Aruba Social Security and Labor Market Reform

In collaboration with De Beleidsonderzoekers, Amsterdam Bureau for Economics conducted research into Aruba’s social security system. The current Aruban social security system does not sufficiently provide an adequate social safety net and does not contain sufficient incentives to activate and prevent incapacity for work. Several concrete proposals have been made to modernize Aruba’s social security system. Calculating the financial effects makes it clear that these reforms deliver structural public savings, without increasing costs for employers, and lead to improved labor productivity. The reforms have been tested with social partners and stakeholders and an implementation trajectory has been mapped out.

As a result of the results of the study, the clients (Aruba and the Dutch Ministry of Social Affairs and Employment) asked De Beleidsonderzoekers and the Amsterdam Bureau for Economics to draw up a policy document with an integrated program of reforms in the field of social security and the labor market. The content of this document was presented and discussed in September during a conference with social partners, stakeholders, experts, civil servants and administrators. This has started the social debate in Aruba about the modernization of the social security system and the labor market.

The reports with the results can be read here.