The role of local authorities in promoting voluntary social insurance (VSI) in rural areas: The case of Melinh district, Hanoi : Luận văn ThS. Quản lý công

UPPSALA UNIVERSITÉT & VNU UNIVERSITY OF ECONOMICS & BUSINESS UPPSALA ƯNIVERSITET - -* * * _ _ _ _ MASTER THESIS OF MPPM THE ROLE OF LOCAL AUTHORITIES IN PROMOTING VOLUNTARY SOCIAL INSURANCE (VSI) IN RURAL AREAS: THE CASE OF MELINH DISTRICT, HANOI Author: Le Thi Lan Supervisor: Dr Sven-Erik Svard Local supervisor: Assoc.Prof Dr Tran Thi Thanh Thuy Class: MPPM - INTAKE H a n o i, J a n u a r y - Ỉ ABSTRACT Title: THE ROLE OF LOCAL AUTHORITIES IN PROMOTING VOLƯNTARY SOCIAL INSURANCE (VSI) IN RURAL AREAS: THE CASE OF MELINH DISTRICT, HANOI Level: Thesis o f M aster Program in Public Management Author: Le Thi Lan Supervỉsor: Swedish supervỉsor: Dr Sven-Erik Svard Vietnamese supervisor: Assoc Prof Dr Tran Thi Thanh Thuy M aster deíense day: Dec 5th, 2014 Aim: Voỉuntary sociaì imurance (VSI) is created for mobilizing resources from the society and encouraging the responsibilit}’ o f the people, reducing the dependences o f the people to State budget, whiìe improving their readiness to solve their own problem and that o f community as it comes Hoxvever, i t ’s diffìcuỉt to promote VSI in general and in ruraỉ area in particular due to the limitation o f job and opportunities, low income and awơreness Accordingly, local authorities supposed to abide well the regulation on the one hand and creatively and actively adapt and promote policies that match with the speciíìc context o f the locality This thesis used the case o f Melinh district (Hanoi, Vietnam) to tell a story and to dravv some lesions to be shared on this topic This research aims to: - Review related theories; - Summarize key related policies and regulations o f the Central govemment, Hanoi and Melinh authorities - Make a stake-holder analysis and overvievv o f the current situation, shedding a light to the achievem ents, shortcom ings, cause and effects o f VSI effort in Melinh Method: This research has employed both desk-based research revievv and empirical research including: interview, survey questionnaire to gather information for analyzing (100 random interviews with native farmers have been conducting, bringing in lots o f insight about the avvareness, need and capacity o f farmers in taking part in VSI scheme); a comparative approach for analyzing information (betvveen policy and practice; theory and policy, practice; intemational and Vietnam; Socson district and Melinh district) Quantitative analysis and qualitative interpretation o f data have been used The triangulation helps limiting disadvantages vvhile enhancing the advantages o f each method for ensuring the reliability and validity o f the íindings A stake-holder analysis and the Force Field model o f the drivers and the restraints o f the change analysis have established the backbone o f analysis o f the research Attaching to that, K otter’s theory on leading change helps to shed a light on the interpretation o f the related policy and practice Result & Conclusions: - Pursuing - SI is the sw is o f importance to any states, regardless types and time one o f main tools o f sw Hovvever, the burden to the State budget on this matter creates a place for many initiatives including VSI - VSI has a great advantage in mobilizing idle and ready Capital o f citizens for budget and increases the sense o f the people in preparing for the risk situations in the future by VSI, helping the people ensure their better life in future, enhancing welfare and social development in general, especially in rural areas However, “voluntary” capacity requires a number o f conditions for the membership to afford and take part such as awareness, effectiveness o f legal system, incom e - In Vietnam, VSI in rural area has been the subject o f a system o f law and regulations, practice and research - Using the case o f M elinh’s local authorities in promoting VSI in rural area, this research has found out: + Achievements o f VSI: avvareness, regulate, organization structure, incentives Thanks to the effect o f Vietnam Social insurance, NGOs, massmedia, famers, Central govem m ent and local authorities + A number o f shortages due to a range o f constraints: Local authorities take for granted; men move to city to find a job because o f urbanization in rural area, matter such as needs more time for family members to discus + A ccording the role o f local authority in the future (implementing policy better by m aking regulations, choosing key person vvho in charge o f prom oting VSI, choosing mass-media and speakers ), change must be in place if the situation to be improved and leading change should be a subject for discussing K otter’s 8-steps model o f change can be a good reference for local authorities Suggestions for future research: Further research can be conducted to explore the way VSI can be better promoted in the future through integrating practically socio-economical developm ent strategy with VSI Contribution o f the thesis: -Thesis indicates the potential for the Central government