Direct Request (CEACR) - adopted 2025, published 114th ILC session (2026)

In order to provide a comprehensive view of the issues relating to the application of the ratified Conventions on social security, the Committee considers it appropriate to examine Conventions Nos 19, 102, 118, 121, 128 and 130 together.

Article 1(2) of Convention No. 19 and Articles 7 and 8 of Convention No. 118. Payment of benefits abroad and social security agreements. The Committee notes the information on the implementation of the Ibero-American Multilateral Agreement on Social Security.

Article 10(1) of Convention No. 118. Equality of treatment for refugees and stateless persons. The Committee notes that, according to the Government’s indications, there is no relevant legislation ensuring the principle of equality of treatment for refugees and stateless persons. In this context, the Committee requests the Government to provide information on the measures adopted to ensure that the provisions of the Convention are applicable to refugees and stateless persons without any condition of reciprocity, as required by Article 10(1).

Temporary exceptions specified when ratifying Conventions Nos 102, 121, 128 and 130 in 1977. The Committee notes that the Government availed itself, at the time of ratification, of the possibility envisaged in these instruments of temporarily restricting the scope of the persons protected and their entitlement to benefits. The Committee recalls that these exceptions are envisaged for countries whose economy and medical facilities are insufficiently developed and that, in light of their temporary nature, they require a periodic assessment of the reasons that justify such exceptions. Considering the time that has elapsed since the ratification of these Conventions, the Committee requests the Government to provide information, for each temporary exception, on the reason that justifies its maintenance or the intention of renouncing it as from a specific data.

Conventions Nos 102, 121, 128 and 130. Scope of coverage and level of benefits. The Committee recalls that the fact that the Government has availed itself of the temporary exceptions referred to above does not affect its obligation to provide information on compliance with the provisions of these instruments. With a view to being able to assess correctly the level of compliance in relation to coverage and the level of benefits, the Committee requests the Government to provide, for each of the following Articles, the statistical data in the format required by the report form for each instrument:

Convention No. 102.

Part II. Medical care. Article 9 (in conjunction with Article 76). Persons protected.

Part VII. Family benefit. Articles 41 (in conjunction with Article 76), 42 and 44. Persons protected and total value of the benefits granted.

Convention No. 121.

Articles 4, 14 and 18 (in conjunction with Article 19 or 20). Persons protected and rate of the benefit.

Convention No. 128.

Articles 9, 10, 16, 17, 22 and 23 (in conjunction with Article 26, 27 or 28). Persons protected and rate of the benefit.

Convention No. 130.

Articles 19 and 21 (in conjunction with Article 22 or 23). Persons protected and rate of the benefit.

The Committee reminds the Government that it can have recourse to the technical assistance of the Office in relation to coverage and the rate of benefits for each of the contingencies covered. 

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

Coverage and level of periodical payments. The Committee notes some major systemic improvements achieved since the adoption of the new Pensions Act No. 065 of 2010 in terms of extending coverage, increasing the level of benefits and improving the collection of contributions. In order to be able to assess the improvements, the Committee requests the Government to include in its next report replies to the questions in the report form requesting statistics on the coverage (Articles 9, 16 and 22 of the Convention) and level of invalidity, old-age and survivors’ pensions (Articles 10, 17 and 23, read in conjunction with Articles 26, 27 or 28).

With respect to the implementation of the solidarity pension introduced by the Pensions Act of 2010, the Committee wishes to point out that the existence in the country of a solidarity pension topping up the pensions paid out of individual capitalization accounts by an established minimum amount according to a scale established by the Act empowers the Government to demonstrate that the topped up pensions will, in all situations, reach the minimum levels established by the Convention. The Committee therefore invites the Government to demonstrate compliance with the requirements of the Convention based on Article 27 of the Convention, that is, by demonstrating that:

(i) the topped up old-age pension, comprising the solidarity pension and the pensions paid out of the individualization accounts, paid by the State to a beneficiary who totalizes 30 years of contributions reaches at least 45 per cent of the wage of an ordinary male labourer (determined in accordance with this provision of the Convention);

(ii) the topped up invalidity pension paid to a beneficiary with a spouse and two dependent children after 15 years of contributions reaches at least 50 per cent of the wage of an ordinary male labourer (determined in accordance with this provision of the Convention); and

(iii) the topped up pension paid to a spouse with two dependent children reaches at least 45 per cent of the wage of an ordinary male labourer (determined in accordance with this provision of the Convention).

Direct Request (CEACR) - adopted 2013, published 103rd ILC session (2014)

The Committee requests the Government to refer to the comments concerning the application of the Social Security (Minimum Standards) Convention, 1952 (No. 102).

Direct Request (CEACR) - adopted 2013, published 103rd ILC session (2014)

The Committee requests the Government to refer to the comments concerning the application of the Social Security (Minimum Standards) Convention, 1952 (No. 102).

Direct Request (CEACR) - adopted 2013, published 103rd ILC session (2014)

The Committee notes the reports supplied in 2012 by the Government under Conventions Nos 102, 121 and 130 which indicate certain achievements since the adoption of the new Pensions Act in 2010 in terms of extending coverage, increasing the level of benefits and improving the collection of contributions. The Committee observes, however, that the main challenges stated in its 2011 observation remain the same, given that only 34 per cent of the population has health coverage and 13.75 per cent has pension insurance. The Committee would therefore like the Government, in its next report, to reply in more detail to the general observation formulated by the Committee in 2011 in the context of the major structural reforms and to supply the following statistical information in the format required by the report form:

• -Convention No. 102:

Part II. Medical care. Article 9 of the Convention (in conjunction with Article 76). Persons protected.

Part VII. Family benefit. Article 41 (in conjunction with Article 76). Persons protected.

Article 44. Total value of benefits granted.

Part VIII. Maternity benefit. Article 48 (in conjunction with Article 76). Persons protected.

Article 50 (in conjunction with Articles 65, 66 or 67). Level of periodical payments.

• -Convention No. 121:

Article 4. Persons covered.

Articles 14 and 18 (in conjunction with Articles 19 or 20). Level of periodical payments.

• -Convention No. 130:

Article 19. Persons covered.

Article 21 (in conjunction with Articles 22 or 23). Level of periodical payments.

The Committee draws the Government’s attention to the possibility of requesting the technical assistance of the Office on the quantitative requirements of the Convention, including the scope of coverage for each of the covered contingencies, the level of periodical payments (calculated according to the requirements set out by the above provisions), or the proportion of the financial resources constituted by the insurance contributions of employees protected (Article 71(2) of Convention No. 102).

