Conference on Social Inclusion in Eastern Europe and Central Asia Towards Mainstreaming and Results

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Conference on Social Inclusion in Eastern Europe
and Central Asia Towards Mainstreaming and
ResultsSponsored by the World Bank and the
Government of Hungary Budapest, 25-26 September
2007

• CCT Jamaican Case Study
• Presented by
• Faith Innerarity

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Outline of Presentation

• Overview
• Profile of Jamaica
• Social Safety Reform
• Design of PATH
• Results
• Institutional and Legislative Framework
• Educational impact
• Health impact
• Impact on elderly
• Challenges and Way Forward

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Country Profile

• Jamaica is located in the North Western section
  of the Caribbean Archipelago, 145 kilometres
  south of Cuba, 161 kilometres west of Haiti and
  898 kilometres south east of Miami. With an area
  of 10,991 square kilometres, it is the third
  largest island in the Caribbean.
• According to the 2001 Census, the population size
  is 2.6 million.
  
• It is a middle-income country with a GNP per
  capita of US2,900 (World Bank Development
  Indicators July 2005).
  
• The level of human development has been
  classified as medium range by the United Nations
  Development Programme (UNDP).
  
• Multi-ethnic population, with majority of African
  descent

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MAP OF JAMAICA
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Social Policy Agenda Jamaica

• Integration of economic and social Policies to
  achieve macro-economic stability while
  simultaneously pursuing social development
  objectives.
• Re-orienting social sector spending for increased
  equity and human development.
  
• Promotion of social inclusion through the
  reduction of poverty, risk and vulnerability
  among disadvantaged groups.
  

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Social Safety Net Reform Rationale

• Analysis of social safety net programmes in
  1999-2000 led to recognition of need to
  
• Remove fragmentation and duplication in provision
  of social assistance benefits
  
• Develop system for more cost effective delivery
  of benefits
  
• Improve targeting of beneficiaries
• Increase coverage of the poor
• Adopt more developmental rather than welfare
  approach by establishing link between benefits
  and human capital investment
  

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PATH Principal Design Features

• Institutional changes Merger of principal
  social assistance programmes, new legislative
  framework, strengthening of institutional
  capacity in programme management
• Use of scientific targeting mechanism
• Introduction of conditional cash transfers to
  support human capital investment in education and
  health
  
• Case management

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PATH TARGET GROUPS and BENEFICIARIES


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Programme Outcome Administrative Efficiency

• Increased efficiency in programme delivery
  including significant reduction in administrative
  cost
  
• Payments made to beneficiaries in more dignified
  manner (cheque payment through post offices and
  Cash Cards)
  
• Social workers interact more closely with
  beneficiaries
  
• Beneficiaries have access to wider range of
  social benefits

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Programme Outcome Targeting

• From the standpoint of redistribution and
  coverage of the poorest and most vulnerable PATH
  has been fairly successful in terms of its
  targeting mechanism.
• However, concerns in terms of errors of inclusion
  and exclusion have had to be addressed.

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PATH Relative to Other Social Programmes
Distribution of Households Receiving Benefits by
Quintile
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PATH Beneficiaries by Quintiles and Ar
ea

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PATH Beneficiaries Household Characteristics
Source PATH Participant Survey 2003, JSLC 2002
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Targeting Outcome Exclusion Errors Urban Poor

• Beneficiary Identification System (BIS) has had
  to be reviewed to address, among other issues,
  the disproportionate selection of households from
  urban centres including the Kingston Metropolitan
  area.
• This is linked to the complexity of having a
  single poverty measurement instrument that can
  adequately capture the distinguishing features of
  rural versus urban poverty.

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Distribution of PATH Beneficiaries Compared w
ith Distribution of Poor and Share in Total
Population
By Parish (Percentages)
Based on Population Census 2001
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Education Outcome

• PATH has resulted in increased school attendance
• There is, however as yet, no significant evidence
  that other outcomes such as advancement to the
  next grade or test scores have been impacted by
  participation in the programme.

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Education Compliance Rates
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Health Outcome

• There has been an increase in preventative health
  visits for children in the programme
  
• Health care visits for children 0-6 years
  increased by 38.
  
• As yet, there is no evidence of improvement in
  health status as a result of the programme
  

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Supply Challenges

• In respect of PATH compliance requirements a
  number of supply side difficulties have been
  encountered in relation to the physical and human
  capabilities of health facilities and schools.
• Specific concerns include the need to expand
  primary health care capacity at the community
  level and increase secondary school places for
  the 15-17 years age group for which a gap still
  exist.

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Need for Expanded Beneficiary Support Programmes

• In terms of the beneficiary households, the high
  cost of transportation, especially in rural areas
  has impacted negatively on affordability of
  schooling. Special measures are therefore
  required to address this issue.
• Availability of subsidised lunches has been found
  to be critical for attendance and in this regard,
  the School Feeding Programme needs to be
  strengthened.

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Slow Pace of Legislative Change

• The new social protection legislation, the
  National Assistance Act, which will repeal the
  Poor Relief Law of 1886, is critical for the
  achievement of the goals of the Social Safety Net
  Reform but the pace of legislative change has
  been slow.
• Finalization of post project institutional
  structure depends on passage of new legislation.
  