and ỉocaì authorities: + Stake-holder analysis suggests a better analysis o f íorces in the society in the course o f promoting VSI + Some speciíĩc solutions + Suggest better leadership skills to lead change - For researcher: + Helps researcher understand, better use and adapt some theories and approach Key vvords: Voluntary social insurance, rural areas, Melinh, local authorities, K otter’s leading change, quality o f life TABLE OF CONTENTS LIST OF ABBREVIATIONS AND A C R O N Y M S LIST OF TABLES AND FIG URES IN T R O D U C TIO N 1.1 B ackground 2.2 Research question 2.3 Research purpose FRAME OF R EFER EN C E RESEARCH M E T H O D S EM PIRICAL D A T A 11 DESCRIPTIVE A N A L Y SIS 11 6.1 Social insurance and Voluntary social Insurance as a policy tenn 11 6.1.1 Social Insurance (SI) 11 6.1.2 Voluntary sociaỉ insurance (VSI) 14 6.1.4 From policy to reality 19 6.2 The case o f Melinh district 20 6.2.1 Brieffor Melinh district 20 6.2.2 The farmers willing to have VSI 23 6.2.3 The reality 26 6.2.4 Stake-holder analysis 29 REFLECTIONS AND C O N C LU SIO N S 34 REFERENCES 39 APPENDIX 1: 41 INTRODUCTION 1.1 Background The concept o f social welfare can be understood as the protection o f society, as the guaranteed society or the safety o f society) has appeared since the govem m ent o f President Roosevelt (1933-1945) and attached to it is íìnding the vvay to decide on Human Rights 1948 contract United States o f America Social welfare or guarantee society can be understood that the most common is the guarantee o f an individual's life or the basis o f the members live in society because society made It enables members o f society to avoid the basic loss o f income, empIoyment from risks to stabilize social life T.H M arshalTs (1950) proposed that social citizenship constitutes the core idea o f a welfare State.2 But the concept must involve the granting o f social rights Welfare State cannot be understood just in terms o f the rights it grants It must also be taken in to account how State activities are interlocked with the m arket’s and the fam ily’s role in social provision The vvelíare State is as a system o f stratiíication.3 However, in relation to economic policy, the concept o f social welfare is understood as the uniíịrm measures o f social policy has a direct effect not onỉy contribute to improving living facility but also protect the basis o f each member's life in society from risks the direct impact to ensure survival and socio-economic strata o f the population If according to the objectives o f the Commission o f the International Labor Organization (ILO) in 1951, on the minimum standards o f social vvelíầre is to be achieved: the medical examination, treatm ent and prevention o f disease by doctors medicines, medical equipment and health Service when people get sick; life assurance as involuntary loss o f all or part o f their income Dr Thanh, N euyen Dinh (2012), The main pillars o f the National Social Security System , Social Insurance joum al Esping-Andersen (1990), The three political econom ies o f the welfare-state p l ■ Esping-Andersen (1990), The threc political econom ies o f the welfare-state as well as keep the additional welfare payments for income themselves and family members on a regular basis When the above conditions have been met, this understanding o f the interests or goals o f social welfare have been made.4 Social welfare (SW ) is o f importance in every State, at any stages o f development Thus, s w refers to those policies issuing protective in order to protect people from risks o f economic and social loss or suffering Theoretically, social welfare supported to cover up all population groups M ore speciíically, social welfare refers to the protection o f society for its members by a series o f public measures to shore up the deíicit cantilever economic and social loss or reduction due to sudden power income because o f sickness, matemity, occupational accidents and occupational diseases, unemployment, disability, old age and death, including the protection o f health care and care for íam ilies with small children or when encountering disaster groups Each nations, depending on political trends, economic levels - social, historical development and different conditions that build a social welfare system with the range o f participants and enjoy sales, financial methods and different implementations Based on de-commodifìcation and stratification, welfare states are different regimes in the difference countries There are three welfare State regimes that including the conservative regime (as Japan), the socialist regime (as Svveden) and the liberal regime (as United State o f A m erica).5 Social Insurance is one o f the main pillars o f the social security system, contributing to the progress and social justice, stabilize people's lives, social and political stability Given its signiíìcance, the state’s capacity and budget are unable to cover everything because it needs to ensure public investment in all sectors Thereíbre, voluntary social Insurance (VSI) is Dr Thanh, Nguyen Dinh (2012), The main pillars