Temporary exceptions made upon the ratification of Conventions Nos 102, 121 and 130 in 1977. The Committee notes that the Government has availed itself of the possibility provided by these instruments to temporarily restrain the circle of persons protected and their benefit entitlements under these instruments in situations in which the economic and medical facilities are insufficiently developed. The Committee observes however that the information provided in the reports does not refer to the temporary exceptions but instead to the general provisions of the Conventions. The Committee welcomes this initiative and wishes to encourage the Government to formally supply a declaration stating that it renounces the temporary exceptions made upon the ratification of these Conventions, as prescribed by their relevant provisions.

Direct Request (CEACR) - adopted 2012, published 102nd ILC session (2013)

Article 1 of the Convention (in conjunction with Article 2). Equality of treatment in relation to employment accidents. The Committee understands from the Government’s report, received in August 2012, that section 104 of Act No. 065 of December 2010 replaces section 6 of Decree 25902, which is no longer applicable. It notes with interest that, under section 104 of Act No. 065, all foreigners who maintain a dependent labour relationship on Bolivian territory are covered by occupational risk insurance, the only exception being foreigners who maintain a dependent labour relationship with diplomatic missions, consulates and international organizations accredited vis-à-vis the Plurinational State of Bolivia.

Article 1(2). Payment of benefits abroad. The Government explains in its report that section 7 of Supreme Decree No. 25902 does not address payment of benefits abroad as it applies only to transfers of contributions made to pension funds. The Committee notes the Government’s statements that, to date, there is no procedure for transferring benefits generated in the Plurinational State of Bolivia to another member State party to the Convention. However, as indicated in the Government’s report on the application of the Equality of Treatment (Social Security) Convention, 1962 (No. 118), the Committee understands that, further to the entry into force on 1 May 2011 of the Ibero-American Multilateral Social Security Agreement to which the Plurinational State of Bolivia is party, the transfer of benefits, including invalidity benefits, to other countries which have also signed the agreement implementing the Ibero-American Agreement is now possible. The Committee requests the Government to send information in its next report on the mechanisms for implementing the Ibero-American Agreement, indicating in particular the type and amount of benefits which have been transferred abroad by the Bolivian social security system.

Direct Request (CEACR) - adopted 2012, published 102nd ILC session (2013)

Articles 2(1)(i) and (2), and 6 of the Convention. Family allowances. Referring to its previous observation, the Committee understands that the reintroduction of a family benefit scheme, in accordance with the abovementioned Articles of the Convention, is still pending. In view of the fact that Bolivia has accepted Part VII (Family benefit) of the Social Security (Minimum Standards) Convention, 1952 (No. 102), the Committee will include the analysis of this matter in its future comments concerning Convention No. 102.

Articles 7 and 8. Social security agreements ensuring the maintenance of acquired rights and rights in course of acquisition. As regards the entry into force on 1 May 2011 of the Ibero-American Multilateral Social Security Agreement, the Committee notes the Government’s indications that implementation of the Agreement does not require any amendments to the national legislation. The Committee requests the Government to provide detailed information in its next report on the operation of the Ibero-American Agreement, indicating in particular the type and amount of benefits which have been transferred abroad by the Bolivian social security system.

Observation (CEACR) - adopted 2012, published 102nd ILC session (2013)

With reference to its previous observation concerning the application of the Social Security (Minimum Standards) Convention, 1952 (No. 102), the Employment Injury Benefits Convention, 1964 [Schedule I amended in 1980] (No. 121), the Invalidity, Old-Age and Survivors’ Benefits Convention, 1967 (No. 128), and the Medical Care and Sickness Benefits Convention, 1969 (No. 130), the Committee notes that it has only received the report for Convention No. 128. The Committee trusts that the Government will not fail to provide the remaining reports in 2013, along with its reply to the present observation. The provision of those reports will enable the Committee to have an overview of the development of the Bolivian Social Security System.

Restructuring of the pension system. The Committee notes with interest the creation by Act No. 065 of 2010 of the solidarity pension intended, in the context of the new semi-contributory scheme, to increase the level of the pensions of workers with low incomes through a solidarity fund financed in part by the employers’ solidarity contribution and by contributions from insured persons with higher incomes. It also notes with interest the consolidation of the dignity allowance which guarantees to all nationals of Bolivia over 60 years of age who are resident in the country a minimum non-contributory income. The Committee observes that these measures strengthen the application of the principle of solidarity, defined as one of the essential principles of long-term social security in section 3 of Act No. 065. The Committee invites the Government to provide information in its next report on the functioning of the solidarity pension and the dignity allowance, with an indication in particular of the number of beneficiaries and the amount of the benefits provided.

With regard to the contributory old-age pension scheme, financed through the contributions of insured persons to their individual accounts, the Committee notes that the Public Long-Term Social Security Administration will replace the pension fund administrators for the administration and management of the scheme. The Administration will be under the supervision of the Pensions and Insurance Social Inspection and Control Authority, which replaces the Pension Inspection and Control Authority. The Committee observes that, in contrast with the previous situation in which the Inspection Authority enjoyed autonomy, the new entity is under the supervision of the Ministry of the Economy and Public Finance, and that the Authority’s decisions can be challenged through hierarchical appeal procedures. The Committee invites the Government to indicate the objectives of these changes in the administration and inspection of the pension system.

The Committee also observes that Act No. 065 changes the conditions for entitlement to the old-age pension, in particular allowing access to the old-age pension as from 58 years of age for persons who have paid contributions for a minimum of ten years. The Committee invites the Government to provide information in its next report on the financial situation of the contributory scheme, and on the replacement rate that it is hoped that pensions will attain once the minimum period of ten years of contribution has been completed.

Extension of the pension scheme. In its previous observation, the Committee emphasized the low-level of coverage of the pension and health schemes, indicating that it appeared necessary to take measures to adapt the Bolivian social security model to the economic and social situation of the country, in which informal self-employment is predominant. The Committee understands that the various innovations introduced by Act No. 065 are intended to extend the level of coverage of pensions. While noting that for most self-employed workers coverage by the social security system remains voluntary, the Committee notes that coverage is compulsory for self-employed consultants and insured persons, in accordance with section 101 of the Act. It also understands that the creation of the solidarity pension could provide an incentive for low-income workers, both dependent and self-employed, to affiliate with the scheme. The Committee also notes with interest the strengthening by Act No. 065 of administrative sanctions in the event of delays in the payment of contributions and the establishment of penal sanctions for the misappropriation of contributions by employers. So as to be able to assess the impact of the various measures referred to on the level of coverage of the pension scheme, the Committee requests the Government to provide information in its next report on the number of insured persons contributing to the overall pension system, with an indication of the number of self-employed workers, as well as data on the sanctions imposed for failure to pay contributions.

