Social security key to reduce economic and social impact of coronavirus

Social security key to reduce economic and social impact of coronavirus

In light of the impact of COVID-19, the new coronavirus, on regional and global economic outlooks, the International Social Security Association (ISSA) highlights the key role played by social security in reducing the related social and economic impact. Calling for preparation for an increased need for health care, unemployment and other benefits, the ISSA draws on lessons learnt from past crisis situations.

With 91,000 cases across 73 countries and various restrictions on economic activity, disrupted global supply chains as well as reduced consumer spending, the economic and social impact of COVID-19 is projected to be significant. As proven during the economic and financial crisis in 2008, social security plays a key role in reducing the social, labour market and economic impact of different types of crisis.

To mitigate the effects, social security systems should take the necessary measures as early as possible to cope with an increased demand for benefits and services. For instance, health care and unemployment insurance systems will in the short-term be most affected, and can respond through a range of temporary measures.

In this context, the ISSA President Prof. Dr Joachim Breuer highlights the important role of international cooperation in confronting COVID-19: “Rapid responses, such as the one implemented by China, and international cooperation are essential to work against the spread of COVID-19 and to reduce its economic and social impact. I wish to thank all affected countries for their decisive action.”

The ISSA is an association of over 320 social security institutions in more than 150 countries. To support resilience against the economic and social impact of the coronavirus, the ISSA facilitates contacts and the exchange of information, experiences and practices between its members.

For updates on the coronavirus disease and outbreak, please visit the website of World Health Organization: WHO updates