Low contributory capacity of workers and small enterprises to contribute to social security systems on a regular basis is among the main barriers to their formalization and social security coverage in many countries.
Contribution subsidies are financial mechanisms that reduce the cost of social insurance contributions, particularly for those operating in informal or vulnerable employment conditions. They can be an important policy tool to aid in the transition from informal to formal employment, making social security more affordable and attractive while aiming to sustain long-term coverage.
Despite their widespread use in different contexts around the world, knowledge about the motivations, design and effectiveness of contribution subsidies remains scarce. Recognizing this knowledge gap, the ISSA collaborated with the ILO Regional Office for Arab States in 2024 to carry out a global review to identify, analyse, and synthesize national experiences with social insurance contribution subsidies.
As part of the ISSA-ILO Arab Social Protection Compass webinar series, this webinar will feature the results of the global review as well as a selection of national experiences, with a view to building the global evidence base on contribution subsidy mechanisms and enabling more informed decision-making at national levels, particularly in the MENA region.
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