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Legislative and Institutional Framework
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Coverage Gaps

• Incidence of poverty 14.8 in 2005
• Poverty Line 2005
• Individual J63,717
• Family of five J240,816
• Estimated 394,000 persons are below the poverty
  line
  
• PATH covers 236,000
• Approximately 158,000 persons below the poverty
  line are not covered by PATH
  
• These are mainly the working poor

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Working Poor

• The working poor are individuals engaged in
  either paid or self employment who belong to
  households with an adult equivalent per capita
  household expenditure (or income) that falls
  below a specified poverty line (Labour Market
  and Poverty Studies Unit, University of the West
  Indies, Trinidad and Tobago)

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Working Poor Results of ILO Study

• Males dominate the working poor
• The working poor are clustered in the 25 to 44
  age group
  
• The working poor have lower levels of education
• The working poor are employed in a variety of
  sectors, but most are found in agriculture,
  community and social services, construction and
  wholesale/retail sales.
• The working poor work fewer hours than their
  non-poor counterparts
  
• In Jamaica 34 of the working poor are in
  agriculture.
  

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Coverage Gaps Elderly/Incapacitated

• Food Stamp programme catered to 88,641
  elderly/incapacitated persons in 2002 when it was
  merged with PATH.
  
• PATH currently provides benefits for 51,583
  elderly persons and 5,633 adults with
  disabilities between 18-59 years (57,216).
  
• Gap of over 32,000 exists in respect of number of
  elderly and persons with disabilities receiving
  social assistance benefits when both programmes
  are compared.
• It should be noted however, that some of the
  persons receiving Food Stamps were not below the
  poverty line.
  

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Distribution of National Insurance Scheme
Pensioners (2007)
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Coverage Gap Elderly
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Age Dimension of Poverty

• Children (0-18 years)are over-represented among
  the poor. They account for 52.3 of persons in
  poverty while constituting 38.2 of the overall
  population.
• Sixty one percent (61) of the poor are under 25
  years.
  
• Consistent with their overall share of the
  population, the elderly (60 years and over)
  account for 9.6 of the poor
  
• Source Economic and Social Survey of
  Jamaica 2001

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Long Term Options for Expanded Safety Net

• Welfare to work initiative focusing on persons in
  the economically active age-group in PATH
  beneficiary and other poor households.
  
• Young school leavers focus on school to work
  transition process with link to Jamaica Youth
  Employment Network (JYEN) and initiatives.
  
• Social pension
• Provisions for street and homeless persons

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Welfare to Work

• Training and job placement for members of
  beneficiary household in economically active age
  groups
  
• Promotion of entrepreneurial activities through
  revamped rehabilitation grant programme
  
• Community based interventions
• Provision of range of referral services

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School to Work Transition

• Support for PATH beneficiaries beyond age 17
  (8,000- 10,000 PATH School Leavers annually)
  
• Assistance for further education (Government
  guarantee of Students Loans)
  
• Stipend for skills training/apprenticeship
• Provision of Job placement services
• Promotion of Entrepreneurship (grants or soft
  loans for income generating projects)
  
• Training centre for Young persons with
  disabilities in Western Jamaica
  

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School to Work Transition

• Overall unemployment among the 14-29 years age
  group stands at 26.5 (35.05 for females and
  18.9 for males)
  
• At risk youth to be targeted
• Youths in rural areas and inner-city communities
• Youths with disabilities
• HIV/AIDS victims

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Social Pension

• PATH implementation highlighted immense need for
  income support to the elderly poor
  
• Significant coverage gap exists in respect of
  social insurance scheme with only approximately
  28 of persons 60 and above qualifying for
  benefits.
• Social (non-contributory) pensions are a valuable
  and strategic element of a minimum social
  security package. They also make important
  contributions to older peoples empowerment.

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Social Pension

• Social pensions are an effective way of reducing
  income and other forms of poverty among older
  people.
  
• Regular cash transfers also increase poor older
  peoples access to services, particularly health
  care.
  
• Most older people live and share resources with
  younger family members, therefore social pensions
  have a substantial impact on child well-being.
  
• Social pension can actually reduce rather than
  create dependency.

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Street and Homeless Persons

• Currently there are programmes implemented by
  the NGO community which target both children and
  adults on the streets, but a comprehensive social
  policy framework and Government intervention
  strategies are necessary for a greater impact.

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Street and Homeless Persons

• In the institutional arrangements for the Social
  Safety Net Reform, the issue of homeless/street
  people is one of the designated areas of
  responsibility for the Local Authorities.
• However, there have been discussions as to
  whether these persons should also be targeted for
  cash transfers under PATH, after a process of
  settlement in half-way houses and eventually
  permanent dwellings.

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Street and Homeless Persons

• Children living on the streets have also posed a
  particular difficulty as it is not prudent to
  provide them with cash which could be used to
  support delinquent behaviour patterns.
• Based on the design of PATH, they would need to
  be reconnected with a family unit in order to be
  assessed for benefits and meet programme
  conditionalities.

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• The End