Social Protection and Social Inclusion in Georgia
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SOCIAL PROTECTION AND SOCIAL INCLUSION IN GEORGIA European Commission Directorate-General for Employment, Social Affairs and Inclusion Manuscript completed in 2011 European Commission Institute of Social Studies and Analysis Neither the European Commission nor any person acting on behalf of the Commission may be held responsible for the use that may be made of the information contained in this publication. Contractor: ‘Institute of Social Studies and Analysis’ (ISSA) website: www.issa-georgia.com Experts: Danelia Akaki Kachkachishvili Iago Katamidze Ana Nadareishvili Mamuka Megrelishvili Vakhtang © European Union, 2011 Reproduction is authorised provided the source is acknowledged. 2 Institute of Social Studies and Analysis Contents List of acronyms and abbreviations.................................................................................................6 Executive Summary.........................................................................................................................7 Macroeconomic overview ...........................................................................................................7 Labor market................................................................................................................................8 Education.....................................................................................................................................9 Migration and remittances...........................................................................................................9 Demographic trends...................................................................................................................10 Social assistance ........................................................................................................................10 Poverty and Social Exclusion....................................................................................................11 Pensions.....................................................................................................................................13 Health and Long term care ........................................................................................................13 Chapter 1: Economic, Financial and Demographic Background .................................................15 1.1. Introduction......................................................................................................................15 1.2. Economic Background.....................................................................................................15 1.3. Fiscal Policy.....................................................................................................................17 1.4. Informal Sector ................................................................................................................19 1.5. Labor Market....................................................................................................................20 1.5.1. Labor Market Overview...............................................................................................20 1.5.2. Employment Structure .................................................................................................21 1.5.3. Inactivity ......................................................................................................................22 1.5.4. Unemployment Structure .............................................................................................23 1.5.5. Wages...........................................................................................................................24 1.5.6. Active Labor Market Policies......................................................................................25 1.6. Education .........................................................................................................................27 1.6.1 General Education.......................................................................................................29 1.6.2 Pre-school education...................................................................................................31 1.6.3 Higher Education ........................................................................................................32 1.6.4 Vocational Education ..................................................................................................33 1.7. Migration and Remittances ..............................................................................................34 1.8. Demographic Trends........................................................................................................36 1.9. Territorial Disparities.......................................................................................................37 1.10. National Minorities ..........................................................................................................38 1.11. Conclusions......................................................................................................................38 Annex1. General Tables ...........................................................................................................42 Chapter 2: Social Protection in Georgia.......................................................................................54 3 Institute of Social Studies and Analysis 2.1. Transformation of Social Protection System in post – Soviet Georgia ...........................54 2.2. Current situation...............................................................................................................57 2.2.1. Monetary social protection programmes (cash benefits) implemented by the Georgian government ............................................................................................................................58 2.2.2. Non-monetary social protection programmes (in-kind benefits) implemented by the Georgian government............................................................................................................62 2.2.3. Social protection programmes implemented by regional governments and municipalities in 2009 ...........................................................................................................66 2.2.4. Social protection channels of international organizations..........................................68 2.2.5. Current and Possible Areas of future European Commission intervention in the Social Sector..........................................................................................................................69 2.2.6. Role of NGOs in implementation of social assistance.................................................71 2.3. Conclusions and recommendations..................................................................................71 Annex 2.1. Main statistical indices............................................................................................73 Annex 2.2. TSA methodology..................................................................................................77 Works Cited...............................................................................................................................78 Chapter 3: Poverty and Social Exclusion ......................................................................................79 3.1. Introduction......................................................................................................................79 3.2. Historical Perspective ......................................................................................................80 3.3. Methodology of measuring Poverty in Georgia...............................................................82 3.4. Absolute poverty indicators in relation to the subsistence minimum threshold .............84 3.5. Comparison of different poverty thresholds used by different agencies and poverty rate in relation to these thresholds (2004-2009) ...............................................................................88 3.6. Material Deprivation (housing and living conditions).....................................................89 3.7. Poverty Risk Groups ........................................................................................................91 3.8. Indirect indicators measuring the socio-economic level of households...........................96 3.8.1. Health ..........................................................................................................................96 3.8.2. Access to Education.....................................................................................................97 3.9. Social exclusion ...............................................................................................................98 3.9.1. National Minorities......................................................................................................98 3.9.2. Roma..........................................................................................................................104 3.9.3. Eco-migrants .............................................................................................................106 3.9.4. People with disabilities..............................................................................................108 3.9.5. IDPs...........................................................................................................................110 3.9.6. Street Children...........................................................................................................112