o f the National Socia! Security System , Social Insurance ịoumal Espins-Andersen (1990), The three political econom ies o f the welfare-state created for mobilizing resources from the society and encouraging the responsibility o f the people, reducing the dependences o f the people to State, vvhile improve their readiness to solve their ovvn problem and community when it c o m e s VSI has many advantages and beneíits However, it’s diffícult in implementation o f VSI It has many difficulties due to many reasons, especially for the rural areas with the lovv living Standard, lack o f awareness o f SI and social responsibilities In Vietnam, accompany economic developm ent are prịund changes in social policy system and especially social welfare system Until now, the social welfare system in Vietnam, despite various íeature o f a developing country but have gradually improved and integrated with the social welfare system o f the world, both in terms o f theoretical and practice The social security reform was carried out in 1995 and also ửequently supplement or amendm ent promptly in accordance with the current situation o f State o f the economy - social stages Social insurance is considered as an important management tool in providing the íinancial and material readiness and support for the people in the case o f vulnerable or disadvantage situations SI is come to tenn Law on SI is the crucial framework based on it, the State regulates, reflecting com m itm ent and the competence o f govem m ent to protect the future, to ensure the readiness for any circumstances to happen and to continuously improve the quality o f life In particular, law on SI and its regulations creates a guideline to direct behavior and activity o f both individual and groups tovvards fulfillment o f respectively rights and obligations; sharing and providing support, ensuring equity and sustainability o f the system.VSI in the rural areas faces the status that it’s agriculture economy with low income, high risk in income and living Standard due to the dependence to the nature And rural areas are transitioning towards industrial So it’s a dilemma that although agriculture product is still the key but agriculture area is narrovv, urbanization changes rural life vvays, income from agricultural iníluences It changes their minds on SI It’s suggested that selffmancing for self protections should be applied and motivated for them in order to get avvay for that situation Given the fact that, it’s noted that social Insurance (SI) in general and VSI in particular have faced diffículties in getting introduced Several causes have been cited including: 1- From the public policy perspective: policy many shortcomings o f the benetìts o f those who voluntarily participate in 2- From the perspective o f the citizen,s capacity: that again is divided into two categories: the awareness and economic situation and status 3- From the perspective o f professional system: In which Vietnam Insurance has a role to play Given that, the local govemment’s capacity plays a crucial role This is shown as a nevvly emerging tendency in Vietnam, matching the new philosophy o f public administration within public refonn process In Hanoi and Melinh district, atĩer the Social Insurance Law in 2008, studies has not proposed to VSI in rural areas o f Hanoi and the role o f local govemm ent In using a case study o f Melinh district in Hanoi, this research discovers the underlying advantages o f VSI, requirements to boost up the participation and the challenges that hinder the process All o f this will be conducted under the light o f an attempt to justify the role and capacity o f the local govem m ent in the relation with related stake holders Before this research, there has been intensive research on social Insurance, social welfare studies that aim to provide solutions that cover Social, Health, unemployment Insurance or social insurance fund safety through improvement o f policies, administrative rịrms, such as the role o f the State in the implementation o f social Insurance policies(Bui Van Hong, 1997); Rịrm o f administrative procedures in the process o f implementing social security policies in Vietnam (Linh Nguyen, 2010); Social security for farmers in market economy context (Mai Ngoe Anh, 2009) The People's Comm ittee o f Hanoi also had Planning o f social network developm ent base in the province o f Hanoi in 2020, Vision 2030 There’s a shortage o f researches o f VSI in the vvorld and in Hanoi M elinh is a suburban district o f Hanoi city with a large agricultural area So we need an in-depth research o f VSI in Melinh district for sampling o f rural area in Hanoi The thesis indicates potential for this policy can be implemented more effectively to creating better quality o f life for rural citizens The theories and analysis frameworks o f leading change, leadership skills were used throughout the research K otter’s theory on leading change shed a light on the judgm ent o f the related policy and practice 2.2 Research question This thesis’s conduction to answer the following questions: What are the benefits o f SI in general and VSI in particular? What role local authorities play in promoting VSI in rural areas in Vietnam? What are factors hinder them to play that role? What type o f leadership and management system should be in place for them to it effectively? 