Social Insurance

In addition to providing retirement planning options to its citizens, Armenia is working to build a dependable pension system that provides adequate living standards to current and future pensioners, properly tracks individual contributions and benefits, and offers social insurance alternatives to the population. To help Armenia reach this goal, SPSS is:

• developing reform options for the benefit of all social-insurance recipients in the country and promoting informed decision-making,
• providing advice on the reform of the pension system,
• supporting counterparts to establish effective and integrated management systems,
• working to harmonize social-sector databases to improve information integrity and security.

 2007-2008 accomplishments include:

• Support provided to PWG in strategic development of multi-pillar pension reform, learning from other countries’ experience.
  
• Built and delivered a statistical model for pension reform scenarios exploration by all GOAM partners.
  
• Trained GOAM experts in the use of the Project’s model.
  
• Proposed enhancements and modernization of the SSSS pension administration business process.
  
• Legislation drafted according to the PWG White Paper proposals.
  
• Legislative Drafting Training for all MLSI agencies, MoF, MoE, GOAM and NGOs.

SPSS Project Social Insurance Component recently provided a business process analysis of the State Fund for Social Insurance (SSIF) operations in 10 regional offices located in Yerevan by the request of SSIF. To read more about “Business Process Assessment Survey of 10 Social Security Service Centers in Yerevan,” please visit SPSS Publications webpage.

SPSS Project Social Insurance Component's partner, the American University of Armenia (AUA), recently produced a study of opinions on pension issues, based on focus groups, see Publications webpage.

Social Insurance Component expert Landis MacKeller conducted follow up training on the SPSS pension model on December 8-11, 2008. Participants included staff of the MLSI, SSSS and the National Institute for Labor and Social Researches (NILSR). SPSS is now developing additional pension reform scenarios.

On August 15, 2008, the RA Prime Minister appointed a Pension Reform Implementation Working Group (PRIWG). SPSS experts are assisting PRIWG with overall project management, business process mapping, information technology and legislative drafting.

The Social Insurance Component Project Management Expert developed a Pension Reform Implementation Gantt Chart, which includes project implementation tasks, time-schedules and shows progress. The Gantt Chart is an important tool to assist the PRIWG in implementing Pension Reform in Armenia. It will be updated on weekly basis, and requires Microsoft Project Software to view.

SPSS team members have worked with the PRIWG on the development of four pension reform laws: the Law on State Pensions, the Law on Funded Pensions, the Law on Personified Recordkeeping, and the Law on the Unified Income Tax. The four laws were initially drafted in the fall of 2008 by the PRIWG and submitted to the GOAM in December 2008. After significant additional revisions, they were submitted by the PRIWG to the GOAM on April 3, 2009. SPSS has prepared unofficial translations of the Law on Funded Pensions. Translations of the other laws will be posted as they become available.