Recent developments in social accounting The ILO Social Security Inquiry | SSI

Recent developments in social accounting

The ILO Social Security Inquiry | SSI

ADB/ILO/OECD/RCHSP technical workshop on social protection data (expenditure, financing and recipients)Seoul, 20 November 2008Florence Bonnet Social Security DepartmentInternational Labour Office (ILO)

The ILO Social Security Inquiry recent developments | Outline

Point 1 | The social security inquiry in a few words

Point 2 | Latest developments Geographic coverageTechnical improvementsContextual changes

Point 3 | One or two words about measure of coverage

Point 4 | Current situation

Point 1 | The ILO Social Security Inquiry Main objective

Building a knowledge base at the global level Objective: Collect, store and disseminate, on a regular and

sustainable basis, comparable statistics on social security systems/programs financing, expenditure, benefit levels and coverage.

Aimed at becoming an integrated and common database The central point for integration of part of more specific

departmental databases (micro insurance, actuarial activities, textual social security information)

Aimed at becoming a Common Database (non ILO « limited ») and available for all Systematic approach compatible with existing statistical

standards (Methodological framework based on ESSPROS and OECD) and with ADB SPI

Objective: collection and dissemination through alliances and partnerships with other Organizations

Point 2 | SSI Latest developments

The idea: consolidating and making the database attractive and useful to potential users and contributors both in terms of countries covered (from all

regions), data, indicators and functions available

The latest developments concern mainly Geographical extension Technical improvements of the online utility Other changes: development & improvement

of other databases to support the Social Security Inquiry and contextual changes

Point 2 | Geographical extension and consolidation

Including new countries All ADB countries (SPI data on expenditure and beneficiaries) are in SSI

with three exceptions where there were already some data Focus on countries with specific SECSOC projects with a data collection

component: e.g. Tanzania, Zambia, Mozambique in the last year Try to fill the gap for regions that are not yet or badly covered

Under process of data collection in the Middle East (building on social security specialists’ activities in the field)

Includes countries where information is found in annual reports and online: Mauritius, Israel, Costa Rica, Malta, Turkey, St Kitts&Nevis, etc.

Countries from OECD are now included: as a general principle, try to fill the gap regarding missing information both qualitative and quantitative

Completing and updating information for countries already in SSI: ISSA countries: Update and complete information for additional branches

(other than old age & employment injury) & discuss with ISSA the possibility data collection from their members to other branches

Start updating and completing — when possible — information for ADB countries (e.g. China, Pakistan, Philippines..) but still very partial

Point 2 | Geographical extension

Point 2 | Technical improvements

Changes in the indicators’ section New indicators | will be an ongoing process to answer to user needs

e.g. Desegregation of expenditure according to OECD classification of expenditure: public, private mandatory and private voluntary

New presentation including graphs Multi countries selection for a given indicator

Development of functions which facilitate inter-databases “direct or indirect links” Utility to import OECD data in SSI and to export SSI data for all

countries into OECD SOCX format [expenditure data] Automatic links and views between the various SECSOC databases

[Micro insurance, Social security expenditure, Programmes & mechanisms databases] as well as with the GESS platform

Work on the screens for a public free access to a limited set of information Indicators section, Macro data, List of scheme and scheme level of

information, list of benefits without detailed information

Point 2 | main page levels of information

What? Economic & financial

information Including national

social security data Population Employment

Sources International data

sources (automatic insertion)

National sources

National level

Core data in SSINational | scheme data

Scheme level

Automatic calculation of indicators

Overview SSI | Inventory of schemesPhilippines

Definition of each scheme- Name of the scheme - Type of scheme: Provident fund schemes Defined contribution schemes Defined benefit schemes

- Contributory | non contributory- Private (voluntary or mandatory) | public

If public, level of governmentNational, regional or local level

http://www.ilo.org/dyn/ilossiadmin/ssimain.schemes?p_lang=en&p_geoaid=418

Philippines | Pension [Social Security System]

Scheme and benefit informationPhilippines | Pensions - Social Security System (SSS)