2.3 Research purpose This research aims at: Understanding the theoretical and íoundation o f SI and VSI from policy perspectives Briìng about the policy and regulations setting in Vietnam on that 27 Table 4: The participating o f VSI in the íìrst months o f 2014 Number of No Locality participants Amounts (Person) Quangminh town 13 22.803.000 Vankhe commune 14 21.538.000 Tienthang commune 18 29.018.000 Daithinh commune 7.227.000 Tulap commune 3.564.000 Chuphan commune 21 37.620.000 Tam dong commune 25 54.175.000 Lienmac commune 14 31.218.000 Kimhoa commune 34 51.777.000 10 Melinh commune 11 24.486.000 11 Thanhlam commune 23 58.773.000 12 Thachda commune 18 26.796.000 13 Tienthinh commune 11.616.000 14 Tienphong commune 13 23.894.000 15 Hoangkim commune 17.820.000 16 Vanyen commune 16 26.004.000 17 Trangviet commune 20 30.296.000 18 Chi dong town 11.847.000 273 490.472.000 Total The table above shovvs the level o f participation in the social VSI, the tovvn in the district o f Melinh uneven Quangminh town and Chidong town have many households and business, freedom labors, economics are strong but not participate 28 The VSI activate social participation than it vvas part o f the trade or profession communes have built, but the employees go out o f business outside makes the local multiple collisions and awareness should be increased In Thanhlam, Tamdong, Kimhoa commune, cultural officers are interested in propaganda VSI Thanhlam is also vvhere íịrm er Insurance agency, so there are many people has participateđ Hovvever, these íìgures are still modest The above is due to the implementation o f policies drastic shortage, lack o f uniíịrm ity in the locality Therefore, their implications are low effíciency, poor effects, no pattem , typical in Promoting VSI to replicate Chart 1: VSI participation (2010-2013) 400 m 350 300 250 200 150 100 50 2010 2011 2012 Năm ■ VSI participants in Me Lỉnh district ■ VSI participants ỉn Soc Son district 2013 29 The lesson learnt from the case o f Soc Son district shovv that VSI is increasing slovvly in rural areas Thus, we can see the social insurance in Melinh is low compared to the situation o f the city VSI End o f September 2014, there are 1.251.629 people have participated SI in Hanoi city, included 14.389 VSI participated one, by 141% compared to the prior im plem entation o f social Insurance law (883.385 participants in 2007)26 The main cause o f the slower increasing includes main issues: - The conditions o f the people but has improved gradually but not high, go along vvith the awareness o f the need to participate VSI is not high - The local governm ent has not paid attention and investm ent on this m atter 6.2.4 Stake-hoỉder analysis Voluntary Social Insurance (VSI) policy meant deep humanity When participating in voluntary social insurance, self-employed workers vvho have low incomes, unstable as farmers or craftsmen vvill be entitled to a pension, contribute to ensuring life in old age On 01/01/2008, voluntary social Insurance for farmers has offícially takes effect But five years later, many farmers still vague with this type o f Insurance High level o f play and difficult policy approach are acknovvledged by many íarmers on voluntary social Insurance Theretbre, this welfare policy has "rules" vvhen reaching the villages In addition, the Standing o f committee on social issues27 also indicated voluntary social insurance policies exist to current shortcomings and not equal to the mandatory social Insurance payments 26 Thao, Nguyen The (2014), Social insurance Joumal no.295, p io 27 Mai Truông Thi (2014) 30 Survey on the level o f consensus o f the people in the clearance, consolidation, new rural construction, the work o f religion, the íbrmulation and implementation o f democratic regulations, building economy models and other policies: 98% o f respondents answered that agreement, including who claims complaint also asserts that compliance with the law and abide by the policies advocated by the Central Government and the State proposed 95% o f respondents believe in local govemment Increasing social Insurance fund is a difficult job, but vital, it requires drastic in the party committees, govem m ents at all levels, political organizations - social, unions and the every citizen body.28 Diagram 3: Stake-holders of VSI 28 Sinh, Do Van (2014), The People joum al no.205, p27 31 With the main activities on the VI market, we can see the roles o f five relative stake holder: Table 5: stake-holder analysis o f VSI N am e o f Responsibility Interest Resources Stake holder Ministries They show their power and and the abilities by their duties and Ministerial- authorities in administrative level offices managements Support Policy and legal frame - Improvement o f policies Local authorities - Implement their roles o f welfare in local - Support - Object: - Local mobilizes and awareness o f propagate supporting to implement other playing the roles o f citizens to policies in local such as public local govemments participating health, and individual responsibility in some provinces VSI o f citizen in stabling social and districts is - Results o f VSI have been - Can be restrained Human connected to resource problems local ppp - Propaganda mobilizing people; about quantity or programs Dissemination, guidance, discuss capacity/ability - Policy eníbrcement policy speciíìes the actions with people Listen to their opinions the legitimate aspirations o f the people - Coordination vvith local insurance agencies Staíĩ o f Social Insurance offĩces - Receive salarv, wage and - Support: offícers - By themselves compensation for results o f their have enough and some assignment conditions and collaborators professional team (if they are knowledge to short o f - Practice and enhance their competence - Have knowledge to care and - Obịect: some o f manpovver 32 protect for their family, relative and them especially at citizens area in diffìcult developing VSI conditions, have is depended on had barriers such as their abilities - Work closely with local authorities - Revenue Management - VS1 fund expenditure - The result o f low vvage, and ability - Communicate, advocacy, disseminate and guide participants Farmers/ They receive mostly benìts o f Support in rural areas native the VSI such as be supported, people protected cared and decrease farmers/ people in have been risks rural areas who receiving - Participate in VSI have a lovv income beneíits actively - Support and additional or weakness health and their family restrict this policy will be received comments on the policy Object: the Famers/ people beneíits passively The participated tầrmers can be served a model in citizens Business Have a povver o f tìnance to invest Support - Social responsibility - Making jobs and íìnance resource for Obịect: Comniercial insurance business society - Not willing if no benefit -Strength o f advertisement and communication 33 - Have strong manpovver Social community Support - Have better life conditions such They did not impact the as increase social security and policy They reduce social evils when face risk partly support - Supervision and criticism o f how activities o f the insurance agencies and authorities policy indirectly Vietnam Social Insurance is organized and managed hierarchically organized, centralized and unifíed from the Central to local levels, including: (i) The center is the Vietnam Social Insurance (ii) The provinces and cities directly under the Central Govem m ent's have social Insurance departments (iii) The districts, towns and cities o f the province have social insurance agencies Social insurance office o f Melinh district has 22 staff included lperson vvho in charges o f VSI Survey perceptions o f commune govem m ents in 16 agricultural commune on the importance o f promoting responsible VSI and VSI, the results show that the local authority is left open this issue; Bureau o f cultural and bureau o f labour, invalids and social are insurance only care about the health The local authorities take it granted There may say alm ost no efforts and investments in promoting VSI In the above analysis showed that VSI has a future in Melinh district The main point is the local govemments have to change the vvay o f thinking and doing Using the Force Field model to analysis the drivers and the restraints o f the change: 34 Table 6: The drivers and the restraints of the change Restraints Drivers Commercial insurers Party leaders Governm ent leaders Local Authorities Related staff o f comm unes Life insurance SI Agencies participants Trade Union and ending for working age people Other unions (farmer associations ) - ' vvithout social Insurance The saving funds, banks Banks, post offíces Most o f citizens (native people/farmer) Who not willing to participate Mass-media Advertisement o f CI Business Limited budgets (The prọịect can follow a PPP) The local govem m ents although take for granted but appreciate the necessity o f change, they put importance on it and synthesize activities Fam ers are in the urbanization situation that men move to city to find job, so m atter such as VSI needs more time for family m em bers to discus They have low income and look at current situation and near future rather that longer They d o n ’t predicting or taking up vvith the future especially risks and crisis Business participates for beneíĩt They look for business grovvth, VSI considered as a great potential investment REFLECTIONS AND CONCLUSIONS The case o f Melinh district has shown that: VSI is seen as key source for social and economic policies in the sense that: on the one hand, VSI should be a matter o f policy integrating 35 socio-economical development vvith mobilizing the voluntariness from the com m unity On the other hand, VSI helps to bring in a supplementary source for nation and local budget for developm ent More importantly, it’s the aw areness and responsibility o f the citizens