Noting that the Government’s report does not contain replies to the questions in the report form requesting statistics on the coverage of invalidity, old-age and survivors’ pensions, the Committee wishes to recall that the fact that the Government has availed itself of the temporary exceptions set out in Articles 9, 13, 16, 22 and 38 of the Convention does not relieve it of the obligation to provide information on the level of coverage of its pension system.

[The Government is asked to reply in detail to the present comments in 2013.]

Direct Request (CEACR) - adopted 2011, published 101st ILC session (2012)

Article 1 of the Convention (in conjunction with Article 2). Equality of treatment in relation to employment accidents. Application in practice. With reference to its previous comments, the Committee notes the adoption, in the context of the implementation of Act No. 1732 of 29 November 1996 on pensions, of Supreme Decree No. 25902 of 15 September 2000 determining the conditions for coverage by long-term compulsory social insurance (SSO) in the case of foreign nationals employed in the Plurinational State of Bolivia. Under the terms of section 6 of the Decree, foreign nationals employed in the country in a dependent employment relationship who conserve in their country of origin coverage similar to that guaranteed in the context of the SSO may not be subject to the requirement to register with the SSO provided that they make an application to that effect to the Ministry of Foreign Affairs and Worship, accompanied by the necessary documents to justify the approval of their application. The Committee requests the Government to indicate whether the possibility envisaged in section 6 of Decree No. 25902 applies to temporary and intermittent workers, in accordance with Article 2 of the Convention. The Committee also requests the Government to specify whether this arrangement makes it possible to ensure that a foreign national who is the victim of an employment accident in the Plurinational State of Bolivia, and who has maintained employment accident coverage in her or his country of origin, receives all of the necessary medical care under the same conditions as Bolivian nationals and within the medically required time limits.

Article 1(2). Payment of benefits abroad. The Committee notes that, under the terms of section 7 of Decree No. 25902, when foreign workers covered by the SSO leave the Plurinational State of Bolivia definitively, including following an employment accident, they are authorized to request the transfer of their acquired rights to their country of residence when a bilateral agreement has been concluded to this effect in the context of the principle of international reciprocity. The Committee notes that the Convention establishes an automatic reciprocity system between States that have ratified the Convention with a view to avoiding the conclusion of multiple bilateral agreements between the States as parties. The Committee requests the Government to indicate how it organizes the payment of invalidity and survivors’ pensions in the event of the residence abroad of the beneficiaries, whether they are of Bolivian nationality or nationals of a State that has ratified the Convention.

Observation (CEACR) - adopted 2011, published 101st ILC session (2012)

In reply to the Committee’s previous observation concerning Conventions Nos 102, 121, 128 and 130, the Government explained, in its report received in August 2010, that the new Political Constitution of the State has established a new hierarchy of legal standards. This new hierarchy gives precedence over national law to international instruments including the Conventions of the International Labour Organization (ILO) ratified by the Plurinational State of Bolivia, a hierarchy that differs from the one existing under the Political Constitution of the State of 1967. The Government also stated that the Plurinational State of Bolivia must adopt new legislation as soon as possible (acts, supreme decrees and other legal instruments), reflecting the new spirit of the Constitution in force. Accordingly, the State and the Bolivian Workers’ Federation (COB) signed a framework agreement for the reform of Bolivian social security legislation, and it was agreed to amend the parameters concerning retirement in terms that would imply greater solidarity for affiliated workers. The abovementioned plans for social security reform maintain the financial system of individual capitalization and establish a solidarity component. Referring to its 2011 General Survey Social security and the rule of law (paras 451–452), the Committee welcomes the reinforcement of the involvement of the Bolivarian State and the reconstruction of solidarity mechanisms based on the principle of collective financing as major components of national social security systems. The Committee considers that the principles of collective financing and social solidarity are a powerful weapon against poverty and an effective instrument for making societies more equal and just. Besides improving social security administration, management and supervision, public systems more readily abide by the governance principles set out in ILO social security instruments. The Committee therefore expresses the firm hope that all future reforms of the social security system, such as the reform of the pensions system currently under way, will be based on the principles of solidarity and collective financing established in the new Political Constitution and by the ILO Conventions ratified by Bolivia. Moreover, the Committee notes that the Government has not replied to its observations concerning the extension and restructuring of the social security scheme and the creation of a national strategy for the development of social security. The Committee trusts that the Government, in its next detailed report which it is due to present before 1 September 2012, will reply to the questions raised in its previous observation, which read as follows:

Extension and restructuring of the social security scheme

The level of coverage of the social security scheme currently remains one of the lowest in the region. However, a number of recent measures have resulted in progress being made, with regard to health protection, through the introduction of universal insurance for mothers and children (SUMI) and free old-age medical insurance (SMVG). However, the health system remains very fragmented between the public assistance targeting the most vulnerable, the social security scheme directed at the employed population and their beneficiaries, and the private actors focusing on the higher income brackets. A rational restructuring would allow efforts to increase membership of the system to be coordinated, a series of basic health benefits to be defined giving effect in practice to the right to health protection for all and major economies of scale to be made with regard to both administrative management costs and the financing of care facilities.

Membership of the pension scheme also remains very low despite the introduction in 1997 of the new funded pension scheme which replaced the pay-as-you-go scheme based on solidarity. In order to remedy that situation, the Government recently established a universal non-contributory pension paid to all persons over 65 years of age, which has produced tangible results. A reform of the pension system is currently under way and a bill has already been approved by the Chamber of Deputies and is to be submitted to the Senate. The bill establishes a mixed pension scheme comprising a contributory and semi-contributory scheme and a non-contributory system. It also creates an invalidity and survivors’ scheme for common and occupational risks, as well as a specific invalidity and survivors’ insurance scheme for self-employed workers.

