Advanced Copy PROMOTING INCLUSION THROUGH SOCIAL PROTECTION Report on the World Social Situation 2018 Advanced Copy Advanced Copy ST/ESA/366 Department of Economic and Social Affairs Promoting Inclusion through Social Protection Report on the World Social Situation 2018 United Nations New York, 2018 Advanced Copy Department of Economic and Social Affairs The Department of Economic and Social Affairs of the United Nations Secretariat is a vital interface between global policies in the economic, social and environmental spheres and national action. The Department works in three main interlinked areas: (i) it compiles, generates and analyses a wide range of economic, social and environ- mental data and information on which States Members of the United Nations draw to review common problems and to take stock of policy options; (ii) it facilitates the negotiations of Member States in many intergovernmental bodies on joint courses of action to address ongoing or emerging global challenges; and (iii) it advises interested Governments on the ways and means of translating policy frameworks developed in United Nations conferences and summits into programmes at the country level and, through technical assistance, helps build national capacities. Note The designations employed and the presentation of the material in the present publica- tion do not imply the expression of any opinion whatsoever on the part of the Secre- tariat of the United Nations concerning the legal status of any country or territory or of its authorities, or concerning the delimitations of its frontiers. The term “country” as used in the text of this report also refers, as appropriate, to territories or areas. The designations of country groups in the text and the tables are intended solely for statis- tical or analytical convenience and do not necessarily express a judgement about the stage reached by a particular country or area in the development process. Mention of the names of firms and commercial products does not imply the endorsement of the United Nations. Symbols of United Nations documents are composed of capital letters combined with figures. ST/ESA/366 United Nations publication Sales No. E.17.IV.2 ISBN 978-92-1-130340-7 eISBN 978-92-1-361547-8 Copyright © United Nations 2018 All rights reserved Advanced Copy iii Preface The 2030 Agenda for Sustainable Development and its Sustainable Development Goals (SDGs) represent our shared vision of humanity. We can only achieve the SDGs by ensuring that people and our planet are at the centre of our development efforts, leav- ing no one behind. All nations—developed and developing, large and small—face complex chal- lenges. Humankind has achieved unprecedented social and economic progress in recent decades, but progress has been uneven. In a world of unprecedented wealth, extreme poverty persists. High and rising inequality continues to afflict many coun- tries. People across the world confront the daily realities of unemployment and social exclusion. Differences in ethnicity, race, age, gender, disability and economic and migrant status continue to be used to exclude and marginalize. Social protection is a key policy tool to promote far-reaching improvements in human well-being. It has served as a powerful lever to reduce poverty and inequality. It has furthered inclusive economic growth. It has shielded individuals and families in times of crisis and has helped improve children’s health and education. Together with access to quality services, universal access to social protection has proven necessary to break the intergenerational cycle of poverty and promote inclusion. The international community’s consensus on the importance of social protec- tion has been reinforced with the adoption of the 2030 Agenda for Sustainable Devel- opment. Despite rapid progress in extending social protection in many countries, however, access to social protection is not yet a reality for a majority of the world’s population. Even in countries with comprehensive social protection systems in place, poverty persists, particularly among children, youth, older persons, persons with dis- abilities, migrants, ethnic minorities and indigenous peoples. It is clear that countries need to do more to realize the right to social security for all people. The Report on the World Social Situation 2018 shows the potential of social pro- tection systems to promote inclusive development that leaves no one behind—to pre- vent poverty, reduce inequality and promote social inclusion. The report highlights that some groups of the population are unduly deprived of social protection in many countries and examines the barriers that these groups face. The report also illustrates how social protection programmes can be designed and implemented so as to be inclu- sive of disadvantaged groups. Understanding gaps in coverage and barriers to access is crucial to making social protection effective for all people. As the report indicates, every country can provide some form of social protection to its citizens. Expanding access to it is often a matter of design rather than affordability. I hope this report will serve as an important tool for countries and communities in their push towards universal social protection and as they move forward to achieve the SDGs. Liu Zhenmin Under-Secretary-General for Economic and Social Affairs Advanced Copy iv Promoting Inclusion through Social Protection Acknowledgements The Report on the World Social Situation, prepared biennially, is the flagship publica- tion on major social development issues of the Department of Economic and Social Affairs (DESA) of the United Nations Secretariat. The present issue of the report was prepared by a team managed by Wenyan Yang in the Division of Social Policy and Development (DSPD). The report’s core team, led by Marta Roig, also included Maren Jiménez and Jonathan Perry. Catalina Gómez, of UNICEF, prepared chapter II of the report. Valuable inputs were provided by other colleagues as well, including Julia Ferré, Julie Pewitt, Laura Planas and Robert Venne. Julie Pewitt also provided crucial assistance through the report’s preparation process. Editorial and design input were provided by Lois Jensen, Damien Simonis and the Graphic Design Unit of the Department of Public Information (DPI). The analysis contained in the report was based in part on background papers prepared by independent experts Stephen Kidd, Stephen Devereux and Gillette Hall. The team is particularly grateful to Stephen Kidd for his invaluable guidance and sup- port during the preparation of the report. The report benefitted from feedback by colleagues in DSPD, other divisions and offices of DESA, the International Labour Organization (ILO) and the United Nations Regional Commissions as well as other experts from outside the United Nations sys- tem. Special thanks go to the Social Protection Department of the ILO, for their advice and assistance in preparing the report, and to UNICEF, for generously contributing chapter II. We are grateful to all of those who have contributed. Advanced Copy v Contents Page Preface .................................................................. iii Acknowledgements ....................................................... iv Explanatory notes ......................................................... ix Executive summary........................................................ xiii Introduction .............................................................. 1 I. Social protection and social progress..................................... 5 Key messages ......................................................... 5 A. Social protection systems in context ................................. 5 1. Concepts and definitions....................................... 5 2. Social protection and the international development framework . 6 3. Trends in social protection coverage ............................. 8 B. The impact of social protection on well-being......................... 9 1. Reducing income poverty and inequality ......................... 9 2. Improving other dimensions of well-being........................ 12 3. Beyond social protection: the impact of fiscal policy ............... 14 C. Social protection and inclusion ..................................... 16 1. What drives exclusion from social protection? .................... 16 a. Gender dimensions ....................................... 17 b. Informal employment and social protection.................. 18 c. Spatial disadvantage ...................................... 20 2. The role of policy in promoting inclusion......................... 21 Conclusions .......................................................... 23 II. Childhood: when social protection is most crucial.......................... 25 Key messages ......................................................... 25 Introduction.......................................................... 25 A. Risks and disadvantages faced by children ........................... 26 B. Ensuring social protection reaches children: gaps and challenges ....... 27 C. Expanding access to social protection for children .................... 30 1. The impact of social protection on children’s well-being............ 30 2. Children and social protection: lessons learned ................... 31 Conclusions .......................................................... 32 III. From youth to adulthood: risks and opportunities ......................... 33 Key messages ......................................................... 33 Introduction.........................................................