The social security system is aimed towards supporting residents by providing them with financial support as well as maintaining their overall wellbeing and protecting them from poverty. In the Maltese scenario this system is regulated under Chapter 318 of the Laws of Malta. Social security benefits are important in society as they support residents and vulnerable groups from becoming financially deprived. Yet, I personally feel that more monitoring needs to be adopted in order to ensure that such benefits are really going to people who need them rather than to those who do not. The government spends a lot of money in this area and residents contribute to be entitled for certain benefits, so it is important to ensure that the right people are receiving these benefits.
Table of Contents
Introduction
Contributory and Non-Contributory Benefits
Contributory
Non-Contributory
Social Security Coverages in Malta
Malta compared with other EU Countries
Implemented Measures aimed at Reducing Dependence on Social Security Benefits
Other Measures
Conclusion
Objectives and Topics
This paper examines the social security system in Malta, focusing on the distinction between contributory and non-contributory benefits and their role in safeguarding residents against poverty and ensuring overall wellbeing.
- Analysis of the Maltese social security legislative framework
- Comparison of social security expenditure in Malta versus other EU member states
- Evaluation of social protection functions and distribution patterns
- Assessment of policies aimed at reducing dependence on social security
- Identification of strategies to improve social inclusion and workforce participation
Excerpt from the Book
Contributory and Non-Contributory Benefits
Malta’s social security system provides two basic schemes for which benefits are paid, these being; contributory benefits and non-contributory benefits (Integration, 2014a; Social Security, n.d.b).
Contributory. These are benefits that residents receive to which they have already contributed to. For residents to be considered as eligible to receive contributory benefits, they need to be contributing to social security payments as either employed or self-employed individuals (Integration, 2014b). Then, contributory benefits are given to insured residents in return. Locally, most of the contributory benefits are allocated towards old age. In fact, according to the National Statistics Office, 76.2% are distributed towards pensions (NSO, 2019). Residents whom have paid taxes during their years in employment would be eligible for this benefit (Integration, 2014b). Other examples of local contributory benefits include; survivors’ benefits, disability benefits and sickness benefits (Social Security, n.d.b.; NSO, 2018).
Non-Contributory. These are benefits given to residents found under what we refer to as the poverty line. Unlike contributory benefits, these are not based on contributions that residents pay but on the assessment of a means test on those residents applying to be applicable for such a benefit (Social Security, n.d.b.; Integration, 2014c). A local example of non-contributory benefits are family and children allowances in which there are different kinds like for instance, the disabled children’s allowance. This allowance is given to parents who have children under the age of sixteen that suffer from an impairment (Social Security, n.d.b; Integration, 2014c). Additionally, other examples include; social exclusion, supplementary allowances and in-work benefits (Social Security, n.d.b).
Chapter Summary
Introduction: Provides an overview of the legal foundation and purpose of the Maltese social security system.
Contributory and Non-Contributory Benefits: Explains the distinction between benefit schemes based on contribution history versus means-tested support.
Social Security Coverages in Malta: Discusses recent trends in expenditure and the financial evolution of benefits in the Maltese islands.
Malta compared with other EU Countries: Contrasts Maltese social protection spending with EU28 averages and broader demographic trends.
Implemented Measures aimed at Reducing Dependence on Social Security Benefits: Outlines government policies focused on social inclusion and labour market participation.
Other Measures: Explores potential program developments and individual-centric support for vulnerable groups.
Conclusion: Summarizes the necessity of social security while highlighting the need for efficient resource allocation.
Keywords
Social Security, Malta, Contributory Benefits, Non-Contributory Benefits, Social Policy, Pension, Social Protection, EU Member States, Poverty Line, Social Inclusion, Labour Market, Welfare, Means Test
Frequently Asked Questions
What is the primary focus of this paper?
The paper focuses on the structure, implementation, and impact of the social security system in Malta, providing an analysis of how benefits are distributed to support residents.
What are the two main types of social security benefits discussed?
The system is categorized into contributory benefits, which require previous payments from employed or self-employed individuals, and non-contributory benefits, which are based on means testing for those below the poverty line.
What is the main goal of the policies mentioned in the study?
The primary goal is to promote a better quality of life and social inclusion, aiming to reduce dependence on social security by facilitating employment and improving access to social services.
Which methodology is used to present the findings?
The author utilizes statistical data from the National Statistics Office (NSO) and Eurostat to perform a comparative analysis of expenditure and trends in social protection.
How does Malta compare to other EU countries in terms of social spending?
Malta is among the countries that spend a smaller proportion of its GDP on social security compared to leaders like Finland, with a significant portion of local expenditure directed towards old-age pensions.
Which keywords best characterize this research?
Key terms include Social Security, Contributory Benefits, Non-Contributory Benefits, Social Inclusion, and Labour Market participation.
How is the majority of contributory benefit funding allocated in Malta?
The vast majority, specifically 76.2%, of contributory benefit funding is allocated towards old-age pensions.
What specific measures are proposed to assist vulnerable groups in returning to work?
The text suggests implementing individualized, intensive support programs, drawing inspiration from international examples like the 'Improving Lives' initiative in England, to help those with impairments or other vulnerabilities find stable employment.
- Quote paper
- Ms Kimberley Bartolo (Author), 2019, Social and Economic Policy in Malta. A Discussion of the Social Security System in the Maltese Islands, Munich, GRIN Verlag, https://www.hausarbeiten.de/document/1031655
