From Enterprise Protection to Social Protection

Abstract

The Chinese system of social protection has been subject to significant reforms over the past 25 years, but it can still be regarded as a system in transition. These reforms have been impressive in scope and much has been achieved in extending coverage, pooling resources, improving administration of payments, and in starting to address the issue of future financing requirements. Nevertheless, the system is not yet fully appropriate for the challenges facing China over the next decade and beyond. This article assesses the main features of the development of the Chinese pension system, and identifies a number of issues to be addressed as part of future reforms. The article compares the Chinese system with those operating in other world regions, and also in other parts of Asia. Chinese developments are also discussed in the context of global social policy developments and the role of international organizations. The article also discusses possible approaches to dealing with future challenges.