Minister of Cooperatives, Labour and Social Welfare: Economic Growth Not Possible Without Coherent Social Security

During a meeting with the International Social Security Association (ISSA) in Tehran, Dr. Ali Rabiei sadi: “Since social security deals with people’s pains and sufferings; therefore, these meetings and events can have promising results in terms of social welfare for the workers.”
The Minister went on to say: “There is a very complicated and yet close relation between social development and social security and if development means growth, economic growth would not be possible without a coherent social security in place.
Development theories were not that much successful in developing countries to bring about welfare, even the redistribution theory on equitable distribution of social capitals could not success the way expected by developing countries.
Social security organization and social insurance systems are able to eradicate poverty; however, planning for targeted inclusive social security needs development-oriented economic mechanisms and it would not be materialized in the absence of inclusive social security system.”
Dr. Rabiei mentioned the economic bankruptcy and downturn in Greece and said: “Taking different development theories that I’ve studied into account, we should eliminate the intricacies of the third world structures through welfare policies and avoiding being impressed by propaganda.”
“The policy to take inflation closer to the wages should be done gradually not all at once because a sudden shock not only does not help workers and disadvantaged groups but will aggravate stagflation”, said Rabiei.
Mentioning that 11 million people have been insured during the last years with per capita 36,000 Tomans, Dr. Rabiei added: “We need to pay attention to social insurance along with medical insurance; they both complement each other and one is meaningless in the absence of the other.”
Pension insurance for unemployed villagers/ pursuing inclusive social insurance
Emphasizing the need to adopt welfare and social security policies based on wisdom and efficiency on the long run, the Minister of Cooperatives, Labour and Social Welfare said: “At present, a single pattern is not effective for development plans. Major economic projects will defeat without providing social security infrastructures; also any decision made to improve social and economic structures will defeat without widespread social security organization.”
 Referring to the experience of implementing targeted subsidies plan, he said: “We need to establish powerful social security in the lower layers and to change the conditions so as the poor people do not feel insecurity and a tough life. We are facing the same challenges that the States in transition experience; therefore, we need sustained welfare and social security policies based on wisdom.”
“One of our policies is that wages supersede inflation. To this end, the 11th Administration tried to follow an effective welfare and social security policy based on the performed studies. So, we studied relevant policies of the countries similar to Iran”, added Rabiei.
The Minister said, “We are facing educational poverty. On the other hand, poverty trap is so deep in healthcare issues. An ill person suffers from heavy costs of medicare. Medical insurance and social insurance complement each other. Thus, we could launch pension insurance for unemployed in the villages at the first stage, while pursuing a medical insurance for the poor within the framework of a coherent welfare system. Today, inclusive social insurance is top on our agenda.”
“We are implementing supportive housing scheme for people with disabilities, women headed households and help seekers under other support agencies in form of social housing and we intend to construct and deliver 50,000 residential units to fully cover families with two disabled member and more. We have covered some 170,000 children on border lines with one hot meal a day in the nurseries. Also, 11 million persons in need received food security packages.  Genetic screening is also included in our programs”, said Dr. Rabiei.  


Sep 13, 2016 11:32


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