to share the mission o f protecting future with the State VSI enhances welfare and social developm ent in general, especially in rural areas Vietnam has a legal and policy framework on social Insurance in general and VSI in particular The fram ework o f Vietnam and Hanoi policy directed to work hard to developing welfare State The local authorities have im plem ented many social vvelíare policies The govem m ent and the people have high consensus The people have coníĩdence and believe in the govem m ent A lthough the suburban countryside, but people's cognitive and consciousness are relatively uniform, people usually update news, absorbing the policies rapidly Períorm ance o f VSỈ prom oting is relatives in effective due to a number o f constraints as followed: - Lack o f staff directly in charge o f prom oting VSI - The local govem m ents have not yet vvorked by their full potential Social Insurance management systems lack o f professionalism, lack o f proactive approach to the em ployee and the em ployer.29So V SFs weak They have not strengthened in the im plem entation the policy o f VSI Because they have not that the coverage o f social insurance for the entire population is urgent and vital in welfare In that sense, change must be in place if the situation to be improved Accordingly, leading change should be a subject for discussing Leadership in a nutshell m eans m obilizing com m itm ents, resources, energy, through creating strategy, inspiring in order to make change 29 Sinh, Do Van (2 ), The People joum al no.205, p26 36 In introducing and sustaining change, K otter’s 8-steps model o f change can be a good reference for local authorities This model com prise continuous steps (see page 10) In using it: First, ỉocal authorities can start by m aking the relevant personnel are aware o f the urgency The heads o f the govem m ent have to start this change program They can use the control measures, evaluate and make conclusion, then praise the good individuals and critic local or individuals Description comparisons with other districts, or focus and create atm osphere for stakeholders to change the feeling, to feel it necessary to change to better Stakeholders will notice if you not com plete the task Leadership in implementing policies VSI is urgently required to meet local mission and ensure good welfare work For citizens, create urgency by the risk analysis and the risks typical lesson, the advantages o f participating Vietnam ese VSI in other localities As well as tow ards the construction o f a new culture for each family to join them to see the VSI is the common culture o f the community, to build a better society Second, creating a vanguard o f people who prestige, have skills and wide ties, reputation and authority official to lead the change The group leamed hovv to operate all o f the excellent team with confidence and deterinination These are the people in charge o f labor and social affairs o f unions in districts and communes and tovvns Third, based on the general plan o f the city in 2020, the district's own planning, must reílect the Vision, overall goals and objectives o f each stage and overall objectives Show public iníorm ation and im plem entation, and aims This Vision vvill be thoroughly understood by the entire staff (fourth step) Use the message simple and sincere, are sent through multiple channels and repetitive The aim is to make people understand, build comm itment and arouse energy changes from numerous individuals (fífth step) 37 Then, the leaders empovver and support for some individuals to follow their charge and succeed in short term Small success gives people the confidence, motivation and impetus to the struggle Increase accountability for officials in charge o f insurance and civil servants in communes and tovvns in promoting VSI When change is awareness and sense o f responsibility o f staff, continue to implement the plan outlined, step by step how to make changes everywhere Then, create the waves o f changing, intellectual focus, and goals, and work together to overcome difficulties with Citizens in participation in VSI Finally, those who lead the vvay are created in organizations throughout the change svveeping and comprehensive by cultivating a nevv culture New cultural norms and values general- behavior developed through perseverance eíĩective action in the appropriate time period In particular, to obtain large differences should promote timely and orientation for new staff skills and create events can impact emotions The person who has prestige among the people will be the extended arm o f the govemment Head o f the village in the district should be praise worthy if executed better results In including change for better VSI períịrmance, as K otter’s framework indicated coalition is o f importance For local govemment, in the case o f VSI promoting, p pp provides a good framework for coalition and resource mobilization For example o f ppp that if businesses take part in VSI schemes o f Melinh district, they will be offered preíerential in license authorizing, inírastructure, tax or levy