Social Investment Approach

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How can a social investment approach improve a country’s well-being? In social investment, resources are invested in people and policies are designed to strengthen people’s skills and capacities and support their participation in employment and social life. The main policy areas targeted by social investment include health, education & training, childcare, employment. Due to changing socio-economic conditions, a country’s welfare state is constantly considered to be in development. A new concept of welfare has recently evolved since the final years of the twentieth century, and this has changed the social protection concept to that of social investment. Given that this concept is vague, it is mainly based upon the investment in human capital …show more content…

These socio-economic situations are leading to a transition towards alternative and active welfare states, which are resulting in higher labour market participation, thus altering the traditional notion of social citizenship which is based on social rights, putting more emphasis on reciprocity of rights and duties. Individual social responsibility gained more importance in social policy, but at the same time the social investment model puts emphasis on equal opportunities and increasing social mobility. The social investment approach is based on three fundamental concepts; the importance of having social protection systems (welfare states) which cater for the citizen’s needs, especially at critical phases of their lives, thus reducing the risk of social breakdown which causes higher social spending; better accessible social policies to deliver adequate and sustainable social protection systems, which may need lower budgets, therefore less stress on public coffers, but which are more efficient in social policy expenditure; implementation of active inclusion strategies by (amongst various) providing affordable or subsidised childcare and education, reduction of early school leaving numbers, training & employment assistance, housing support and accessible health …show more content…

Single mothers, inactive women of working age and elderly women over 75 were particularly at risk of poverty. The greater exposure of women to the risk of poverty and exclusion partly resulted from 42% lower overall earnings, through the combination of three gender gaps. More equal opportunities for women are creating better access to the labour market, support for independent living and thus better social protection particularly in retirement. Childcare assistance is a key factor in enabling female employment and encouraging labour market participation. There is a strong correlation between the employment rates of women with young children and the proportion who have access to formal childcare, especially in the first three years of a child’s life. Social investment approaches also focus on benefits and services that help people to achieve lasting positive social outcomes throughout their lives and reducing the dependency on benefits. In 2012, on average 12 % of the EU-27 population was overburdened by housing costs, but for those at risk of poverty the figure was 39 %. For the non-poor it

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