Abstract
Since the implementation of the reform and opening-up policy, especially since the 21st century, China has increased its capital investment in pension security, quickened its pace in establishing its social pension insurance system and social pension service system, and a pension security system that covers all citizens has experienced full-length development.
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Notes
- 1.
Plan for Building Social Pension Service System (2011–2015) (released by the General Office of the State Council of the People’s Republic of China [2011] No. 60), 2011.
- 2.
Shi Jinqun: Research Report of Special Studies on Spiritual Security of the Elderly.
- 3.
Zheng [1].
- 4.
The ‘12th Five-year Plan’ for the Construction of a Social Pension Service System (Draft for seeking opinions).
- 5.
Song [2].
- 6.
Wang [3].
- 7.
Zheng [4].
- 8.
Including food guarantees, clothes guarantees, fire guarantees (fuel), education guarantees (kids and teenagers) and burial guarantees, and such contents as “accommodation guarantees”, “medical care guarantees” and others have also been added with the development of the “five guarantees” system in rural areas.
- 9.
During the process, PICC started to manage the pension insurance of workers in part of urban collective enterprises.
- 10.
From 1987, the State Council allowed 11 industries, namely railway, electricity, coal, water conservancy, post and telecommunications, transportation, non-ferrous metals, construction (China State Construction Engineering Corporation), finance, civil aviation, oil and gas to manage the pension insurance of their workers separately in succession.
- 11.
Notice on Reforming Four Stipulations of the Labor System of the State Council (Guo Fa [1986] No. 77); Interim Provisions on the Implementation of the Labor Contract in State-owned Enterprises (Guo Fa [1986] No. 77); Interim Provisions on the Unemployment Insurance for Employees in State-owned Enterprises (Guo Fa [1986] No. 77).
- 12.
Meng [5].
- 13.
Feng [6].
- 14.
In November 1984, the Ministry of Civil Affairs held the meeting of exchanging experience in reform and rectification of national urban social welfare institutions in Zhangzhou and put forward that social welfare programs should be further transformed to the collective system of the state, the collective and the individual to further transform from relief to welfare, from support to support and rehabilitation and from closing to opening (hereinafter referred to as “three transformations”).
- 15.
Administrative Measures for Social Insurance Funds (No. 12 order of the Ministry of Labor and Social Security of the People’s Republic of China).
- 16.
Supervision Regulations on Labor Security (No. 423 order of the State Council of the People’s Republic of China).
- 17.
According to Supervision Regulations on Labor Security, if employers conceal the total wages or staff members when declaring payable social premiums to social insurance agencies, administrative departments of labor security instruct them to correct and collect penalties 1 time above yet 3 times below the concealed wage amount. If they gain social insurance treatment or social insurance fund expenditure by cheating, administrative departments of labor security instruct them to return and collect penalties 1 time above yet 3 times below the cheated amount; in case of crime, they shall be investigated for criminal responsibility according to law.
- 18.
Interim Measures for the Management of Social Welfare Institutions (No. 19 order in [1999] of the Ministry of Civil Affairs).
- 19.
Notice on Printing and Distributing the Regulation on Internal Institutions with Main Responsibilities and Size of Personnel Force by General Office of the State Council (Guo Fa Ban [2008] No. 65).
- 20.
Opinions of the State Council on the Implementation of the Budget of the Social Insurance Fund (Guo Fa [2010] No. 2, China issued by the State Council.
- 21.
Notice on Forwarding “Opinions on Actively Promoting Socialized Management Service Work of Enterprise Retirees” by the Ministry of Labor and Social Security and Other Departments of General Office of the CPC Central Committee and General Office of the State Council (Zhong Fa Ban [2003] No. 16).
- 22.
Statute of the National Council for Social Security Fund.
- 23.
Notice on the Implementation of Zhong Ban Fa [2003] No. 16 Document of the Ministry of Labor and Social Security (Lao She Bu Fa [2003] No. 20).
- 24.
Zheng [7], pp. 41–42.
- 25.
Zheng [7].
- 26.
Yang [8].
- 27.
In 2007, Notice on Related Problems in Provincial-level Overall Planning for Promoting Basic Pension Insurance for Enterprise Workers issued by the Ministry of Labor and Social Security requires that provincial-level overall planning to unify the basic pension insurance system, the basic pension insurance payment, the basic pension insurance treatment, the basic pension insurance fund use, the basic provincial-level fund budget and the basic pension insurance services regulations.
- 28.