According to the 2009 ILO study, the weak coverage of the social security system with regard to health protection and pensions is largely due to the structure of the labour market and the fact that the social security scheme is essentially focused on covering the employed population benefiting from a relatively stable formal employment relationship and working essentially in large urban enterprises. However, given that this workforce accounts for only 25 per cent of the total workforce, the large majority of the economically active population, which comprises self-employed, domestic and rural workers, is excluded from the compulsory social security scheme, even though they represent more than two thirds of the country’s population. This situation is compounded by considerable evasion of contributions even within the formal economy. The combination of these two factors leads to a very low overall rate of health coverage of the economically active population (13.5 per cent in 2003). Access to health services in rural areas remains very limited with only 6 per cent of the rural population being covered. Furthermore, the high number of actors and the lack of coordination constitute yet more factors which contribute to keeping the coverage of the population at a very low level and perpetuating the lack of a comprehensive strategy in this regard. As regards old-age, invalidity and survivors’ risks, the Government indicated in its report that only 38 per cent of employees of large enterprises employing over 20 persons are covered. The economically active persons affiliated to the old-age, invalidity and survivors’ scheme represented only 5 per cent of the total number of residents. The problem of poor coverage is particularly pronounced with regard to self-employed workers and in agriculture, with only 4 per cent of Bolivian self-employed workers being affiliated to a pension fund administrator in 2007. In view of these factors, there is a need to adjust the Bolivian social security model in line with the economic and social reality of predominantly self-employed informal employment. The gradual compulsory membership of self-employed workers is a possible means of ensuring coverage of a large proportion of the population not yet benefiting from any social security coverage. State support in the form of social contribution subsidies would be an important component to ensure the success of such an initiative. The Committee would be grateful if the Government would provide information in its next report on the solutions found to increase the rates of membership and coverage and indicate the progress made with regard to reforming both the pension scheme and the health scheme.

The separation, since 1987, of the management of the short-term benefits scheme and the basic long-term scheme has resulted in each of these schemes devoting a significant proportion of their resources to the performance of administrative and operational functions, particularly those relating to membership and the collection of social contributions. Studies show that the establishment of centralized management with regard to the collection of benefits and supervision of compliance with the obligation to join the social security scheme would allow significant results to be achieved in terms of coverage and would ensure better coordination, planning and linking of strategic activities regarded as priorities from the point of view of the entire system. The creation of an independent specialized body responsible solely for supervising and controlling the social security system, without participating in the management of the system’s programmes, is another necessary component for the proper operation and viability of social security systems. The Committee requests the Government to provide information on the structural measures taken or envisaged with a view to optimizing the structure of the social security system.

Creation of a national strategy for the development of social security

In 2001, the International Labour Conference (ILC) reaffirmed the central role of social security and reiterated that it was a challenge which all member States had to tackle as a matter of urgency. The resolution adopted by the ILC in 2001 recognizes that “the highest priority should be given to policies and initiatives that bring social security to those who are not covered by existing systems”. To achieve that objective, the Conference urged every country to devise a national strategy closely linked to other social policies. States such as Bolivia which are party to the International Covenant on Economic, Social and Cultural Rights (ICESCR) are also required, according to the general observations made in 2007 by the United Nations Committee on Economic, Social and Cultural Rights (CESCR), to devise a national strategy for the comprehensive implementation of the right to social security and to allocate sufficient budgetary and other resources at the national level. The Committee considers that the need to devise a national strategy arises from the general responsibility of the State, established by Convention No. 102, to ensure the continuity and proper operation of the social security system. The launch of a national strategy designed to ensure the strengthening and sustainable development of the social security scheme, taking into account the above concerns, would allow the State to exploit to the full all the potential offered by international social security standards with a view to ensuring the proper administration of schemes and enabling the gradual extension of coverage to the entire population. The Committee draws the Government’s attention to the possibility of making greater use of technical assistance from the ILO with a view to devising, together with the social partners, a national strategy for the sustainable development of social security.

Observation (CEACR) - adopted 2011, published 101st ILC session (2012)

Articles 2(1)(i) and (2), and 6 of the Convention. Family allowances. Referring to its previous observation, the Committee notes that the new Political Constitution of the Plurinational State of Bolivia, adopted on 7 February 2009, provides that the social security scheme will include the branch of family allowances and other social benefits. The Government states that it envisages adopting new legislation that will be fully in accordance with all the rights recognized by the new Constitution, including in the area of social security. The Committee hopes that the measures taken by the Government to comply with the new Constitution will enable it to reintroduce a family benefit scheme guaranteeing the granting of family allowances both to its own nationals and to the nationals of any other Member which has accepted the obligations of this Convention for that branch, in respect of children who reside in the territory of any such Member, in accordance with Article 6 of the Convention.

Articles 7 and 8. Social security agreements ensuring the maintenance of acquired rights and rights in course of acquisition. The Committee notes with interest the entry into force on 1 May 2011 of the Multilateral Ibero–American Social Security Convention, signed on 10 November 2007 by 15 countries: Argentina, Plurinational State of Bolivia, Brazil, Chile, Colombia, Costa Rica, Dominican Republic, Ecuador, El Salvador, Paraguay, Peru, Portugal, Spain, Uruguay and the Bolivarian Republic of Venezuela. Under Article 2 of this Convention, it applies to any person who is subject or has been subject to the legislation of one or several States parties, as well as to their families and dependants. The Committee requests the Government to indicate whether the ratification of this Convention and of its implementing agreement required amendments to the national legislation.

Observation (CEACR) - adopted 2011, published 101st ILC session (2012)

In reply to the Committee’s previous observation concerning Conventions Nos 102, 121, 128 and 130, the Government explained, in its report received in August 2010, that the new Political Constitution of the State has established a new hierarchy of legal standards. This new hierarchy gives precedence over national law to international instruments including the Conventions of the International Labour Organization (ILO) ratified by the Plurinational State of Bolivia, a hierarchy that differs from the one existing under the Political Constitution of the State of 1967. The Government also stated that the Plurinational State of Bolivia must adopt new legislation as soon as possible (acts, supreme decrees and other legal instruments), reflecting the new spirit of the Constitution in force. Accordingly, the State and the Bolivian Workers’ Federation (COB) signed a framework agreement for the reform of Bolivian social security legislation, and it was agreed to amend the parameters concerning retirement in terms that would imply greater solidarity for affiliated workers. The abovementioned plans for social security reform maintain the financial system of individual capitalization and establish a solidarity component. Referring to its 2011 General Survey Social security and the rule of law (paras 451–452), the Committee welcomes the reinforcement of the involvement of the Bolivarian State and the reconstruction of solidarity mechanisms based on the principle of collective financing as major components of national social security systems. The Committee considers that the principles of collective financing and social solidarity are a powerful weapon against poverty and an effective instrument for making societies more equal and just. Besides improving social security administration, management and supervision, public systems more readily abide by the governance principles set out in ILO social security instruments. The Committee therefore expresses the firm hope that all future reforms of the social security system, such as the reform of the pensions system currently under way, will be based on the principles of solidarity and collective financing established in the new Political Constitution and by the ILO Conventions ratified by Bolivia. Moreover, the Committee notes that the Government has not replied to its observations concerning the extension and restructuring of the social security scheme and the creation of a national strategy for the development of social security. The Committee trusts that the Government, in its next detailed report which it is due to present before 1 September 2012, will reply to the questions raised in its previous observation, which read as follows:

Extension and restructuring of the social security scheme

The level of coverage of the social security scheme currently remains one of the lowest in the region. However, a number of recent measures have resulted in progress being made, with regard to health protection, through the introduction of universal insurance for mothers and children (SUMI) and free old-age medical insurance (SMVG). However, the health system remains very fragmented between the public assistance targeting the most vulnerable, the social security scheme directed at the employed population and their beneficiaries, and the private actors focusing on the higher income brackets. A rational restructuring would allow efforts to increase membership of the system to be coordinated, a series of basic health benefits to be defined giving effect in practice to the right to health protection for all and major economies of scale to be made with regard to both administrative management costs and the financing of care facilities.

