Social Security (Minimum Standards) Convention, 1952 (No. 102) - Honduras (Ratification: 2012)

Direct Request (CEACR) - adopted 2019, published 109th ILC session (2021)

Part II (Medical care). Article 9 in conjunction with Article 1 of the Convention. Dependent spouses and children. In its previous comments, the Committee observed that the national legislation defines the term “child” as a person under 11 years of age and only authorizes the spouses of the principal insured person to benefit from medical maternity benefit and invited the Government to indicate the measures adopted or envisaged to bring the legislation into conformity with the Convention. The Committee notes with interest the Government’s indication in its report that section 60 of Decree No. 56-2015, the Framework Act on the Social Protection System, establishes that the minor children are covered by the Social Protection System until they reach 18 years of age, and without an age limit when there is some kind of particular disability or incapacitating terminal or chronic disease. The Committee requests the Government to indicate, where possible, the number of spouses and dependent children covered.

Part VIII (Maternity benefit). The Committee notes the information provided by the Government in reply to its previous request in relation to medical benefits for maternity.

Part XI. Standards to be complied with by periodical payments. Articles 65 and 66. Level of periodical payments. The Committee notes the information provided by the Government in reply to its previous request regarding whether it wishes to have recourse to Article 65 of the Convention and the number of persons covered, as well as the indication of the level of periodical payments made for the various contingencies accepted for the Convention.

Article 65(10). Review of the current periodical payments. The Committee recalls that Article 65(10) of the Convention provides that the rates of current periodical payments in respect of old age, employment injury, invalidity and death of breadwinner, shall be reviewed following substantial changes in the general level of earnings where these result from substantial changes in the cost of living. The Committee once again requests the Government to provide information on the review of the rates of current periodical payments in respect of old age, invalidity and death of breadwinner, in accordance with Article 65(10) of the Convention.

Part XIII (Common provisions). Suspension of benefit. The Committee notes the information provided by the Government in relation to its previous comment on the scope and application in practice of the authorization to suspend benefit in the event of closure of the enterprise for over 30 days, which is not included in the reasons enumerated in Article 69 of the Convention.

Part XIV (Miscellaneous provisions). The Committee notes the information provided by the Government in reply to its previous comment.

Articles 71(1) and (3) and 72(1), and application of the Convention in practice. Structural reforms of the system. In its previous comment, the Committee requested the Government to indicate the progress made as regards the envisaged reform, along with information on the actuarial studies undertaken or planned for this purpose and the consultations held to ensure social and political support for the reforms. The Committee notes with interest the adoption of Decree No. 56-2015, the Framework Act for the Social Protection System, examined in several meetings by the new Economic and Social Council (CES), established through Decree No. 292-2013 and Decree No. 77-2016, which introduces changes to the Private Contributions Scheme and other institutions in accordance with the new provisions. The Committee notes that the Act is based on, inter alia, a basic protection pillar known as the “social protection floor”. The Committee also notes Executive Decision No. STSS-008-2017, agreeing to partially amend the proposal sent to the Executive Branch on employers’ and workers’ contributions to finance the different regimes and pillars of the Social Protection System. The Committee requests the Government to provide detailed information on the impact of the new legislation on the application of the Convention, particularly Parts V, IX and X, along with information on Executive Decision No. STSS-008-2017 on employers’ and workers’ contributions, recalling that Article 71(1) of the Convention provides for the collective financing of social security, avoiding financial hardship to persons of small means. Lastly, in accordance with Article 71(3) of the Convention, the Committee requests the Government to continue providing the results of actuarial studies concerning the financial equilibrium of the social security system.

Direct Request (CEACR) - adopted 2014, published 104th ILC session (2015)

The Committee notes the first report provided by the Government, and the observations made in 2014 by the General Confederation of Workers (CGT) and the Honduran National Business Council (COHEP) (with the support of the International Organisation of Employers (IOE)), on the application of the Convention. The Committee wishes to draw attention to the following points.

Part II of the Convention. Medical care. The Committee notes that the national legislation:

• – defines the term “child” as a person under 11 years of age, while Article 1(e) of the Convention provides that a child means any person under 15 years of age;
• – only authorizes the spouses of the principal insured person to benefit from medical maternity benefit, while Article 9 of the Convention requires coverage by medical care for the wives and children of the principal insured person.

The Government is requested to indicate the measures adopted or envisaged to bring the legislation into conformity with the above points.

Part VIII. Maternity benefit. The Committee requests the Government to indicate the provisions in the national legislation which guarantee the provision of maternity medical care free of charge.

