Data collection on benefit recipients (SOCR) Updated figures and links with ESSPROS databases
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1 ESSPROS - Working Group "Social protection" Luxembourg, march 2015 Data collection on benefit recipients (SOCR) Updated figures and links with ESSPROS databases Rodrigo.FERNANDEZ@oecd.org OECD Social Policy Division 1
2 Outline 1. Context and motivation 2. SOCR after the 3 rd round of questionnaires 3. Scope: What working-age programmes are priority? 4. Linking SOCR with ESSPROS (and other databases) Coverage of priority programmes in other databases Linking in practice: ESSPROS [function, scheme] pairs 5. Conclusion 2
3 Context and motivation Since 2010, the EC and the OECD have been working on an ambitious pilot project aimed at collecting information about the recipients of main cash transfers in the OECD and EU countries. In 2014, ESSPROS Working Group delegates agreed to prioritise data collection on recipients of working-age benefits as one of a number of desirable ESSPROS extensions. Therefore, data collection about benefit recipients is included in the Item 12.2 of the Agenda (ESSPROS Task Force: Potential Topics). The aim of this presentation is to provide relevant information about this topic and feed the discussion about ESSPROS taskforce priorities. 3
4 SOCR update (1) Three rounds of data collection: In 2011 (2007 & 08 data), in 2012 (2009 & 10 data), in 2014 (2011 & 12 data) Main changes in latest round Simplified methodology and questionnaire Reduced size through identification of PRIORITY programmes and statistics Programmes (functions) included Variables included SOCR (full) All branches except ALMP and HEALTH Income replacement paid in cash on a regular basis Cash housing, partial unemployment and some tax credits Not included: child benefits, grants, lump-sum benefits and other supplements Annual and quarterly recipients stocks Sex and 65+ breakdowns Inflows, Outflows Average amounts Stocks adjusted for double counting (annual and quarterly, within branches) SOCR (priority) Working-age benefits Main schemes (in terms of recipients) Benefits very sensitive to the economic cycle Annual recipients stocks 65+ breakdowns Inflows Annual stocks adjusted for double counting (within branches) 4
5 Number of programmes SOCR update (2) Response rates are better than in previous rounds. Out of 40 countries 3 countries (2 EU) did not respond, 3 countries (2 EU) partially responded 32 countries (24 EU) addressed the full questionnaire Information is also more complete SOCR annual stocks availability by branch ALL PROGRAMMES Available Not available % 300 9% % 7% 93% 89% 9% 8% 91% 92% 7% 93% 17% 11% 83% 89% Notes 1) Sick leave benefits are included in Incapacity. ESSPROS includes them in the SICKNESS branch. 2) Partial unemployment benefits are included in In-Work. ESSPROS includes them in the UNEMPLOYMENT branch. 5
6 Thousands SOCR update (3) 6-year recipients stocks time series are available for most benefits Social Assistance & Lone Parents - Estonia benefits paid benefits paid / poor working-age population Source : OECD - SOCR database Note: aggregates are not adjusted for double counting Social Assistance & Lone Parents - Estonia Programmes Care benefit Subsistence Benefit Total Aggregates poor working-age population benefits paid benefits paid / poor working-age popul
7 Thousands SOCR update (3) Unemployment Benefits - France benefits paid (average) benefits paid / unemployed Source : OECD - SOCR database Note: aggregates are not adjusted for double counting Unemployment Benefits - France Programmes Jobseeker's benefit Specific solidarity benefit Total Aggregates unemployed benefits paid (average) benefits paid / unemployed
8 Thousands SOCR update (3) Disability Pensions - Hungary benefits paid (average) benefits paid / working-age population Source : OECD - SOCR database Note: aggregates are not adjusted for double counting Disability Pensions - Hungary In 2012, several changes to the way of reporting pensions were introduced: - Annuity for reduced working capacity and Disability pensions and accident related pension were discontinued. - Instead, the Disability benefit and the Rehabilitation benefit were created. Programmes Notes on units Disability pension and accident-related pe (a) individual recipients, average or point-in-time Disability benefit (a) (a) (a) (a) (a) individual recipients, average or point-in-time Disability Support individual recipients, average or point-in-time Rehabilitation benefit (a) (a) (a) (a) (a) individual recipients, average or point-in-time Annuity for reduced working capacity (a) individual recipients, average or point-in-time Disability Annuity individual recipients, average or point-in-time Agricultural cooperative benefits for disability (m) (m) (m) (m) (m) (m) individual recipients, average or point-in-time Total Aggregates working-age population benefits paid (average) benefits paid / working-age population