Membership of the pension scheme also remains very low despite the introduction in 1997 of the new funded pension scheme which replaced the pay-as-you-go scheme based on solidarity. In order to remedy that situation, the Government recently established a universal non-contributory pension paid to all persons over 65 years of age, which has produced tangible results. A reform of the pension system is currently under way and a bill has already been approved by the Chamber of Deputies and is to be submitted to the Senate. The bill establishes a mixed pension scheme comprising a contributory and semi-contributory scheme and a non-contributory system. It also creates an invalidity and survivors’ scheme for common and occupational risks, as well as a specific invalidity and survivors’ insurance scheme for self-employed workers.

According to the 2009 ILO study, the weak coverage of the social security system with regard to health protection and pensions is largely due to the structure of the labour market and the fact that the social security scheme is essentially focused on covering the employed population benefiting from a relatively stable formal employment relationship and working essentially in large urban enterprises. However, given that this workforce accounts for only 25 per cent of the total workforce, the large majority of the economically active population, which comprises self-employed, domestic and rural workers, is excluded from the compulsory social security scheme, even though they represent more than two thirds of the country’s population. This situation is compounded by considerable evasion of contributions even within the formal economy. The combination of these two factors leads to a very low overall rate of health coverage of the economically active population (13.5 per cent in 2003). Access to health services in rural areas remains very limited with only 6 per cent of the rural population being covered. Furthermore, the high number of actors and the lack of coordination constitute yet more factors which contribute to keeping the coverage of the population at a very low level and perpetuating the lack of a comprehensive strategy in this regard. As regards old-age, invalidity and survivors’ risks, the Government indicated in its report that only 38 per cent of employees of large enterprises employing over 20 persons are covered. The economically active persons affiliated to the old-age, invalidity and survivors’ scheme represented only 5 per cent of the total number of residents. The problem of poor coverage is particularly pronounced with regard to self-employed workers and in agriculture, with only 4 per cent of Bolivian self-employed workers being affiliated to a pension fund administrator in 2007. In view of these factors, there is a need to adjust the Bolivian social security model in line with the economic and social reality of predominantly self-employed informal employment. The gradual compulsory membership of self-employed workers is a possible means of ensuring coverage of a large proportion of the population not yet benefiting from any social security coverage. State support in the form of social contribution subsidies would be an important component to ensure the success of such an initiative. The Committee would be grateful if the Government would provide information in its next report on the solutions found to increase the rates of membership and coverage and indicate the progress made with regard to reforming both the pension scheme and the health scheme.

The separation, since 1987, of the management of the short-term benefits scheme and the basic long-term scheme has resulted in each of these schemes devoting a significant proportion of their resources to the performance of administrative and operational functions, particularly those relating to membership and the collection of social contributions. Studies show that the establishment of centralized management with regard to the collection of benefits and supervision of compliance with the obligation to join the social security scheme would allow significant results to be achieved in terms of coverage and would ensure better coordination, planning and linking of strategic activities regarded as priorities from the point of view of the entire system. The creation of an independent specialized body responsible solely for supervising and controlling the social security system, without participating in the management of the system’s programmes, is another necessary component for the proper operation and viability of social security systems. The Committee requests the Government to provide information on the structural measures taken or envisaged with a view to optimizing the structure of the social security system.

Creation of a national strategy for the development of social security

In 2001, the International Labour Conference (ILC) reaffirmed the central role of social security and reiterated that it was a challenge which all member States had to tackle as a matter of urgency. The resolution adopted by the ILC in 2001 recognizes that “the highest priority should be given to policies and initiatives that bring social security to those who are not covered by existing systems”. To achieve that objective, the Conference urged every country to devise a national strategy closely linked to other social policies. States such as Bolivia which are party to the International Covenant on Economic, Social and Cultural Rights (ICESCR) are also required, according to the general observations made in 2007 by the United Nations Committee on Economic, Social and Cultural Rights (CESCR), to devise a national strategy for the comprehensive implementation of the right to social security and to allocate sufficient budgetary and other resources at the national level. The Committee considers that the need to devise a national strategy arises from the general responsibility of the State, established by Convention No. 102, to ensure the continuity and proper operation of the social security system. The launch of a national strategy designed to ensure the strengthening and sustainable development of the social security scheme, taking into account the above concerns, would allow the State to exploit to the full all the potential offered by international social security standards with a view to ensuring the proper administration of schemes and enabling the gradual extension of coverage to the entire population. The Committee draws the Government’s attention to the possibility of making greater use of technical assistance from the ILO with a view to devising, together with the social partners, a national strategy for the sustainable development of social security.

Observation (CEACR) - adopted 2011, published 101st ILC session (2012)

In reply to the Committee’s previous observation concerning Conventions Nos 102, 121, 128 and 130, the Government explained, in its report received in August 2010, that the new Political Constitution of the State has established a new hierarchy of legal standards. This new hierarchy gives precedence over national law to international instruments including the Conventions of the International Labour Organization (ILO) ratified by the Plurinational State of Bolivia, a hierarchy that differs from the one existing under the Political Constitution of the State of 1967. The Government also stated that the Plurinational State of Bolivia must adopt new legislation as soon as possible (acts, supreme decrees and other legal instruments), reflecting the new spirit of the Constitution in force. Accordingly, the State and the Bolivian Workers’ Federation (COB) signed a framework agreement for the reform of Bolivian social security legislation, and it was agreed to amend the parameters concerning retirement in terms that would imply greater solidarity for affiliated workers. The abovementioned plans for social security reform maintain the financial system of individual capitalization and establish a solidarity component. Referring to its 2011 General Survey Social security and the rule of law (paras 451–452), the Committee welcomes the reinforcement of the involvement of the Bolivarian State and the reconstruction of solidarity mechanisms based on the principle of collective financing as major components of national social security systems. The Committee considers that the principles of collective financing and social solidarity are a powerful weapon against poverty and an effective instrument for making societies more equal and just. Besides improving social security administration, management and supervision, public systems more readily abide by the governance principles set out in ILO social security instruments. The Committee therefore expresses the firm hope that all future reforms of the social security system, such as the reform of the pensions system currently under way, will be based on the principles of solidarity and collective financing established in the new Political Constitution and by the ILO Conventions ratified by Bolivia. Moreover, the Committee notes that the Government has not replied to its observations concerning the extension and restructuring of the social security scheme and the creation of a national strategy for the development of social security. The Committee trusts that the Government, in its next detailed report which it is due to present before 1 September 2012, will reply to the questions raised in its previous observation, which read as follows:

