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How fair are unemployment benefits? The experience of East Asia

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Article

Hwang, Gyu-Jin

International Social Security Review

2019

72

2

April - June

49-73

unemployment benefit ; welfare state ; labour market policy

East Asia

Unemployment

https://doi.org/10.1111/issr.12202

English

Bibliogr.

"Despite an increasing emphasis on active labour market measures, unemployment benefits still remain a focal point of employment protection. This article takes the cases of four East Asian economies – China, Japan, Republic of Korea, Taiwan (China) –, which are often characterized as having welfare states with a strong developmental and productivist orientation, to investigate whether, as is sometimes argued, unemployment benefits are restrictive and exclusionary. In doing so, it examines the logic behind the design of unemployment benefits and argues that they are in fact progressive in design and fair when they pay out. Nonetheless, low effective coverage and low benefit rates weaken their redistribution and compensation objectives."

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