The thesis aims at exploring the role of social security funds in achieving social development in Yemen. It intends to unfold how backward or undeveloped are various social development services offered by the funds. Another goal is to learn about the
different determinants and barriers encountering the social work of these institutions. Through using the Case Study Method, the thesis studied the following funds: the General Authority for Insurance and Pension; the General Corporation for Social
Insurance; the General Administration for Retirement and Social Security of the Ministry of Interior and the Administration of Retirement and Social Security of the Ministry of Defense.
To depict the case study of each fund, the study relied on the descriptive and comparative methods in order to compare and contrast one fund to another. To achieve its goals, the thesis focused on studying the administrative systems of such funds and their public relations activities. It further analyzed the different social security benefits they offer and ways of investing surplus money. This is so because these activities of such funds are their cornerstone enabling them to achieve social development.
The thesis consists of six chapters and a conclusion which intends to shed light on the findings and recommendations of the whole study. Focusing on the methodology of the study, the first chapter gives an account of the dissertation's importance, goals, hypothesis and methods. Besides that, it introduces the tools and difficulties facing the study and discusses the different concepts incorporated in the thesis. While in the second chapter, there is a discussion of each fund's administrative system and public relations activities, the third discusses the benefits and welfare of such funds and the investment of surplus money. Following that is an analytical study of the funds under focus and an evaluation
of their means in making them achieve their development roles.
The fourth chapter discusses two social security funds whose clients work in the governmental administrative system, in the public sector, the public-private sectors and/or in the private sector. The fifth chapter focuses on the social security funds of
the ministries of Interior and Defense. The sixth chapter underscores the determinants influencing and barriers encountering the social development of the funds under discussion. It, further, attempts to reveal the relation among the different variables influencing the progress of the funds while, at the same time, taking into consideration the socioeconomic circumstances of the Yemeni society.
The most important findings elaborated by this study clearly emphasize that: the board of directors of these funds lack the vision to follow and benefit from; besides lacking really
experienced and skilled cadre, the funds have administrative systems full of a lot of shortcomings; the funds have not yet completed their organizational structures, a matter which substantially impacts human resources as being accountable for achieving social development and making other divisions operate more effective; and the funds have no records nor lists of their beneficiaries, a defect which hurdles studying the beneficiaries
Moreover, the study has shown that the public relations departments of the funds do not carry out their assignments efficiently and effectively. This is because while some funds do not have any knowledge of what public relations work is, others do not have public relations departments. These flaws negatively influence the role of the funds. The study also indicates that some funds only provide some types of insurance such as old-age,
disability and death. Only One fund offers, although ineffectively, work-related injury and occupational disease insurance. Another issue emphasized by the study is that there is no clear vision or intention to include or enforce other types of insurance services.
Pragmatically, only 22.39% out of the economically active employees in Yemen are covered by the social security and the majority of governmental retirees get less than (20,000) Yemeni Riyals/month each. The government, nevertheless, intends to raise
the minimum retirement benefit to that amount especially in the funds covering governmental employees. Yet, in respect of the private sector labor force, a percentage of 57% out of the total retirees get less than (5,000) YR/month and there is no plan to
raise this amount.
The monthly benefit of 20,000 YR given to beneficiaries as a minimum rate to meet their living needs is extremely insufficient.
This amount is less than the average rate for family expenses, especially that there is constant price inflation. All of this affects negatively the role played by the funds in elevating poverty and securing the basic needs of their beneficiaries and the latter's
The study further indicates that 97.5% of the funds' money is invested in treasury bonds, which means that investments in social and economic fields are very low. Not only that, what adds insult to injury is that their investments in socioeconomic projects have proven to be a failure because of the lack of basic requirements for success.
Regarding its recommendations, the thesis has jotted down a number of recommendations. Most of which is the necessity of mobilizing the role of the funds' board of directors.
Administrative systems ought to be designed to suit the nature of the funds' activities and to support the capacity-building and skill development of their employees. In addition to mobilizing the role of the funds' public relations, financial resources should be
provided and effective mechanisms should be made to meet the nature of each fund's work. Assistance should be sought from social security and insurance experts. All data and information pertaining to beneficiaries must be made available in order to facilitate the studying of their socioeconomic circumstances. Such studies would elucidate to what extent their needs are met and welfares are offered and whether making other social security types available or not. Additionally, work should be exerted to periodic increase of the minimum pension or retirement benefits according to objective standards and in concordant with the basic needs of a retiree and his dependents.
The study further recommends that all social security services should gradually be introduced, yet with specific focus on immediately putting into force medical insurance/care. Another issue of high priority is drafting social security legislations and
provisions while the legislative provisions of each individual fund should be taken into account.
Eventually, the study recommends that assistance should be sought from investment experts and socioeconomic investment projects should be expanded. This, however, should be done following feasibility studies. Emphasis should be given to investment project that aim at providing low-income people with housing and enhancing the role of the funds in generating job opportunities, reducing unemployment, improving health
standards and, thus, increasing the national revenues.