Extension and restructuring of the social security scheme

The level of coverage of the social security scheme currently remains one of the lowest in the region. However, a number of recent measures have resulted in progress being made, with regard to health protection, through the introduction of universal insurance for mothers and children (SUMI) and free old-age medical insurance (SMVG). However, the health system remains very fragmented between the public assistance targeting the most vulnerable, the social security scheme directed at the employed population and their beneficiaries, and the private actors focusing on the higher income brackets. A rational restructuring would allow efforts to increase membership of the system to be coordinated, a series of basic health benefits to be defined giving effect in practice to the right to health protection for all and major economies of scale to be made with regard to both administrative management costs and the financing of care facilities.

Membership of the pension scheme also remains very low despite the introduction in 1997 of the new funded pension scheme which replaced the pay-as-you-go scheme based on solidarity. In order to remedy that situation, the Government recently established a universal non-contributory pension paid to all persons over 65 years of age, which has produced tangible results. A reform of the pension system is currently under way and a bill has already been approved by the Chamber of Deputies and is to be submitted to the Senate. The bill establishes a mixed pension scheme comprising a contributory and semi-contributory scheme and a non-contributory system. It also creates an invalidity and survivors’ scheme for common and occupational risks, as well as a specific invalidity and survivors’ insurance scheme for self-employed workers.

According to the 2009 ILO study, the weak coverage of the social security system with regard to health protection and pensions is largely due to the structure of the labour market and the fact that the social security scheme is essentially focused on covering the employed population benefiting from a relatively stable formal employment relationship and working essentially in large urban enterprises. However, given that this workforce accounts for only 25 per cent of the total workforce, the large majority of the economically active population, which comprises self-employed, domestic and rural workers, is excluded from the compulsory social security scheme, even though they represent more than two thirds of the country’s population. This situation is compounded by considerable evasion of contributions even within the formal economy. The combination of these two factors leads to a very low overall rate of health coverage of the economically active population (13.5 per cent in 2003). Access to health services in rural areas remains very limited with only 6 per cent of the rural population being covered. Furthermore, the high number of actors and the lack of coordination constitute yet more factors which contribute to keeping the coverage of the population at a very low level and perpetuating the lack of a comprehensive strategy in this regard. As regards old-age, invalidity and survivors’ risks, the Government indicated in its report that only 38 per cent of employees of large enterprises employing over 20 persons are covered. The economically active persons affiliated to the old-age, invalidity and survivors’ scheme represented only 5 per cent of the total number of residents. The problem of poor coverage is particularly pronounced with regard to self-employed workers and in agriculture, with only 4 per cent of Bolivian self-employed workers being affiliated to a pension fund administrator in 2007. In view of these factors, there is a need to adjust the Bolivian social security model in line with the economic and social reality of predominantly self-employed informal employment. The gradual compulsory membership of self-employed workers is a possible means of ensuring coverage of a large proportion of the population not yet benefiting from any social security coverage. State support in the form of social contribution subsidies would be an important component to ensure the success of such an initiative. The Committee would be grateful if the Government would provide information in its next report on the solutions found to increase the rates of membership and coverage and indicate the progress made with regard to reforming both the pension scheme and the health scheme.

The separation, since 1987, of the management of the short-term benefits scheme and the basic long-term scheme has resulted in each of these schemes devoting a significant proportion of their resources to the performance of administrative and operational functions, particularly those relating to membership and the collection of social contributions. Studies show that the establishment of centralized management with regard to the collection of benefits and supervision of compliance with the obligation to join the social security scheme would allow significant results to be achieved in terms of coverage and would ensure better coordination, planning and linking of strategic activities regarded as priorities from the point of view of the entire system. The creation of an independent specialized body responsible solely for supervising and controlling the social security system, without participating in the management of the system’s programmes, is another necessary component for the proper operation and viability of social security systems. The Committee requests the Government to provide information on the structural measures taken or envisaged with a view to optimizing the structure of the social security system.

Creation of a national strategy for the development of social security

In 2001, the International Labour Conference (ILC) reaffirmed the central role of social security and reiterated that it was a challenge which all member States had to tackle as a matter of urgency. The resolution adopted by the ILC in 2001 recognizes that “the highest priority should be given to policies and initiatives that bring social security to those who are not covered by existing systems”. To achieve that objective, the Conference urged every country to devise a national strategy closely linked to other social policies. States such as Bolivia which are party to the International Covenant on Economic, Social and Cultural Rights (ICESCR) are also required, according to the general observations made in 2007 by the United Nations Committee on Economic, Social and Cultural Rights (CESCR), to devise a national strategy for the comprehensive implementation of the right to social security and to allocate sufficient budgetary and other resources at the national level. The Committee considers that the need to devise a national strategy arises from the general responsibility of the State, established by Convention No. 102, to ensure the continuity and proper operation of the social security system. The launch of a national strategy designed to ensure the strengthening and sustainable development of the social security scheme, taking into account the above concerns, would allow the State to exploit to the full all the potential offered by international social security standards with a view to ensuring the proper administration of schemes and enabling the gradual extension of coverage to the entire population. The Committee draws the Government’s attention to the possibility of making greater use of technical assistance from the ILO with a view to devising, together with the social partners, a national strategy for the sustainable development of social security.