relaxing; the fanners voluntary participate in public building, they could be given special treatment in VSI premium ppp advantages are: increasing vvelíare fund, sharing responsibility, opening a door for society, especially helping to understand better the govem m ent about burdens and limitation o f resources Local authorities should have a p p p management unit for monitoring process o f co-operations 38 p p p for VSI has assignment for local authorities (People’s committee) and business as belovv: - People’s committee creates regulation, legal frame and conditions for p p p (inírastructure, license ) - Business share a part o f payment for VSI participants, create jobs, vocational training for native people, provide loans for farmers to produce to eam money for living and taking part in VSI In conclusion, the social Insurance coverage to all citizens is a very importance role o f local authorities Rural areas in which Melinh district o f Hanoi is a proof shows that the promotion o f voluntary social insurance is a very diffícult work This is a challenge for the local authorities, but also as an advocate for local to implement vvelíare policy better Development o f sustainable social and economic responsibilities associated with the im plem entation o f social Insurance policies o f the society w ill open up an era vvhere people's lives are improved, better welfare, social ease burden that the risks posed By this way, the govemm ent and the people will achieve the overall objectives o f the VSI 39 REFERENCES A.J Culyer (1995) "Need - the Idea Wỉll not So - but We Still Need It," Social Science and Medicine, 40, pp 727-730 Anh, Dang Khac (2013) & Hung, Nguyen Khac (2011) Fundamentaỉs o f pubìic management (Lecture slides) Retrieved O ctober 2013 from VNU University o f Economics and Business Cumm ings Thomas G & Worley Christopher G (2008) Organization deveỉopment &change 9.ed, Mason, Ohio: South-W estem Dr Thanh, Nguyen Dinh (2012) The main pilỉars o f the National Social Security System, Social insurance joumal Esping-Andersen (1990) The three poỉitical economies o f the welfare-state, Polity Press General planning o f construction o f Hanoi in 2030, Vision 2050 Lars-Torsten Eriksson and Sven-Erik Svard (2014) Leadership, strategy and change (Lecture slides) Ministry o f Health Construction and Development o f Vietnam's health secíor, retrieved from w ww m oh.gov.vn/hom ebyt/vn/portal/InfoList.jsp?area=58& cat=1468 Nguyet, Hoang Thi Thuy (2014) Market Faiìure and the roỉe o f government (Lecture sỉides), Retrieved M arch llth 2014 from VNU University o f Economics and Business 10 Nguyet, Hoang Thi Thuy (2014) Monitoring and evaluation in public imtitution (Lecture sìides) Retrieved July 2014 from VNU University o f Economics and Business 11 Nguyen Thuan (2005) Public Economics Published by Statistics- Ho Chi Minh City 12 Planning o f the overall Socio-economicaỉ development o f Harìoi 2020, Vision 2030 40 13 Sinh, Do Van (2014) Solution for Sociaỉ Insurance fund development, The People joum al No.205, pp.26-27 14 Social-Economical deveỉopment Strategy o f Hanoi in 2030, Vision 2050 15 Thao, Nguyen The (2014) Policy on Social, Health is an important contribution to ensuring social weìfare in the Capital, Social Insurance Joumai (ISSN 1859-2562), October 2014, pp.9-11 16 The National Assembly o f the Socialist Republic o f Vietnam (2006) Law o f social Insurance 17 The objectives o f the Party Congress Resolution o f Melinh district, the period o f 2010-2015 41 APPENDIX 1: SU RV EY FO R M N o.l (600 random farmers) Age: Gender: Please ansvver the following questions, tỉck (V) the most appropriate options: Do you think that Insurance is important? □ Yes □ No • Have you ever heard these types of insurance? □ Baoviet life □ Prudential □ Social Insurance • Are there organizations vvhich of the fol!owing introduce Insurance? □ Bank □ Post office □ Agencies/individuals Have you ever heard o f voluntary social Insurance (VSI)? □ Yes □ No • YVhere have you heard? □ Comm une head offìce □ Village/ public associations □ outside regions • F ro m vvhom: □ Radio/television/joumal □ Poster □ Local authorities • F o rw h a t: □ Policy □ Regulation □ Benìt o f VSI Do you think that you need to be protected by VSI? □ Yes □ No • W hich regimes o f VSI that you need for the current status? □ Pension □ M atem ity □ Death allovvance □ Work accidents, occupational diseases □ Sicknesses □ Health Insurance Have you participated in VSI? (*) □ N otyet □ Yes • How long have you taken part ỉn VSI? □ year ago □ years ago □ years ago □ before 2009 (*) I f you say " yes ”, answer following question by filỉ in the dotted ỉine: • W hat you think about VSI after participation? (*) I f you say "not yes ", answer folìowing question: • W ould you like to participate in VSI in the next years? Why not? □ Yes □ No -ỳ ( □ Low income □ I have bought others) W hat have been local authorities doing for VSI? □ Regulation □ Propagating □ helping famers to loan □ Helping young people to fínd job □ Opened VSI agents Thanks for your cooperation, Wish you all the best, □ others