Is Jordan Achieving the Social Insurance Goals of its New Social Contract?

• There is a regulatory gap in social insurance schemes for private sector jobs. The Jordanian social insurance scheme covers almost all types of jobs, except two types of wage work representing 35% of private sector wage employment: agricultural, domestic workers; those who work for wage but less than 16 days. 
• In addition, there is a compliance gap as well. Among those jobs that are covered by provisions of the social insurance law, the effective coverage rate among private sector wage employment is on average 39%.  
• Although the Social Security law does not discriminate by gender or nationality, yet there are significant differences in effective coverage rates by nationality. Jordanians are more than 6 times more likely to have social insurance coverage in their private sector wage work than non-Jordanians.
• Economic sector, firm size in terms of number of workers, and regularity of employment among key factors that determine access to social insurance coverage in the private sector.
• True irregular employment – in which a worker does not remain with any employer for more than a few days – is among the most challenging forms of employment to effectively cover.

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