General information at scheme level Target groups No. of affiliated members,

active contributors & Avg. gross earnings

Expenditure at the scheme level

Revenue at the scheme level

Benefits inventory

Expenditure associated to the benefitGuaranteed minimum: Yes | No Average benefit – and periodicity (Annual, Daily, Monthly) Total expenditure Unit Data quality

Number of beneficiariesStocks of beneficiaries at a given moment (i.e. end of reporting period)By sex and age group (0-14, 15-64, 65+)

Average benefit levelsAverage benefit in payment at a given date (i.e. in December each year)By sex and age group (0-14, 15-64, 65+)

Point 2 | From raw data to indicators Changes in the indicators section

Old age demographic protection ratio | Active contributors

Point 2 | Technical improvements Multi-countries selection

Point 2 | Technical improvements Export of SSI data in OECD format

Possible for any country available in the Social Security Inquiry

Export expenditure data in Excel format

In line with the structure of SOCX database for public and mandatory or

voluntary private programmes

branches (1-9) type of expenditure

(cash / in kind)

Point 2 | Developments of other complementary databases to support SSI

Expansion of other complementary databases to support the social security inquiry before future integration within SSI Expansion of the Social Security Expenditure database

Developed some years ago and based on existing international databases on social security Offers some information on social security expenditure, total and per branch and some basic contextual indicators collected from various existing international sourcesThe database counts at present more than 80 indicators It will be merged with the Social Security database

Update of the Mechanisms and Programmes database Related qualitative information, including existence of social security laws for the different branches, types of programmes, legal retirement age, maximum legal replacement rate, etc.

http://www.socialsecurityextension.org/gimi/gess/showpage.do?page=/wikissi/SSI_info/list_indic.htm

A Common database | Overview of latest changes

Data from ISSA Members

Ideal – Data entry online

ISSA

OECD SOCX

OECD SOCX Data

According to databases: raw data, performance indicators per country and for a set of countries, other indicators, survey data, methods, models to download, results

Output

Users Internal users and external users

Data from Excel – SPI&

Additional data (Report)

ADB -SPI

Export

Prod. of required indicators | tables

Micro-insurance

schemes DBOracle

Other ILO SP DB

SP Pgs & Mech. DB [Based on

ISSA/SSPTW]

- Raw data for SPEXP, SPCOV- Automatic of SPI calculation?

ADB

ILO-ISSA

comm

on DB

ISSA

Automated transfer of data compatible with

SSI

Social Security Inquiry – SSI

Insertion

OECD

ILO-ISSA

-OEC

D com

mon D

BILO

-ISSA-O

ECD

-AD

B com

mon D

B

ILO

OECD SOCX Data Data included - Semi-automatized

insertion and export are operational Would need to be completed with

information on beneficiaries and protected persons

SSI

New countries (including all OECD & ADB countries)

Countries in process of data collection

Consolidation of existing countries

Technical improvements

ISSA

On-going update and plan to be

expanded to other branches

ADB | SPI

Countries are included. Look for additional information & contributions for

completion & update

Other ILO| SECSOC databases

Development & update of complementary databases before future integration

Direct “views” into the “Mechanisms & programmes” and “Microinsurance databases” will be developed from SSI

Point 3 | Main questions on coverage data What do we want to measure?

Main questions about coverage

Estimate of coverage (as far as possible with an component that relates to the level of benefit) | Information on the number of persons covered and beneficiaries and their characteristics

Identification of potential beneficiaries and their characteristics Who are those who need to be covered? What are their needs? What are the risks there are facing?

What can be the options for extension of coverage?According to status in employment, priorities, ability to contribute

Evaluation of the programme, impact analysis, cost analysis

Calls for different BUT complementary types of data and methods of data collection:

Administrative data versus household survey data

Main questions about coverage Admin. data

Survey

Point 3 | Methodological issuesHow to measure coverage

Measuring coverage is not straightforward First

Measures of social security coverage need to be first established by function or policy area

People may have access to health care, but not to old age pensions, or vice versa. A differentiated approach to measuring coverage is necessary.

