In order to implement a sound social policy, it is important for countries to choose the right model of social protection. These models differ from each other and change according to the political structure, resources, values, and other characteristics of the countries.
Why should I be interested in this topic?
Social security systems concern all citizens. In Georgia, this system is weak, therefore, it is important to know what the state does in this regard and what possibilities we have for the future.
Our Comment:
- Georgia’s social security policy is fragmented, which does not serve to improve the social situation;
- Fragmented policy is unsustainable, therefore, it cannot ensure long-term welfare;
Therefore, social protection levers in Georgia are not oriented toward overcoming poverty.
What is the problem?
This table shows that in terms of the share of funds allocated for social protection, Georgia falls sharply behind European countries, including Eastern European countries.
Read more about social security models in different countries here:
What are the European-continental and Scandinavian models of social protection?
What is the liberal model of social security?
What is happening in Georgia?
The social protection system in Georgia is neither stable nor universal. At the same time, it somewhat repeats the principles of the liberal model. It uses the most basic, insufficient mechanisms for the social welfare of the liberal model.
- The state provides only extremely poor people with allowance (social allowance), which is very low;
- Practically, there is no minimum wage (20 GEL per month);
- The state does not oblige the private sector to provide employees with paid maternity leave and only gives a one-time maximum compensation of GEL 1000;
- Pensioners have a low basic state pension;
- There is no unemployment allowance/insurance.
The Context
In 2021, the Minister of Health at that time announced that a Social Code is to be created in Georgia, which will study the European social protection systems, and it will be integrated into the new code considering the Georgian context.
- However, no steps have been taken yet in that regard. The above-mentioned problems still remain and the discussion on their solution has not started.
It should be noted that Georgia has not signed such articles of the European Social Charter, such as:
- Fair remuneration (Article 4, paragraph 1)
- Paid maternity leave (Article 8, paragraph 1)
- Equal social security (Article 12, paragraph 2)
- Protection in cases of termination of employment (Article 24)
- Accessible housing (Article 31, paragraph 3)
- Eradication of homelessness (Article 31, paragraph 2)
How can this problem be solved?
The state should base the improvement of the social protection model on the best experience and available resources.
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- It is important to make social protection a priority and allocate more money from the budget;
- A proper and human-oriented social security system should be created;
- A strategic plan, which will be oriented on a long-term perspective and will ensure the empowerment of people should be developed;
- The state should outline the role and responsibility of the employer in the terms of strengthening social protection in the country.
What is noteworthy and should be mentioned?
Georgia does not have a strong economy. Therefore, the liberal model in the social security system has even more flaws. In economically strong countries with liberal models, private insurance is mandatory, thus, in case of a crisis, the employees are protected by the insurance they have accumulated. In Georgia, this mechanism characteristic of the liberal model does not exist.
- Moreover, the number of people involved in informal work is high in Georgia. In this case, the informal workers do not have any social security leverage.
- As a result, there is no strong, unified, sustainable, and human-oriented social security system.
The article was prepared with the support of Friedrich-Ebert-Stiftung. The views expressed in this publication are not necessarily those of the Friedrich-Ebert Stiftung. Commercial use of all media published by the Friedrich-Ebert-Stiftung (FES) is not permitted without the written consent of the FES.