Observation (CEACR) - adopted 2011, published 101st ILC session (2012)

In reply to the Committee’s previous observation concerning Conventions Nos 102, 121, 128 and 130, the Government explained, in its report received in August 2010, that the new Political Constitution of the State has established a new hierarchy of legal standards. This new hierarchy gives precedence over national law to international instruments including the Conventions of the International Labour Organization (ILO) ratified by the Plurinational State of Bolivia, a hierarchy that differs from the one existing under the Political Constitution of the State of 1967. The Government also stated that the Plurinational State of Bolivia must adopt new legislation as soon as possible (acts, supreme decrees and other legal instruments), reflecting the new spirit of the Constitution in force. Accordingly, the State and the Bolivian Workers’ Federation (COB) signed a framework agreement for the reform of Bolivian social security legislation, and it was agreed to amend the parameters concerning retirement in terms that would imply greater solidarity for affiliated workers. The abovementioned plans for social security reform maintain the financial system of individual capitalization and establish a solidarity component. Referring to its 2011 General Survey Social security and the rule of law (paras 451–452), the Committee welcomes the reinforcement of the involvement of the Bolivarian State and the reconstruction of solidarity mechanisms based on the principle of collective financing as major components of national social security systems. The Committee considers that the principles of collective financing and social solidarity are a powerful weapon against poverty and an effective instrument for making societies more equal and just. Besides improving social security administration, management and supervision, public systems more readily abide by the governance principles set out in ILO social security instruments. The Committee therefore expresses the firm hope that all future reforms of the social security system, such as the reform of the pensions system currently under way, will be based on the principles of solidarity and collective financing established in the new Political Constitution and by the ILO Conventions ratified by Bolivia. Moreover, the Committee notes that the Government has not replied to its observations concerning the extension and restructuring of the social security scheme and the creation of a national strategy for the development of social security. The Committee trusts that the Government, in its next detailed report which it is due to present before 1 September 2012, will reply to the questions raised in its previous observation, which read as follows:

Extension and restructuring of the social security scheme

The level of coverage of the social security scheme currently remains one of the lowest in the region. However, a number of recent measures have resulted in progress being made, with regard to health protection, through the introduction of universal insurance for mothers and children (SUMI) and free old-age medical insurance (SMVG). However, the health system remains very fragmented between the public assistance targeting the most vulnerable, the social security scheme directed at the employed population and their beneficiaries, and the private actors focusing on the higher income brackets. A rational restructuring would allow efforts to increase membership of the system to be coordinated, a series of basic health benefits to be defined giving effect in practice to the right to health protection for all and major economies of scale to be made with regard to both administrative management costs and the financing of care facilities.

Membership of the pension scheme also remains very low despite the introduction in 1997 of the new funded pension scheme which replaced the pay-as-you-go scheme based on solidarity. In order to remedy that situation, the Government recently established a universal non-contributory pension paid to all persons over 65 years of age, which has produced tangible results. A reform of the pension system is currently under way and a bill has already been approved by the Chamber of Deputies and is to be submitted to the Senate. The bill establishes a mixed pension scheme comprising a contributory and semi-contributory scheme and a non-contributory system. It also creates an invalidity and survivors’ scheme for common and occupational risks, as well as a specific invalidity and survivors’ insurance scheme for self-employed workers.

According to the 2009 ILO study, the weak coverage of the social security system with regard to health protection and pensions is largely due to the structure of the labour market and the fact that the social security scheme is essentially focused on covering the employed population benefiting from a relatively stable formal employment relationship and working essentially in large urban enterprises. However, given that this workforce accounts for only 25 per cent of the total workforce, the large majority of the economically active population, which comprises self-employed, domestic and rural workers, is excluded from the compulsory social security scheme, even though they represent more than two thirds of the country’s population. This situation is compounded by considerable evasion of contributions even within the formal economy. The combination of these two factors leads to a very low overall rate of health coverage of the economically active population (13.5 per cent in 2003). Access to health services in rural areas remains very limited with only 6 per cent of the rural population being covered. Furthermore, the high number of actors and the lack of coordination constitute yet more factors which contribute to keeping the coverage of the population at a very low level and perpetuating the lack of a comprehensive strategy in this regard. As regards old-age, invalidity and survivors’ risks, the Government indicated in its report that only 38 per cent of employees of large enterprises employing over 20 persons are covered. The economically active persons affiliated to the old-age, invalidity and survivors’ scheme represented only 5 per cent of the total number of residents. The problem of poor coverage is particularly pronounced with regard to self-employed workers and in agriculture, with only 4 per cent of Bolivian self-employed workers being affiliated to a pension fund administrator in 2007. In view of these factors, there is a need to adjust the Bolivian social security model in line with the economic and social reality of predominantly self-employed informal employment. The gradual compulsory membership of self-employed workers is a possible means of ensuring coverage of a large proportion of the population not yet benefiting from any social security coverage. State support in the form of social contribution subsidies would be an important component to ensure the success of such an initiative. The Committee would be grateful if the Government would provide information in its next report on the solutions found to increase the rates of membership and coverage and indicate the progress made with regard to reforming both the pension scheme and the health scheme.

The separation, since 1987, of the management of the short-term benefits scheme and the basic long-term scheme has resulted in each of these schemes devoting a significant proportion of their resources to the performance of administrative and operational functions, particularly those relating to membership and the collection of social contributions. Studies show that the establishment of centralized management with regard to the collection of benefits and supervision of compliance with the obligation to join the social security scheme would allow significant results to be achieved in terms of coverage and would ensure better coordination, planning and linking of strategic activities regarded as priorities from the point of view of the entire system. The creation of an independent specialized body responsible solely for supervising and controlling the social security system, without participating in the management of the system’s programmes, is another necessary component for the proper operation and viability of social security systems. The Committee requests the Government to provide information on the structural measures taken or envisaged with a view to optimizing the structure of the social security system.

Creation of a national strategy for the development of social security

In 2001, the International Labour Conference (ILC) reaffirmed the central role of social security and reiterated that it was a challenge which all member States had to tackle as a matter of urgency. The resolution adopted by the ILC in 2001 recognizes that “the highest priority should be given to policies and initiatives that bring social security to those who are not covered by existing systems”. To achieve that objective, the Conference urged every country to devise a national strategy closely linked to other social policies. States such as Bolivia which are party to the International Covenant on Economic, Social and Cultural Rights (ICESCR) are also required, according to the general observations made in 2007 by the United Nations Committee on Economic, Social and Cultural Rights (CESCR), to devise a national strategy for the comprehensive implementation of the right to social security and to allocate sufficient budgetary and other resources at the national level. The Committee considers that the need to devise a national strategy arises from the general responsibility of the State, established by Convention No. 102, to ensure the continuity and proper operation of the social security system. The launch of a national strategy designed to ensure the strengthening and sustainable development of the social security scheme, taking into account the above concerns, would allow the State to exploit to the full all the potential offered by international social security standards with a view to ensuring the proper administration of schemes and enabling the gradual extension of coverage to the entire population. The Committee draws the Government’s attention to the possibility of making greater use of technical assistance from the ILO with a view to devising, together with the social partners, a national strategy for the sustainable development of social security.

