A Society for All-the Key to Sustainable Social and Economic Development
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1 A Society for All-the Key to Sustainable Social and Economic Development Finland s Experience Aino-Inkeri Hansson, Director General
2 The Finnish Success Story Finland has developed from a poor, agrarian, postconflict country to a wealthy society in 60 years- how did Finland do it? Equality Rule of Law and Human Rights Broad, comprehensive social policies balanced with economic policies Decent jobs created/maintained and work & family balance ensured Policies complemented by action plans, monitoring and evaluation Aino-Inkeri Hansson -
3 Facts from Finnish History- a Post-Conflict Developing country Low level of development at the turn of the 20th century- Autonomous Grand Dutchy WW I - Russian revolution Finland declared Independent Dec.6th, Finnish Civil War in 1918 Land reform 1920`s WW II- relocating 10 % of displaced population Several economic shocks ( for instance Depression in the 30`s) but the country was able to restructure the economy and ensure long term growth & combine it with equity and gender equality Aino-Inkeri Hansson
4 Steps Towards A Wealthy Welfare Society Free basic education for all investment in people and social cohesion - free school meals 1948 Social pensions 1939 (at income level of todayś Namibia) Maternity and child health clinics 1930`s Universal child allowances, maternity package 1949 (at the GDP/capita level of Brazil in 1974) Universal health insurance 1963 (at the level of Brazil in 2008) A coalition between workers and farmers, between men and women, and strong political will contributed to this development Aino-Inkeri Hansson
5 The Nordic Model of Welfare State Legislative universal rights of citizens/residents Strong, tax-funded public sector Decentralized service provision Extensive social protection A system endorsed by the people- democracy both on local and state level Moderate expenditure Sustainable also during the recession in the 1990`s Continuous reforms needed ( pension system, social insurance legislation) to reflect the changing environment Aino-Inkeri Hansson
6 Our strategic vision for Finland 2020 Socially sustainable Finland 2020 Sustainable development involves economic, social and ecological sustainability Aino-Inkeri Hansson
7 A socially sustainable society treats all members of society fairly, reinforces participation and a sense of community, supports health and functional capacity, provides the security and services required by its members Aino-Inkeri Hansson
8 Changes in the operating environment Globalisation Changes in technology and interaction Demographic change Changes in employment and working life Social and health policy Changes in the economy Pluralisation of society State of the living environment Regional development Aino-Inkeri Hansson
9 Strategic choices 1. A strong foundation for welfare 2. Access to welfare for all 3. A healthy and safe living environment Aino-Inkeri Hansson
10 Strategic choices/lines 1. A strong foundation for welfare Baking the cake Health and welfare in all policies Longer working careers through wellbeing at work Balancing the various areas of life Sustainable social protection financing 2. Access to welfare for all Sharing the cake Reduce differentials in welfare and health Customer-oriented services New service structures and operating practices Strong sense of social inclusion 3. A healthy and safe living environment A healthy bakery Strengthen the viability of the environment Ensure that society can continue to function under exceptional circumstances Aino-Inkeri Hansson
11 Implementation Putting policies into practice Cooperation secures welfare Active influence in international cooperation Knowledge-based decision-making Effective communication Aino-Inkeri Hansson
12 Strategy Indicators 1/2 Policy 1 A strong foundation for welfare Policy 2 Access to welfare for all Employment rate Birth rate Life expectancy Economic dependency ratio Perceived health among people of working age Functional capacity among people over 75 Percentage of overweight people in the population Alcohol consumption Percentage of people who smoke daily Expected retirement age of a person aged 50 New disability pensions Coverage of occupational health care Absences from work due to illness Occupational accidents Women s earnings relative to men s earnings Fathers receiving paternity or paternal allowance Ratio of social expenditure to the GDP Percentage of social welfare and health care expenditure in total local authority spending Average life expectancy for a person aged 35, differences by educational attainment Persons who have been unemployed for more than a year Poverty risk (households, children), including EU2020 strategy indicators Income differences Young people with no basic or secondary education Availability of services Coverage of public services for the elderly aged over 75 Percentage of young children in daycare Personnel in social welfare and health care services Level of minimum benefits Benefits and services for families with children Foreign nationals resident in Finland Children and adolescents taken into custody Homeless people Aino-Inkeri Hansson
13 Strategy Indicators 2/2 Policy 3 A healthy and safe living environment Health protection resources of local authorities Accidents in the home and in leisure time Epidemics and illnesses caused by household water Levels of environmental toxins in mother s milk Violent crime Solvency of the insurance sectors Ratio of earnings-related pension funds to the GDP Aino-Inkeri Hansson
14 What we have learned from history-lessons Social development does not solely depend on money and resources (GDP/capita) A vision and strong political will are needed The State as the Social Broker : labor market policies, social security, education for all, equal opportunities, health and social services state involvement in savings and investments for industrialization (pension funds) State support to NGO:s ( grants and subcontracting as service producers) and political parties(grants) Aino-Inkeri Hansson
15 More lessons Inequality is a major challenge: it weakens the impact of economic growth on poverty reduction, it harms everyone Reduction of poverty, exclusion and health inequalities is extremely important Balance of the public economy Increasing inclusion, labor market participation and prolonging working careers are necessary measures Aino-Inkeri Hansson
16 Thank You for Your Attention! Aino-Inkeri Hansson
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