Introduction
This report provides a global overview of progress made in extending social protection and building rights-based social protection systems since 2015. It is centered around the climate crisis and the exigency of a just transition, emphasizing the integral role of social protection in addressing these challenges. The report provides actionable policy recommendations aimed at closing existing protection gaps and simultaneously realizing climate ambitions. This document is intended for policymakers, social partners, and other stakeholders to accelerate efforts in building inclusive and climate-resilient systems.
Key Insights
Social Protection’s Contribution to Climate Adaptation and Mitigation
Social protection is fundamental for climate change adaptation by tackling root causes of vulnerability, preventing poverty and social exclusion, and reducing inequality. It enhances people’s capacity to cope with climate-related shocks by providing income floors and access to healthcare. It raises adaptive capacities through human development, productive investment, and livelihood diversification.
Moreover, an inclusive loss and damage response can leverage social protection systems, especially where there are high levels of coverage and preparedness. Social protection can cushion people and enterprises from the adverse impacts of mitigation policies. Combined with active labor market policies, it can help people transition to greener jobs and more sustainable economic practices. It can support emission reductions by greening public pension funds and disincentivizing harmful activities.
The Paradox and Injustice of the Climate Crisis
The populations most vulnerable to climate change have contributed the least to global emissions and have the fewest resources to cope. The research demonstrates a direct correlation between vulnerability and lack of social protection, requiring integrated policy responses.
The Need for Decisive Policy Action
Decisive action is required to strengthen and adapt social protection systems, particularly in countries most vulnerable to climate change. Social protection systems must guarantee universal coverage, provide comprehensive and adequate benefits, and be equitably and sustainably financed.
Social Protection as Enabler for People
Social protection enhances people’s capabilities to navigate life-cycle and climate-related risks, reducing inequalities. It can support job restructuring, protect living standards, maintain social cohesion and foster sustainable economies.
Strengthening Social Protection Systems
Universal social protection requires investment in reinforcing social protection systems, given the high costs of inaction. It involves addressing policy, legal, frameworks, and institutional capacities and also sustainable and equitable financing.
Key Statistics & Data
- 3.8 billion people are still entirely unprotected by social protection.
- Just 8.7% of the population in the 20 most climate-vulnerable countries are covered by social protection.
- Low- and middle-income countries require an additional US$1.4 trillion per annum for social protection floors.
Implications and Conclusions
The report concludes that decisive policy action is needed to strengthen social protection systems and adapt them to new realities, especially in countries most vulnerable to climate change. Universal social protection systems are crucial for climate action, enabling countries to build resilient systems and protect their populations.
References
The document refers to many sources, a complete list can be found in the original document.
Key Points
- Universal social protection is crucial for climate change adaptation by preventing poverty, reducing inequality, and enhancing people's capacity to cope with climate-related shocks.
- Social protection is an enabler of climate action by compensating people and enterprises from the adverse impacts of mitigation policies and facilitating a transition to greener jobs.
- Strengthening social protection systems is essential to address persistent gaps in coverage, adequacy, and financing, which currently hinder the achievement of the Sustainable Development Goals (SDGs).
- Decisive policy action is required to adapt and strengthen social protection systems, especially in countries vulnerable to climate change, ensuring comprehensive and adequate protection for all.
- Social justice and human rights must be central to climate action and a just transition, addressing global and domestic inequalities and ensuring that no one is left behind.
- Progress in extending social protection coverage is positive but too slow, with billions still left languishing and unprepared for life-cycle and climate shocks.
- Financing gaps in social protection are largely associated with significant underinvestment in social protection.