Aggregate coverage measures can be built (like SP index) only through aggregating separate coverage indicators for different policy areas or functions.

SecondCoverage against specific social risks and contingencies can be understood in two ways: Protected Persons and Actual Recipients (and even third one « legal coverage »)

ThirdImportance of the choice of numerator and denominator

FourthThe issue of double counting

the concept of Protected Persons relates to those groups of the population who are protected against a specific risk or contingency in case they would need it Active contributors Affiliated or protected persons

the concept of ‘actual recipients’ relates to those receiving benefits at a certain point in time

These two concepts are complementary to each other and should be assessed separately

Point 3 | The ILO social security as a tool to answer to at least one question

What can the ILO social security inquiry do in this respect? Provides indicators on Protected persons and Actual recipients for

different groups of the population and for each function Try to deal with double counting by making the difference between

Basic and supplementary benefits Looking at coverage by function limits in a certain extent the magnitude of

this issue Based on administrative data, it allows mainly to answer to the first

question: Estimate of coverage: Information on the number of beneficiaries

(and benefit level) and their characteristics Other questions will call for complementary data collection tools, mainly

surveys

Point 3 | The ILO social security Correlation between labour Force participation of population over 65 and Old age recipients ratio 60+ or 65+

0

10

20

30

40

50

60

70

80

90

0 10 20 30 40 50 60 70 80 90 100

Labo

ur fo

rce

part

icip

atio

n ra

te 6

5+

Old age recipients ratio 60+ or 65+

Bolivia

Mozambique

Burundi

Namibia

Lao PDR

Sri Lanka

Korea, Republic of

Japan

Mongolia*

KyrgyzstanUzbekistan

Azerbaijan

Viet Nam

Bhutan

Cambodia

Pakistan

Indonesia

India

Vanuatu

Philippines

China

Point 4 | Situation The inquiry is still in a development phase Including OECD countries, SSI includes almost one hundred

countries … with “some” data For most countries the picture of the social security system is

unfortunately incomplete, with a direct incidence on results for indicators More data on expenditure | Less on coverage & benefit level Lack of information on health

look for possible use of the work done in health accounting

At the country level, the main challenges still the same, they concern Production & quality of statistical information in particular in developing

countries Fragmentation of interventions: multiplicity of actors and higher share of

non governmental interventions (especially in developing countries) Deficit of coordination & network of social protection providers and

social protection statistics providers at the national level Difficult to get a global view at the national level of social protection

programmes, expenditure, and even more of coverage

Useful links ILO social security inquiry

http://www.ilo.org/dyn/ilossiadmin/ssimain.home?p_lang=en Username: SPI1 Password: welcome Public access | under development

http://www.ilo.org/dyn/ilossi/ssimain.home?p_lang=en

ISSA ISSA Website

http://www.issa.int/ social security statistics database

http://www.issa.int/engl/homef.htm

Micro-insurance scheme databasehttp://www.ilo.org/gimi/

The Social Security Programmes and Mechanisms database & the social security expenditure databasehttp://www.ilo.org/dyn/sesame/IFPSES.SSDBMenu

Platform on Global Extension of Social Security | GESShttp://www.socialsecurityextension.org/gimi/gess/

http://www.ilo.org/dyn/ilossiadmin/ssimain.home?p_lang=en

http://www.ilo.org/dyn/ilossi/ssimain.home?p_lang=en

http://www.issa.int/



http://www.ilo.org/gimi/showpage.do?page=/gimi/ressources/inventaire/home_en.wiki

http://www.ilo.org/gimi/showpage.do?page=/gimi/ressources/inventaire/home_en.wiki

http://www.ilo.org/dyn/sesame/IFPSES.SSDBMenu

http://www.socialsecurityextension.org/gimi/gess/

Point 5 | Plans and main orientations

In the short run, the strategy is to consolidate countries that are in the database (including

those under process of data collection) to achieve a situation that makes the database useful and attractive

to potential users and to potential contributors at the national, regional and international levels