Wang [9].
- 29.
Zhu [10].
- 30.
In the late 1990s, the situation that enterprises didn’t pay social insurance fees was quite serious. At that time, many departments took action to enhance the collection and payment of social insurance fees. As stipulated, enterprises with the arrears of over one million yuan should be monitored by provincial-level labor security departments directly; for enterprises with the arrears of over 10 million yuan, the provincial-level ministry of labor and social security should report the situation to the Ministry of Labor and Social Security for the record and the Ministry of Finance, Economy and Trade Department and other relevant department. After a survey, if an enterprise was verified to have the ability to pay the fees but didn’t fulfill obligations, it should be punished according to stipulations of Provisional Regulations on Collection and Payment. Moreover, the following administrative measures could be taken: the labor security administrative department should make it public via news media; Securities Regulatory Institution wouldn’t approve the listing of the enterprise; the administrative department of enterprise leaders would involve the payment conditions of state-owned enterprise in the important content of enterprise leaders’ performance evaluations. Those legal representatives and chief accountants who didn’t pay the fees according to law couldn’t be promoted, appraised and elected to be progressive personnel or get any year-end bonus. Moreover, they should get a warning in the arrear year. If they still refused to pay the fees, they would be dismissed from their posts and get punished; furthermore, Industrial and Commercial Administrative Department wouldn’t examine and approve their sole proprietorships, let them found a new enterprise by sole proprietorship or joint stock, or examine and approve their branches or extend business scope. See this in Notice on Relevant Problems in Cleaning and Collecting the Arrears of Social Insurance Fees Issued by the Ministry of Finance of the State Economic and Trade Commission in the Ministry of Labor and Social Security (Lao She Bu Fa [1999] No. 36).
- 31.
Take Guangdong Social Insurance Agency as an example. It had five names successively in last over 20 years, namely “Social Labor Insurance Company”, “Social Insurance Business Office”, “Social Insurance Management Office”, “Social Insurance Fund Management Office” and “Social Insurance Fund Management Center”.
- 32.
Wang [9].
- 33.
Notice on Strengthening the Supervision and Management Work of Social Security Fund issued in 2002 (Lao She Bu Fa [2002] No. 12) gives labor and security departments, finance departments, auditing departments, taxation departments and postal departments at all levels and the branches and sub-branches of People’s Bank of China great powers of supervision and investigation.
- 34.
For example, in 2005, Kunming carried out a pilot inspection and research into the bank deposit interest of medical insurance fund on behalf of the Supervision Committee. As the inspection involved finance departments and banking departments and other departments, it is rather difficult to carry it out.
- 35.
The most prominent symbol is that, compared with the huge demand for elderly care services, the current supply capacity is seriously insufficient.
- 36.
Hu et al. [11].
- 37.
Research Group of the Capital Institute of Social Economical Development [12].
- 38.
Gui [13].
- 39.
Meng Zhaoxi: China’s Social Insurance Handling Management and Service Industry Develops Rapidly since the Reform and Opening up in the Past 30 Years, China Labor and Social Security News.
- 40.
He [14].
- 41.
On Further Strengthening the Work about Retired Cadres in the New Situation (Zhong Zu Fa [2008] No. 10).
- 42.
Zheng [15], pp. 68–76.
- 43.
International Labor Organization [16].
- 44.
Zheng [17].
- 45.
According to a comparative study of social security institutions in 50 countries, the regulations of social security are generally proposed by the administrative departments in charge, passed by the legislature after consultation procedures, and implemented by the administrative departments. Enterprises, trade unions and other social service organizations primarily promote, consult and supervise them. See The Enlightenment of International Social Security System for Us by Zhou Hong, Guangming Daily, November 17, 2008.
- 46.
International Labor Organization [16].
- 47.
In terms of the definition of the social security agency, according to the survey of the research team (Yang Yansui, Chen Yangdong, Bao Danru, etc.) of Study on Capacity Construction of Social Insurance Agencies, the results of the questionnaire by the staff of social insurance institutions in 2004 showed: 71% of people chose it as “one of government departments”, 18% “a public institution directly under the government”, and 10.5% “a government statutory institution (or a monopolistic commonweal organization)”. The results of the questionnaire by the staff who weren’t from social insurance institutions in 2007 showed: 86% thought social insurance institutions badly needed to be improved as the government executive department. The results of the questionnaire by officials above the division level in 2008 showed: 44% thought the social insurance institution should be the government executive department. See also Summary of the Interim Report about the Study on Capacity Construction of Social Insurance Agencies (Exposure Draft) on the website of School of Public Policy and Management of Tsinghua University by the research team of Study on Capacity Construction of Social Insurance Agencies.
