1 / 16

ESCAPING THE DISABILITY BENEFIT TRAP Disability policy trends and lessons from OECD countries

National Disability Council Copenhagen, Denmark, 7 September 2005. ESCAPING THE DISABILITY BENEFIT TRAP Disability policy trends and lessons from OECD countries. Monika Queisser*. * OECD, Social Policy Division Directorate for Employment, Labour and Social Affairs.

kristina-lonna
Download Presentation

ESCAPING THE DISABILITY BENEFIT TRAP Disability policy trends and lessons from OECD countries

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. National Disability Council Copenhagen, Denmark, 7 September 2005. ESCAPING THEDISABILITY BENEFIT TRAPDisability policy trends and lessonsfrom OECD countries Monika Queisser* * OECD, Social Policy Division Directorate for Employment, Labour and Social Affairs

  2. Outline of the presentation • Disability policy is becoming a key issue for economic, social and employment analysis • Empirical evidence across the OECD: Understanding the problems • A comparative policy analysis: In most OECD countries, more needs to be done • The OECD’s work on disability issues

  3. The growing importance of disability policy • Maybe the key unsolved social policy problem • High public spending, but only limited and unsuccessful attempts to change this • Increasingly becoming the “benefit of last resort” in many OECD countries • Key issue in the context of pension reform • Key issue in the context of ageing and low employment rates of older workers • Major waste of human resources – people become healthier but less work-able ?

  4. HIGH PUBLIC CASH SPENDING Public incapacity- and unemployment-related spending in % of GDP, 2001 Source: OECD (2004), Social Expenditure Database, Paris.

  5. HIGH DISABILITY BENEFIT RECIPIENCY Disability benefit recipients in per cent of the working-age population, 1999 Source: OECD (2003), Transforming Disability into Ability, Paris.

  6. RAPID BUT DECLINING GROWTH Growth in disability benefit recipiency 1980-90 and 1990-99 (percentages) Source: OECD (2003), Transforming Disability into Ability, Paris.

  7. LOW OUTFLOW FROM BENEFITS Annual rates of outflow from disability benefits (percentages) Source: OECD (2003), Transforming Disability into Ability, Paris.

  8. MANY APPLICANTS ARE REJECTED Rejected benefit applicants and successful appeals (percentages) Source: OECD (2003), Transforming Disability into Ability, Paris.

  9. PUZZLING AGE VARIANCE ACROSS COUNTRIES Age-specific disability benefit recipiency rates (per 1000 of population), 1999 Source: OECD (2003), Transforming Disability into Ability, Paris.

  10. Different countries seem to havedifferent problems • Countries with disability benefit as the benefit of last resort (e.g. UK, US) • Countries with disability benefit as another early retirement pathway (e.g. Austria, Germany, Portugal) • Countries with disability benefit as the benefit of last resort and as early retirement pathway (e.g. Netherlands, Norway)

  11. DISABILITY POLICY TYPOLOGY 2000 Source: OECD (2003), Transforming Disability into Ability, Paris

  12. Why disability policy reform is needed in OECD countries • Other social protection systems are gradually maturing • Demands at work, especially psychological demands, continue to increase • Continued ageing of the population of working-age • Too little focus on avoiding IB/SB inflow • Large age-bias in rehabilitation and vocational training

  13. How to escape?Transform the disability benefit schemeinto a flexible labour market programme • Assess needs and, if necessary, intervene earlier: Avoid IB benefit inflow through job search, training, rehabilitation and prevention • Disentangle eligibility for support from work ability and work status: Make cash benefits a flexible (in-work) tool that covers extra costs and the labour market disadvantage KEY ELEMENTS IN THIS:

  14. KEY ELEMENTS IN THIS (continued): • Break the link from temporary sickness to permanent disability • Implement a mutual obligations approach • Provide individualised, tailor-made pre- and post-placement support, thereby emphasising abilities and opportunities • Integrate employers into the process, and design proper financial incentives for them • Monitor outcomes carefully

  15. The situation in Denmark in international comparison • Strong reduction of disability inflows since 1990s despite comparatively high benefit levels • High but declining costs of disability benefits but high unemployment expenditures • Strong emphasis on integration policy • Importance of flexjobs • Good financial incentives in administrative structure • Decentralisation and client-friendly one-stop-shops • Suppression of partial disability benefits  Denmark could provide interesting lessons for other OECD countries

  16. OECD work on disability policy in member countries • Publication of Transforming Disability into Ability in 2003 (covering 20 countries) • Start of country reviews of disability policy • First round: Norway, Poland, Switzerland • Second round: Australia, UK, Spain • Possibly: Finland, Luxembourg, France, NL, US and Denmark ? • Update of comparative country data

More Related