To complete the development of the public access, to make it more visible and user-friendly

Concerning coverage The need for data on coverage is not to be demonstrated … Some data start to be available from the social security inquiry and

joint efforts are necessary to go ahead


They present a number of limitations due mainly To the nature of administrative data, their availability and

quality To the limited scope of these data allowing to answer only

partly to the questions raised about coverage For many (if not most) countries, the need to complete and

update the picture that is, at present, only partialThere is a need for data on all dimensions | branches and in particular on health coverage, where the needs are hugeFor Asian countries in particular: need for data on protected persons and not only beneficiaries, data differentiated by sex and if possible look for possible use of the work done in health accounting

There is a clear need for complementary tools of data collection on coverage The ILO has developed a module of questions to be

used in regular surveys and is ready to support any country that is ready to do so


On a on going basis and in the run

Collecting data is time and resource consuming and only a joint and collective effort of actors involved in this field could allow To build & consolidate the knowledge base To contribute to build capacity at the national level to

set up sound and effective information systems to monitor and manage social security schemes activities

To set up agreed and shared methodologies To test some complementary tools

Merci…..Thank you고마워요

Countries covered [1]

Countries covered [2]

Point 2 | Focus on OECD expenditure data in SSI

Preparation of data

Result

Planned

Benefits grouped when possible by scheme or programme Established correspondence between OECD classifications

and ILO functions and schemes | benefits features Add information as required in SSI when possible and

necessary Try to establish systematic default values based on the

information available in OECD SOCX database but would need further work country by country

A “semi-automatized” import procedure to insert data into SSI

As a general principle, try to fill the gap regarding missing information: Protected persons (contributors | affiliated; Beneficiaries and levels of benefit

For some countries, already start addingQualitative information (at the scheme and benefit

levels)Data on beneficiaries and level of benefits (ADB data,

annual reports, statistical reports) Australia, New-Zealand, Japan

Australia | Inventory of schemes

Point 2 | Focus on OECD expenditure in SSI

Australia | Unemployment scheme / programmeInformation at the programme level : Qualitative information, Sources and links, Quantitative information

Australia | Unemployment scheme – List of benefits

Australia | Unemployment – Mature Age Allowance (MAA)

The ILO internet platform on the global extension of social security | GESS

Databases are part of the Gess platform

And contribute directly to it, notably through country profiles

Micro-insurance

schemes DBOracle

Other ILO SP DB

SP Pgs & Mech. DB [Based on

ISSA/SSPTW]

ADB

ISSA

Social Security Inquiry – SSI

OECD

ILO

SSI | General events and activities that impact SSI visibility and influence SSI priorities

The development of the ILO internet platform on the global extension of social security | GESS A window to increase potential visibility for the database or inter-

related databases An interactive tool that makes possible direct contributions and

exchange of information Some direct links are already in place between the various

databases and the country profile pages displayed through the platform

Tripartite meeting of experts on the measurement of decent work 10 dimensions are identified to measure progress towards decent

work For social security dimension, 3 main indicators are identified

Public Social expenditure in % of GDP & of total government exp. Number of old age pension beneficiaries aged 60+ or 65+ in

percentage of the population aged 65+ Health expenditure not financed by out of pocket payment in

percentage of total health expenditure

Correlation between labour Force participation of population over 65 and Public non health social protection expenditure as percentage of GDP (2005)

y = -14.894Ln(x ) + 52.369

R2 = 0.7195

0

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50

60

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80

90

0 2 4 6 8 10 12 14 16 18 20 22 24 26Public non health social protection expediture

Mozambique

Uzbekistan

Denmark

Cy prus

Venezuela

y = -9.6863Ln(x ) + 30.657

R2 = 0.5944

0

10

20

30

40

50

60

70

80

90

0 2 4 6 8 10 12 14 16 18 20 22 24 26Public non health social protection expenditure

Mozambique

KyrgyzstanDenmark

J apan

Zambia

Recent developments in social accounting The ILO Social Security Inquiry | SSI

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