Introduction to Social Protection Benefits for Old
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Introduction to social protection benefits for old age Department of Social Welfare, Ministry of Social Welfare, Relief and Resettlement 18 July 2013, Nay Pyi Taw, Myanmar Introduction The workshop “Introduction to social protection benefits for old age” was held in Nay Pyi Taw on 18 July 2013 and brought together staff from the Department of Social Welfare (DSW) of the Ministry of Social Welfare, Relief and Resettlement and other line ministries. The workshop came in the context of growing discussion on the areas of social protection and ageing in Myanmar, and an existing specific proposal by DSW for a cash transfer to older people. The aim of the workshop was to give an introduction to social protection benefits in old age (with a focus on social pensions) and provide space for government stakeholders to discuss key questions to consider if one is to be introduced in Myanmar. Minister’s speech Dr Myat Myat Ohn Khin, Minister of Social Welfare, Relief and Resettlement began by describing how the Myanmar Government has been implementing series of reform agenda since it took office and we are making significant results from the recent changes. In this transformation, we should be aware of the changes in social protection sector are very critical. Social protection sector plays a vital role in the country’s long-term socio-economic development strategy. Without progress in social protection sector, there will be no political stability and progress in the country. The Ministry is working together with different partner agencies to ensure the progress in social protection, which is basically a means to reduce the socio-economic risks of every citizen. In every society the older people are vulnerable to socio-economic disaster therefore protecting and supporting them is a must-to-do task. Currently older people comprise 10 per cent of the country’s population. It is expected that the number will rise to 15 per cent in 2030 and 25 per cent in 2050. Currently only a few people receive pension and benefits, so it’s time to address those who do not. Ministry of Social Welfare, Relief and Resettlement has a number of present and planned initiatives for supporting older people. The Ministry is going to open a social care for older people in Yangon and continue to work together with HelpAge International and other agencies implementing rural development for ageing projects, home-based elderly care programme and so forth. In terms of Social Protection for older people we need to learn from the experience of the international community and adopt good practices. I would like to urge all participants to do as much as you can. Please feel free to discuss about way to improve the lives of older people in the following workshop. Introductory session U Aung Tun Khaing, Deputy Director General at the DSW (Ministry of Social Welfare, Relief and Resettlement) began the introductory session by describing how in 2008 the Department began a programme of work on social protection for children, older people, people living with disability (PWDs) and women. The President gave instruction that older people should be included in social protection, and that it should be linked with wider poverty reduction. Ageing is included in Myanmar’s national development plan and currently DSW is in the process of developing and ageing policy. A core component of the policy will be to strengthen Older People Self-Help Groups (OPSHGs) as well as creating a mechanism to help these grassroots groups form at township-level, district-level, regional-level and as a national-level older person’s federation. We have to learn from the experience of other countries and adopt good practice. In terms of social pensions we need to learn which designs exist in different countries, and what is the best for our country. Moreover, we will have to consider how to finance a social pension, while taking account of the Myanmar context and what constitutes a culturally appropriate programme. Tapan Barman, Country Director for HelpAge International in Myanmar welcomed participants and said how pleased HelpAge was to co-host this workshop with the Department of Social Welfare, and with funding support from BMZ of Germany. The purpose of this workshop is to support the Government of Myanmar as it takes practical steps to expand social protection in the country, specifically as it applies to the older population. The Ministry of Social Welfare, Relief and Resettlement has a critical role as one of two focal ministries, along with the Ministry of Labour, to help guide this national development on social protection. For HelpAge, support for social protection is one of our core global themes. We realise that there are some groups in society, including some older people, who may be neglected or forgotten without extra assistance. The government as duty bearer has a role to make sure the weakest and most vulnerable persons in society are cared for. While social protection for vulnerable older people is our specific concern, we also realise that older people are only one of many vulnerable groups in society. By focusing on the needs of vulnerable older people, we also aim to collaborate with others in supporting the government to assist other vulnerable groups, including children, women in difficult circumstances, people with disability and others. This workshop today will focus on social protection benefits for old age as this is one proposal previously discussed by the government and already included in its development plans. The workshop will present how other countries around the world have approached the challenges of implementing a social pension. Traditionally, the family has cared for older people in Myanmar, but we need to remember that the situation is changing rapidly. Older people in the future will have fewer children to care for them. This is because families are becoming much smaller and children are looking for work away from their traditional homes. With the experience and lessons from other countries in Asia and elsewhere, we hope this workshop will help the Government of Myanmar to plan and consider the best options for social protection for older people which are suitable for the Myanmar context. 2 Introduction to social protection benefits for old age Session 1: Setting the scene The first session aimed to introduce key concepts relating to social protection benefits in old age, and provide an overview the case study of Vietnam Charles Knox-Vydmanov from HelpAge International provided a background to the question of social protection benefits in old age, asking questions such as what is social protection, why is it of growing interest, where does old age fit in, and what are the options available. Definitions of social protection vary from country to country, and across different organisations but all see it as a response to the risks, shocks, and stresses that individuals, households and their communities are exposed to. These stresses can be broadly divided into two groups, i.e., short-term shocks (such as a natural disaster or economic downturn that last for a contained period of time, but often affect a large part of the population all at ones) and life-course risks and vulnerabilities (such as childhood, disability and old age that exist in all communities and nations of the world). Social protection can be seen as a set of policies and programmes that aim to protect people from these shocks and stresses in order that they do not push them into vulnerability, and poverty. Different definitions vary in which specific interventions can be considered social protection. Traditionally, the definition has focused on cash or in-kind transfers that aim to ensure income security, but some definitions also include basic social services (such as health and education) and active labour market policies. For purpose of this workshop, the discussion was limited to the income-focused components of social protection. These tend to consist of “safety nets” that aim to support people through short-term shocks, and “social security” as a set of policies to support people through life-course risks. Examples of social security include such policies as child and orphan grants to respond to vulnerabilities of being a child, unemployment insurance and widows allowance for persons of working age, and pensions to provide security in old age. Disability benefits also span across the life course. Social protection has a long history, having been articulated as a human right in 1949, as part of the Universal Declaration of Human Rights. It is also a big part of the business of government in more developed countries. Most OECD countries spend over 10 per cent of their GDP on social security, and old age benefits make up a substantial share of this. However, it is only recently that social protection has gone from being seen as a luxury for richer countries, to something of relevance for low- and middle-income countries. This change in thinking has been fuelled by the example of a number of lower income countries that have introduced social protection schemes, showing that they have major developmental impacts, and are affordable. So where does old age fit into social protection systems? Old age is one of the greatest challenges that all of us are set to face during our lives, and this appears to be no different in Myanmar. The population of Myanmar is ageing rapidly, and by 2050 nearly a quarter of the population will be aged 60 and over. Evidence from the recent Survey of Older Persons (2012) shows that - as a result of disability and health issues – only a third of older people continue to work into old age. The family – and particularly children – provide the main source of income for most older people.