Analysis On The Effect Of Benefit Adjustment Of Social Endowment Insurance For Employees

It has been eight times that the State Council adjusted the benefit amount of Social Endowment Insurance since 2005. The society is concern about that, but few researches has been processed. This thesis will analyze the effect of benefits adjustment of Social Endowment Insurance for Employees from the sights of equity and continuity.The benefit adjustment of Social Endowment Insurance has a wide effect. This thesis analyzes how benefit adjustment affects the difference of pension level among different groups of people from the sight of equity. And it also analyzes how benefit adjustment affects the payable capability of foundation from the sight of continuity. Through analysis, we get two main conclusions. The first one is that, the adjustment policy cannot succeed to complete the task which is aimed to reduce the difference of pension level between retired employees and retired public officials, and it plays a negative role in reducing the difference of pension level between city and country. The second one is that, the adjustment policy aggravates the inequality between the right and the obligation of the insured, and increases the payable pressure of the Social Endowment Insurance foundation.This thesis thinks that we should accord to the principles of equity and continuity to perfect the Social Endowment Insurance, establish the pension level which is reasonable, and reduce the difference of pension level among different groups of people. Therefore, this thesis gives three policy advices, the first one is speeding up the reforming of the Social Endowment Insurance for public officials, the second one is increasing the pension level of farmers, and the third one is clearing the principles of benefits adjustment of Social Endowment Insurance for Employees.