Abstract
The idea of asset-based welfare (ABW) has been widely discussed since the 1990s. This paper presents a policy developed in Brazil in the 1960s that could also be perceived as an ABW policy. The Fundo de Garantia do Tempo de Serviço (FGTS) is a compulsory savings scheme, managed by the state and financed through monthly deposits made by employers on behalf of their employees. The FGTS resembles a personalized public pension, but the balance of an individual FGTS account can also be used to facilitate access to homeownership. We do not argue that this is an inclusionary and redistributive policy, but we do argue that the FGTS acts as a facilitator of asset-building for those included in the formal labour market. Contrary to ABW practices in the Global North, in Brazil, the introduction of ABW policies represents the expansion rather than the retrenchment or readjustment of the welfare state.
Sign-in/Register to access full text options 
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
