization (ILO) and the World Health Organization (WHO) and endorsed by the UN Chief Executives Board, calls for an integrated set of social policies to provide income security and access to essential social services for all, paying particular attention to vulnerable groups. The core elements of the SPF-I are: • A basic set of social transfers, in cash and in kind, to provide a minimum income and/or employment and livelihood security for the unemployed and working poor; • Universal access to essential social services in the areas of health, water and sanitation, education, , housing, and others defined by national priorities.

 Graduation strategies Pp 35, page viii (Executive Summary): We share the importance of strengthening linkages between social assistance and productive programs; however need to acknowledge that there are some groups which may need to continue to be cover by some social protection mechanism such as children, those non-fit for work, elderly etc. In addition, there are still many issues around identifying the most appropriate graduation indicators and strategies; those that would go beyond definition graduation only in terms of income/asset thresholds, but including indicators for resilience, social vulnerabilities, dynamic movement out and in of poverty, and other enabling factors.

 Impact evaluation Pp 42, page ix (Executive Summary): Given the focus on equity and exclusion in the Strategy, there may also be a need to strengthen and further develop assessments and impact evaluation of non-cash social protection instruments, particularly looking at their impact on social exclusion and deprivation. 4

 Partnerships in LICs and Fragile Contexts Pp 99, page 28-29 (main document): UNICEF shares the Bank’s interest and concern in the need to help governments in low income and fragile contexts to develop and strengthen social protection interventions. It is important however to acknowledge the pre-existing work of government partners and partner agencies such as UNICEF, which have been involved in these settings for many years, which can be built upon and offer opportunities for collaboration. In addition, there is a need to acknowledge the key role that NGOs play in these settings, which in many cases have complemented or filled gaps in areas of limited government reach.

 Child-sensitive social protection and exclusive targeting Pp 76 (main document): Although we agree that investing in children is essential to break with inter-generational cycles of poverty, UNICEF experience has shown the limitations of exclusive targeting based on certain types of criteria, and thus the need to move away from targeting specific groups (ie: orphans, street children, etc.). We therefore recommend removing the sentence ‘Programs targeted to orphans… ensure the youngest are not the most at risk’. Experience and evidence has shown that programs do not necessarily need to specific groups of children or even necessarily target children exclusively in order to have important benefits for them. Eg: impacts of pensions on children’s wellbeing has been impressive, especially in contexts with large numbers of skipped generation households; or in Southern Africa, UNICEF experience has demonstrated that AIDS exclusive targeting, has been problematic due to issues related to stigma and similar levels of poverty and deprivation (i.e.: risks) among AIDs-affected households and their neighbours. Perhaps something along the lines of ‘programs which include/reach children and their families, and are sensitive to children’s specific vulnerabilities…’

 Responding to Crisis Pp 113 (page 34) May be useful to discuss what are the different instruments available (or how these can and adjusted) to identify potential triggers and added risks, and thus prepare adequate and timely responses (ie: early warning systems, real time monitoring, etc).

 Annex 6: Social Protection Strategies outside the Bank. The information included on UNICEF’s work in this Annex is not a current/accurate representation of our work. In order to adequately reflect UNICEF’s approach, as stated in the recently released Social Protection Strategic Framework, please adjust the following:

- Definition: p.98 (Appendix A). UNICEF defines social protection as “ a set of public and private policies and programmes aimed at preventing, reducing and eliminating economic and social vulnerabilities to poverty and deprivation. Social protection is essential to furthering UNICEF’s commitment to the realization of the rights of children, women and families to an adequate standard of living and essential services.”

Reference: UNICEF (2012) “Integrated Social Protection Systems: Enhancing Equity for Children. UNICEF’s Social Protection Strategic Framework”. UNICEF, New York.

http://www.unicef.org/socialprotection/framework/files/UNICEF_Social_Protection_Strate gic_Framework_full_doc_std(1).pdf (CHAPTER II)

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- Table 1: Distribution of Potential Social Protection Interventions by Agency, Classification as Social Protection by Agency is Shaded. P. 94

Following the classification presented in the table, UNICEF has been working with different (additional) social protection instruments and interventions, including:

Under : pensions, health insurance and disability Under safety nets: public works, cash and in-kind transfers Under “other” post-conflict and natural disasters

- Summary of key agency strategies and program focus. p. 95 (reference to UNICEF’s “narrow mandate”).

UNICEF is committed to social protection as part of its global mandate to advocate for the protection of children’s rights, to help meet their basic needs and toe expand their opportunities to reach their full potential.As mentioned earlier, UNICEF work on social protection concentrates on four components: o Social transfers (including cash transfers, pensions, public works, food transfers, etc) o Programmes to ensure economic and social access to services (health insurance, user fee abolition, birth registration) o Social support and care services (home base care, family support services) o Legislation and policies to ensure equity and non-discrimination in children’s and families’ access to services and employment/livelihoods. (employment guarantee scheems, child care policy, maternity/paternity leave, etc).

This focus reflects UNICEF’s understanding on the need to support a broad set of instruments that can potentially impact children’s well-being (directly or through strengthening the capacity of families to take care of children). These go beyond safety nets, child labor and HIV-sensitive social protection interventions.