- 48.
Germany is a typical country with social autonomy management. The pension insurance system of autonomy management and negotiation under the government supervision is adopted in Germany. Instead of being attached to any governmental departments, pension insurance organizations refer to the social autonomous self-management institutions autonomously managed by the Representative Committee consisting of representatives of staff and employers. These autonomous institutions include the German Pension Insurance Union, the German Pension Insurance Union of Miners, Railroad Workers and Seamen and so on. Pension insurance agencies achieve self-management through respective standards and norms formulated by industrial associations. And the pension insurance comes into operation based on the agreement reached by both autonomous parties through negotiation. The division and cooperation of the government and numerous autonomous organizations are as follows: Firstly, it avoids the problems that the excessive regulation of the government leads to low efficiency. Secondly, it brings the business superiority of professional organizations into full play to reduce the asymmetric information. Thirdly, the interest relations in all respects should be comprehensively coordinated through the independent negotiations between autonomous organizations.
- 49.
Sun [18].
- 50.
World Bank [19].
- 51.
Jia [20].
- 52.
Zheng [21].
- 53.
The research team led by Professor Yang Yansui thought that the social insurance institution, as the executive institution of the service-type government, should take responsibility for the insured of social insurance and also be entitled to be entrusted with national public welfare projects (social insurance) management, subcontract and entrust projects, purchase services and implement supervision on behalf of the government. That is, it also serves as the trustee of public benefit. See also Summary of the Interim Report about the Study on Capacity Construction of Social Insurance Agencies (Exposure Draft) on the website of School of Public Policy and Management of Tsinghua University by the research team of Study on Capacity Construction of Social Insurance Agencies.
- 54.
Zheng [16], pp. 80–81.
- 55.
Public financial security has been implemented in supporting “elderly citizens without ability to work, source of income, supporter or caregiver, households enjoying the five guarantees” in rural areas. The equalization of basic public elderly care services in urban and rural areas has made solid advances. However, rural elderly care homes are still defined as rural collective welfare institutions. As a result, the management system of elderly care homes needs to be straightened to sort out the relationships of “being sponsored by towns and villages”, “being supervised by the civil affairs departments” and “the assistance of the departments”.
- 56.
Exploration in this aspect has been carried out well in Beijing and Shanghai, and the basic thought is that the competent departments retreat from the micro-management of elderly care institutions, strengthen the functions of macro-management and industry supervision, organize social welfare centers to uniformly manage various social welfare institutions, improve the industry associations and strengthen the industry guidance and self-regulation.
- 57.
According to different sponsors, China has three kinds of elderly care institutions: one is organized and invested by the government, registered in the organization management departments of institutions of the people’s government above the county level and managed by the civil affairs departments with the pubic institution nature. One is organized by social forces and registered in the civil affairs departments with the private non-enterprise nature. The last one is organized by social forces and registered in the industrial and commercial departments with the enterprise nature. Elderly care institutions with the public institution nature and those with the private non-enterprise nature are generally called social welfare institutions of elderly citizens.
- 58.
Zheng [7], p. 42.
- 59.
Zheng [16], p. 39.
- 60.
The Editorial Committee of Financial Supervision of Social Security Funds: Financial Supervision of Social Security Funds, China Financial and Economic Publishing House, 2005, p. 68.
- 61.
Zheng [22].
- 62.
Human security departments are only responsible for non-profit vocational training. Currently, industrial and commercial administrative departments only have the right to examine and review the enterprises’ application for computer training. As for other training, documents from competent departments are needed.
- 63.
Li [23].
- 64.
The most direct influence is that aging of population significantly changes both Chinese labor market structure and Chinese consumer demand structure and has a long and deep impact on Chinese economy in this way. In recent years, policy issues on pension security are beyond the scope of social construction and people’s livelihood security day after day, and most of them have been involved in the Party and national overall situation of working. For example, they are closely related to the elderly care service industry development and changes in the economic development way; accumulated pension insurance fund is related to capital market development; the pension insurance reform of public institutions is related to the Party’s policy toward intellectuals, etc.
- 65.
Large department system mainly solves the coordination problems between departments arising from departments’ function division so as to increase the management efficiency. Large department system can turn the relationship between departments into internal-departmental relationship, thus avoiding departments’ potential long discussion, argument and even conflicts of interest and ensuring the government’s work.