9 Priority programmes (1) Social expenditure is collected for all branches (Eurostat, OECD) Systematic monitoring of recipients is essential Possible extensions of ESSPROS framework Country administrations and international organisations have limited resources Focus on most important programmes? but, how to decide which programmes are important? Priority branches for recipients data collection? Main income replacement programmes Focus on benefits for working-age people/families Unemployment, In-work, Social Assistance (Lone Parents?) and Housing? Pensions already being collected by Eurostat Exclude : Old-age, Survivors, Work accidents payments, Sick Leave, Maternity and Parental Leave, Early retirement for labour market reasons? 9
10 Priority programmes (3) Example of a selection of priority programmes. Working-age programmes in AUSTRIA. Only 5 programmes! English name Local name Branch Sub-branch Means-test Recipients 2012 Short Time Working Allowance Kurzarbeitsbeihilfe In-work In-work benefits Non means-tested Unemployment benefit Arbeitslosengeld Unemployment Unemployment compensations Non means-tested Unemployment assistance Notstandshilfe Unemployment Unemployment compensations Means-tested Rent allowance Mietbeihilfe Housing Housing benefits Means-tested Housing assistance Wohnbeihilfe Housing Housing benefits Means-tested Bedarfsorientierte Minimum income benefit Mindestsicherung Other-Social Income maintenance Means-tested SOCR Programmes appear by the name commonly used by administrations How easy/difficult is to identify them in the ESSPROS framework? Example: the Minimum income benefit ESSPROS function : E _MT_Income_support? ESSPROS scheme(s): 21, 22? 10
11 Linking SOCR & ESSPROS (1) Information on priority programmes in other databases: ESSPROS Qualitative, ESSPROS Expenditure and ESSPROS Pensions module; SPC/ISG database, Euromod; OECD SOCX and OCDE TaxBen. Value in linking information across sources but not straightforward Differences in the way programmes are identified Differences in aggregation Translation issues Missing information Illustration for matching SOCR and ESSPROS data 11
12 Linking SOCR & ESSPROS (2) Recipients Descriptions Expenses ESSPROS Pensions ESSPROS Expenditure We matched SOCR programmes to [f,s] Couples in EQ OECD SOC-R ESSPROS Qualitative Programmes descriptions organised in a [function, scheme] matrix OECD SOC-X 12
13 Linking SOCR & ESSPROS (3) First step: identify the function The categorisation of programmes is slightly different ESSPROS OECD Group Function Code Branch Sub-branch SICKNESSS Paid sick leave (1) INCAPACITY Paid sick leave DISABILITY Disability pension INCAPACITY Disability pensions Early retirement benefit due to reduced capacity to work INCAPACITY Disability pensions? OLD AGE Old-age pension OLD AGE Pensions Anticiped old age pension OLD AGE Pensions Partial pension OLD AGE Pensions SURVIVORS Survivors' pension SURVIVORS Survivor pensions FAMILY/CHILDREN Income maintenance in the event of childbirth FAMILY Parental leave Parental leave benefit FAMILY Parental leave Other periodic benefits? FAMILY Lone parents benefits UNEMPLOYMENT Full unemployment benefit UNEMPLOYMENT Unemployment compensations Partial unemployment benefit (2) IN-WORK In-work benefits Early retirement benefit for labour market reasons UNEMPOLOYMENT Early retirement for market reasons SOCIAL EXCLUSION Income support OTHER SOCIAL Income maintenance HOUSE Other rent benefit HOUSING Housing benefits Note: Classification discrepancies exist between SOCR and ESSPROS 13
