Define "Social Welfare Policy" (in the UK)?

[James]

Been looking on the internet for what the "Social Welfare Policy" actually is so I can do my assignment about how it affects businesses, but strangely came up empty.

So define "Social Welfare Policy"

[David Salti]

Social Welfare Policy

Definition:

Policies that seek to protect and directly improve peoples standard of living

Areas:

old age programs (e.g., pensions)
unemployment
sickness/disability
social assistance/ poverty alleviation
health/medical care
environmental policy

Social Policy and government spending

Social policy expenditures are between 50% and 60% of government spending.

In the US, public social spending is overwhelmingly (indeed, almost totally) centered on programs for the elderly.

In other countries, especially Germany, Netherlands and Sweden, this is less the case.

Non-Public Social Spending

Social policy is not only direct government spending.

Public (health, pension, unemployment)
Private Mandatory (sickness payments)
Private Voluntary (private pensions, health)

In Europe 90% of social spending is public (except Netherlands and UK), in the US around 67%.

Net Social Spending Results

Net social spending indicates that private social spending adds significantly to social spending in some countries and subtracts in others.

The US and UK catch up.
Sweden, Netherlands and Italy fall back.

This suggests that government is quite involved even in "market oriented" countries, via private benefits.

Implications of Private Mandates

Seem to be an alternative to public sector

They can simply reinforce/exacerbate inequalities.

Coverage of employers

w.r.t. those with which incomes getting protection



Varieties of Welfare States

Four types

Liberal

most market conforming
residualist, minimum benefits/means-testing
private insurance
stigmatizing
life-chances linked to returns in market

Conservative

market conforming, but status preserving
compulsory insurance, but corporatist groupings
non-residualist
family preserving/ Catholic basis
greatest variance in income distribution and benefit quality
life chances linked to station/profession and market
limited/no benefit for those not participating

Socialist

least market conforming
universalist tax/basic benefits with decent quality
state provided tiered benefits for earnings
individually based
less income inequality
tax-insurance financed

Radical

means-tested, but guaranteed minimum income
tax financed