International Journal of Social Welfare, vol. 18, 2009, p. 163-172
Bolivia is the only Latin American state to provide a non-contributory pension for all of its older citizens. The scheme started life as the Bonosol, which was an instrument of a neoliberal strategy to privatise state-owned enterprises and pensions. It was financed not from the state budget but through dividends administered by private pension funds. It was challenged by the international financial institutions and abolished in 2007 by Bolivia's developmentalist government, which renationalised the privatised oil and gas sector on which it had relied for funding. The same administration later realised the benefit's potential contribution to its poverty reduction and social justice agenda and relaunched it with some improvements as the Renta Dignidad in 2008.
International Social Security Review, vol. 62, Apr.-June 2009, p. 77-99
The National Pension was introduced in Korea in 1988 and initially covered firms with more than 10 employees. It is a contributory employment-based scheme which calculates pension entitlements based on earnings and the length of the contribution period. The National Pension was gradually expanded after 1988 to cover more workers. In 2007, to extend coverage further, the government introduced a non-contributory but means-tested old age pension paying flat rate benefits. It also introduced credited pension coverage periods for persons who had raised two or more children and changed entitlement conditions for widows and widowers. The reform also reduced the generosity of the contributory benefits provided. This paper examines the implications of these policy changes for people with shorter working lives, for survivors and for the traditional social protection role played by the family.
Mehdi Ben Braham
International Social Security Review, vol. 62, Apr.-June 2009, p. 101-120
The pension systems of Algeria, Morocco and Tunisia are all financed on a pay-as-you-go basis. Different schemes provide coverage for different categories of workers: private sector employees, public sector employees and the self-employed. Focusing on legislative provisions and organisational structures, this article introduces the pension systems of the three countries, and identifies the weaknesses of each. It then simulates fictive career profiles and evaluates the generosity of the most important pension schemes in each country. The third section analyses different reform options with the aim of ensuring a similar level of pension income to future retirees and maintaining the financial equilibrium of the system
M. Lo Conte
Life & Pensions, January 2009, p. 12-15
This article examines the second pillar occupational pensions system and pensions reform in Italy, and how the different types of pension fund are performing from the point of view of government and Italian workers.
N. Barr and P. Diamond
International Social Security Review, vol. 62, Apr.-June 2009, p. 5-30
This article starts by stating the relevant economic theory on which pension system reform is based, addressing core analytical principles and common errors. The second part discusses implications for policy. A central argument is that the primary cause of the pensions crisis in many countries is a failure to adapt to very long-run trends: increasing life expectancy, declining fertility and earlier retirement. Pension systems with contribution rates, monthly benefits and retirement ages set for an earlier era are not consistent with the longer retirement periods implied by increasing life expectancy, an earlier average retirement age and the additional rise in dependency rates implied by declining fertility.
P. Frericks, R. Maier and W. De Graaf
Administration and Society, vol. 41, 2009, p. 135-157
Pension reforms in European countries show neoliberal tendencies towards introduction of private pension schemes and transfer of responsibility for old age provision from the state to the individual. Parallel developments have strengthened the regulatory role of the state and introduced care credits as a new form of income redistribution to those who have not built up pension entitlements through paid work. These developments are not in line with neoliberal policies. The new mix redefines the citizen's obligations and entitlements.