Part XI. Articles 65 and 66. Standards to be complied with by periodical payments. The Government is requested to indicate whether it wishes to have recourse to Article 65 or Article 66 of the Convention and to demonstrate that the level of periodical payments made for the various contingencies accepted for the Convention complies with the minimum level envisaged by the Convention, and to provide statistics on the (minimum) number of persons covered in response to the observations of the CGT, according to which only 12 per cent of the population is covered, and on the adjustment of the amounts of the current periodical payments provided for old age, invalidity and death of the family breadwinner.

Part XIII. Common provisions. Suspension of benefit. Recalling that the Convention enumerates in a limitative manner the cases in which benefit may be suspended, the Committee requests the Government to provide further information on the scope and application in practice of the authorization to suspend benefit in the event of closure of the enterprise for over 30 days, which is not included in the reasons enumerated in Article 69 of the Convention.

Part XIV. Miscellaneous provisions. The Committee wishes to draw the Government’s attention to Article 76, which indicates the legal and statistical information required by the Convention and which has to be provided by the Government with each of its periodical reports on the application of the Convention. This information should be organized on the basis of the report form for the Convention. The Committee requests the Government to take into consideration these various obligations when preparing the next detailed report which is to be submitted in 2017.

Structural reforms of the system. The Committee notes the indication contained in the Government’s report that the recent reforms have essentially concerned changes made to the ceilings for benefit levels, without however resulting in a solution to either the financial crisis affecting the social security system, nor the loss of inter-generational solidarity in relation to pensions, nor the shortcomings in health coverage. There is also a significant financial deficit in the system due to the evasion of contributions, including in the public sector, and the need for the State to improve supervision. The Government indicates in this regard that it hopes that the announced structural reforms will be undertaken in compliance with the underlying principles of social security with a view to guaranteeing social security to the population as a whole. The CGT indicates that the social security system is in a precarious situation, with an old-age pensions system that has deteriorated and a health sector that is in a calamitous position. The CGT therefore considers that the Convention is not applied as the Government does not contribute as an employer to the financing of social security and wishes to amend the legislation unilaterally without any consultation. The COHEP confirms that it has not received any draft legislation from the Government relating to the planned reforms which would enable the private sector to make its position heard or to formulate proposals with a view to achieving a global, progressive and sustainable reform.

The Committee notes that, in its reply to these comments, the Government indicates that the proposed reform aims at establishing a new inclusive social security model covering a greater part of the economically active population such as informal and agricultural workers, domestic workers, those employed by the maquila sector and non-governmental organizations. The reform is thus intended to go beyond protection in respect of health care by securing protection in old age for these categories of workers.

While taking due note of this information, the Committee wishes nonetheless to emphasize that well-established social dialogue is a valuable means of control to ensure that social security schemes operate correctly and are reformed continually with the participation of civil society and enterprises in a manner that promotes social cohesion. In the same way as Convention No. 102 which, in Article 72(1), provides for the principle of the participation and/or consultation of the representatives of the persons protected in the management of social security systems, ILO standards as a whole recommend the reinforcement of the tripartite administration of social security schemes. The Committee considers that the success of reforms depends on consensus between the social partners and broad social adhesion. Accordingly, the holding of broad tripartite consultations results in increased confidence among those participating in the system and makes it possible to prevent a hardening of conflicts when significant reforms of the system become necessary. Moreover, effective social dialogue is essential for good governance, policy coherence and the fair distribution of the costs and benefits of reforms. It is also a powerful factor of economic efficiency as time spent on dialogue is well invested when it results in broad social and political support for the necessary reforms (paragraphs 535–572 of the 2011 General Survey Social security and the rule of law). Furthermore, the Committee recalls that, in accordance with Articles 71(3) and 72(2) of the Convention, the State shall accept general responsibility for the due provision of benefits and the financial equilibrium of the system, and for the proper administration of social security institutions and services based on the participation and/or consultation of the representatives of the persons protected and well-established social dialogue, particularly in the case of reforms of a structural nature. The Committee wishes to reaffirm that the regular actuarial studies provided for in Article 71(3) and the participatory management of the system envisaged in Article 72(1) of the Convention together offer the best guarantees of the competent and transparent management of the social security system which avoids and prevents the risk of financial losses, loss of equilibrium and the non-sustainable development of systems.

Noting that the Government has availed itself of the possibility to seek the technical assistance of the Office as regards the envisaged reform, the Committee requests the Government to indicate in its next report the progress made in this respect, the actuarial studies undertaken or planned for this purpose and the consultations held to ensure social and political support for the reforms.