14 Questionnaire English Linking SOCR & ESSPROS (5) The next step is to identify the scheme(s) in ESSPROS Qualitative Example Priority working-age benefits in Germany ESSPROS Qualitative excerpt: Description Scheme6 Scheme29 Name_of_scheme Unemployment assistance and other promotion of employment Basic income support for job-seekers (Arbeitslosenhilfe und sonstige Arbeitsförderung) (Grundsicherung für Arbeitsuchende) U _MT_Full_unemployment_benefit Unemployment assistance amounts to 57% (for unemployed persons with children) or 53% of the standardised net earnings lost on account of unemployment. It is reduced by the amount of income and property that is taken into account under the means test. The means test takes into account the income of the unemployed person, of his or her spouse unless they have permanently separated, or of his or her partner in a marriage-like partnership insofar as such income exceeds a defined limit. In general all the marketable assets of the unemployed person and his or her spouse are taken into account insofar as they exceed the property exemption threshold of 200 (or 520 for persons born before 1 January 1948) for each year of life of the unemployed person and his partner, subject to a maximum limit of 13,000 (or 33,800 for persons born before 1 January 1948). Entitlement to unemployment assistance is, as a rule, not limited in time, but ends at the latest with the month in which the unemployed person completes 65 years of age. Subsistence allowances for job-seekers are provided for employable persons in need of help and their households ("communities of need"). 14
15 Linking SOCR & ESSPROS (4) The next step is to identify the scheme(s) in ESSPROS Qualitative Example Priority working-age benefits in Germany SOCR category ESSPROS category English name Local name ESSPROS Scheme Unemployment Unemployment Unemployment benefit I Arbeitslosengeld 5 Unemployment Unemployment Basic income support for job seekers Grundsicherung für Arbeitssuchende (Arbeitslosengeld II und Sozialgeld) In-work Unemployment Short-term work benefit Kurzarbeitergeld 5 6 (29?) Incapacity Disability Pension for reduced earning capacity Rente wegen verminderter Erwerbfähigkeit 1 Incapacity Disability Occupational accident insurance pension Incapacity Disability Farmers' pension for reduced earning capacity Incapacity Disability Disability pension for liberal professions Incapacity Disability Disablility pension for civil servants Renten an Versicherte der gesetzlichen Unfallversicherung nach Arbeits- oder Wegeunfall Renter wegen verminderter Erwerbsfähigkeit der Altersicherung der Landwirte Berufsunfähig- keitsrente der berufständischen Versorgungswerke Berufsunfähig- keitsrente der Beamtenver-sorgung Housing House Housing benefits Allgemeines Wohngeld 25 Other Social Social exclusion Social Assistance Sozialhilfe - Hilfe zum Lebensunterhalt 22 15
16 Linking SOCR & ESSPROS (6) Most SOCR programmes well identified in ESSPROS Qualitative Programme name in the original language makes identification easier; In some cases, E-Q information is not sufficiently clear; Even when a programme is perfectly matched with a [f, s] pair, associated expenditure cannot be identified by programme because/if aggregated with other programmes within same [f, s] Single programmes can be funded by several schemes SOCR (priority): scope relative to other databases OECD TaxBen models only child allowances not covered by SOCR ISG data collection covered by SOCR ESSPROS Pensions SOCR is a sub-set of E-P covering more than 90% of recipients (since some schemes targeted on small/very specific groups are not included) 16
17 Conclusion Third round of SOCR questionnaires done in 2014 Simplified questionnaire and methodology Better response rate and data more complete Recipients stocks adjusted for double counting remain very incomplete A limited number of priority working-age programmes identified In the case of an extension of ESSPROS Pension module to these programmes the additional burden will often be moderate A matching between SOCR (priority) and ESSPROS Qualitative was done. A compete list will be provided to the EC in the final report of the project Most programmes identified links to Pensions and Expenditure modules Translation problems detected Some lack of information in ESSPROS Qualitative detected 17
18 For discussion New round of SOCR questionnaires in 2016 Eurostat task force to specify a systematic data collection for working-age benefits Thanks!! 18
19 Extra slides 19
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Labour Market Profile - The profile brings together data from several sources. Details about these and related terminology are given in the definitions section. Resident Population Total population (2017)
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Labour Market Profile - The profile brings together data from several sources. Details about these and related terminology are given in the definitions section. Resident Population Total population (2017)
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