Seminar in San Salvador – Unemployment Insurance Programs and Labor Market Insertion

In times of crisis, the main mechanism of impoverishment is the reduction of jobs, particularly the formal ones, along with reduced social security coverage, which already is low in most countries of Latinamerica and the Caribbean. Having unemployment insurance programs and labor market insertion has become more urgent and has had good results.

For example, in Brazil the social security contribution to face the crisis has been enormous since sales have not fallen in the lower layers of the population.

It is important to promote the following:

1. Training for a productive insertion;
2. Legal frameworks to encourage contributions from workers and employers in small and medium enterprises;
3. Incentives for pension contributions;
4. Flexible and attractive contribution plans made for informal groups, poor, young, women, disabled, and indigenous and Afro-descendants; and
5. A change of culture and information about the benefits of saving for old age.