- 66.
Similar and relevant researches also point out that, in 28 countries which have the independent social security system of OECD, 17 of them manage social security taxes and dues collection through independent social security institutions (or similar institutions). In the rest 11 ones, national social security taxes and dues collection and common tax collection business are united. See Zhang [24].
- 67.
- 68.
Some provinces implement separate collection of overall planning and personal account (the overall-planning fund is collected by local taxation departments and the personal account capital social insurance agencies). We don’t think this is necessary, but it can be regarded as a mode of transition.
- 69.
Lü [27].
- 70.
Social Insurance Law of the PRC stipulates that social insurance agencies should build files for employers in time, completely and accurately record the social insurance data such as personal information, payment and others of the insured, and keep the original documents of registration and declaration and accounting documents of payment and settlement well. According to Administrative Procedure Law, if mistakes of the social security information harm citizens’ social security rights and interests, the burden of proof can be shifted. Regulations on Social Security Business File Management (Trial) in 2009 explicitly stipulates the responsibilities of staff in social insurance agencies if they lead to file missing, damage, leakage of the unit or personal information, and other results.
- 71.
Yang and Sun [28].
- 72.
Wang Dongjin, the Former Vice Minister of the Ministry of Labor and Social Security, pointed out at the national medical insurance work forum held on February 27, 2001, that the local government should decide whether medical social insurance agencies such as medical insurance ones and pension insurance ones should be established in a separate way or a unified one based on realities. No matter whether it’s handled by separate agencies or just one social insurance agency, as long as it is managed by social security departments, it fits the spirit of “gathering five insurances into one”. Returning Letter of Building Urban Employees’ Basic Medical Insurance Agencies (Liao Lao She Han [2001] No. 25) of Liaoning Province pointed out: “At present, Dalian, Jinzhou, Liaoyang, Huludao, Chaoyang, Yingkou, Panjin and other cities of our province have set up independent medical insurance agencies. These cities reflect that it goes better after medical insurance agencies are established separately. It simplifies procedures and gathers manpower and energy so that they can specially handle medical insurance work and make a contribution to local social steadiness”.
- 73.
German pension insurance, unemployment insurance and medical insurance capital are collected by medical insurance organizations in a unified way and then are allocated to various insurance kinds management institutions according to the collection amount.
- 74.
National Information Security Engineering Center [29].
- 75.
Zheng [30].
- 76.
Shaanxi Province has made a vital step forward in this field.
- 77.
In 2009, China Insurance Regulatory Commission issued Notice on Affairs Related to Trying out Pension Security Mandatory Administration Business, which allows pension insurance companies to try out pension security mandatory management, set up the independent pension security mandatory management fund, and give full play to advantages of business insurance in actuarial technique, account management, investment management, risk management, annuity payment, and so on.
- 78.
Tang [31].
- 79.
Yuetan Sub-district in Xicheng District, Beijing City makes contact with the service security departments of the state organs (over 10 units, including the NDRC, the Ministry of Finance, the SARFT and the MOR) in Xicheng District, starts to try to share the resources (including the dining hall, the rehearsal hall of the activity center, the auditorium, exhibition rooms and the stadium) with the residents in the community. There are cooperation plans for the resource sharing between the social units and communities in all the 15 sub-districts in Xicheng District. See The Auditoriums and Dining Halls of Some Central Ministries and Commissions are Opened for the Residents in the Community, Beijing Daily, February 12, 2011.
- 80.
Research Team of the Capital Institute of Social Economical Development [32].
- 81.
Opinions of Promoting the Development of the Elderly Care Service Cause of Hangzhou Municipal Committee of the CPC and Hangzhou Municipal People’s Government (Shi Wei [2010] No. 24).
- 82.
Hong Kong Octopus Company (the Octopus cards issued by the company have multiple consumption functions and record cardholders’ personal information. Nearly everyone in Hong Kong has one Octopus card) sold nearly 2 million customers’ personal information to the third parties for business promotion, getting profits of over 40 million yuan. WWW.CHINANEWS.COM.
- 83.
- 84.
Chen and Wang [33].
- 85.
See Footnote 84.
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Shan, D. (2018). Study on the Management System of Modern Pension Security Systems. In: Wang, Y. (eds) The Development of Security and Whole Care System for the Aged in China. Springer, Singapore. https://doi.org/10.1007/978-981-10-6481-4_6
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