Observation (CEACR) - adopted 2009, published 99th ILC session (2010)

Reform of the occupational incapacity and invalidity system. Noting that the forthcoming adoption of a new Pensions Act will result in the substantial reorganization of the occupational risks scheme, the Committee requests the Government to provide a copy of this text once adopted and to explain how it gives effect to each of the provisions of the Convention No. 121, taking due note of the application problems raised by the Committee in its observation made under Convention No. 102 as well as in its previous comments relating to Convention No. 121.

Observation (CEACR) - adopted 2009, published 99th ILC session (2010)

Reform of the pension system. Noting the forthcoming adoption of a new Pensions Act, the Committee would be grateful if the Government would indicate in its next report how the new legislation gives effect to Convention No. 128 taking due note of the application problems raised by the Committee in its observation under Convention No. 102 as well as in its previous comments under Convention No. 128.

Observation (CEACR) - adopted 2009, published 99th ILC session (2010)

The Committee asks the Government to refer to the comments made under the Social Security (Minimum Standards) Convention, 1952 (No. 102).

Observation (CEACR) - adopted 2009, published 99th ILC session (2010)

Bolivia has accepted the Parts of the Social Security (Minimum Standards) Convention, 1952 (No. 102), concerning medical care, sickness benefit, old-age benefit and survivors’ benefit. It has also ratified Conventions Nos 121, 128 and 130 which set higher objectives relating to social protection. Given that the problems relating to the application noted by the Committee are essentially the same for all these Conventions and are of a systemic nature, the Committee wished to make a number of general observations concerning all the international obligations arising from these instruments for Bolivia. It referred to the information provided by the Government and to the studies carried out by the ILO concerning the Bolivian social security system (Diagnóstico del Sistema de Seguridad Social, April 2009).

Recognition of the right to social security by the new
Political Constitution of Bolivia

Since February 2009, a new Political Constitution has guaranteed the right of citizens to benefit free of charge from social security based on the principles of universality, comprehensiveness, equity, solidarity, standardized management, economy, opportunity, inter-cultural approach and efficiency (articles 35–45). Under the new Constitution, the State shall be responsible for administering the system under the supervision and with the participation of the social partners. The Constitution extends the right to medical care to the entire population and lays down the duty of the State to protect the right to health, in particular by promoting free access by the population to health services. The State has a duty to ensure access to universal health insurance and the irrevocable obligation to guarantee, financially support and ensure the right to health. The Constitution also expressly guarantees the right to a universal, solidarity-based and fair old-age pension, as well as the principle that public social security services will not be privatized or contracted out.

Under article 256 of the new Constitution, the rights recognized by the Constitution shall be interpreted in accordance with the provisions of the international Conventions ratified by Bolivia whenever those conventions contain more favourable standards. Article 410 of the new Constitution provides that the international treaties and agreements ratified by Bolivia form part of the constitutional provisions and take precedence over laws. The Government emphasizes in this regard that, contrary to the situation which prevailed under the former Constitution, international labour Conventions are therefore placed above national laws. For that reason, the Government envisages drafting new laws and regulations to give effect to the international labour Conventions ratified by Bolivia.

The Committee notes with the greatest interest the adoption of the new Constitution which establishes a series of basic principles with regard to social security and the provisions of which are among the most progressive in Latin America. It also notes that the recognition under the Constitution of the principle of the supremacy of international law over national law paves the way for the use by Bolivia of international social security standards as a regulatory framework and legal lever for putting the social security system on the road to sustainable development.

The Committee would be grateful if the Government would indicate whether it intends to examine the current social security legislation in the light of the provisions of the ILO Conventions ratified by Bolivia. It hopes that any future reforms of the social security system, such as the reform currently under way of the pension system, will be based on the principles of solidarity and collective financing enshrined in the country’s new Political Constitution and aimed at the gradual extension of the benefit of social protection to the entire population of Bolivia.

Extension and restructuring of the social security scheme

The level of coverage of the social security scheme currently remains one of the lowest in the region. However, a number of recent measures have resulted in progress being made, with regard to health protection, through the introduction of universal insurance for mothers and children (SUMI) and free old-age medical insurance (SMVG). However, the health system remains very fragmented between the public assistance targeting the most vulnerable, the social security scheme directed at the employed population and their beneficiaries, and the private actors focusing on the higher income brackets. A rational restructuring would allow efforts to increase membership of the system to be coordinated, a series of basic health benefits to be defined giving effect in practice to the right to health protection for all and major economies of scale to be made with regard to both administrative management costs and the financing of care facilities.

Membership of the pension scheme also remains very low despite the introduction in 1997 of the new funded pension scheme which replaced the pay-as-you-go scheme based on solidarity. In order to remedy that situation, the Government recently established a universal non-contributory pension paid to all persons over 65 years of age, which has produced tangible results. A reform of the pension system is currently under way and a bill has already been approved by the Chamber of Deputies and is to be submitted to the Senate. The bill establishes a mixed pension scheme comprising a contributory and semi-contributory scheme and a non-contributory system. It also creates an invalidity and survivors’ scheme for common and occupational risks, as well as a specific invalidity and survivors’ insurance scheme for self-employed workers.

According to the 2009 ILO study, the weak coverage of the social security system with regard to health protection and pensions is largely due to the structure of the labour market and the fact that the social security scheme is essentially focused on covering the employed population benefiting from a relatively stable formal employment relationship and working essentially in large urban enterprises. However, given that this workforce accounts for only 25 per cent of the total workforce, the large majority of the economically active population, which comprises self-employed, domestic and rural workers, is excluded from the compulsory social security scheme, even though they represent more than two‑thirds of the country’s population. This situation is compounded by considerable evasion of contributions even within the formal economy. The combination of these two factors leads to a very low overall rate of health coverage of the economically active population (13.5 per cent in 2003). Access to health services in rural areas remains very limited with only 6 per cent of the rural population being covered. Furthermore, the high number of actors and the lack of coordination constitute yet more factors which contribute to keeping the coverage of the population at a very low level and perpetuating the lack of a comprehensive strategy in this regard. As regards old-age, invalidity and survivors’ risks, the Government indicated in its report that only 38 per cent of employees of large enterprises employing over 20 persons are covered. The economically active persons affiliated to the old-age, invalidity and survivors’ scheme represented only 5 per cent of the total number of residents. The problem of poor coverage is particularly pronounced with regard to self-employed workers and in agriculture, with only 4 per cent of Bolivian self-employed workers being affiliated to a pension fund administrator in 2007. In view of these factors, there is a need to adjust the Bolivian social security model in line with the economic and social reality of predominantly self-employed informal employment. The gradual compulsory membership of self-employed workers is a possible means of ensuring coverage of a large proportion of the population not yet benefiting from any social security coverage. State support in the form of social contribution subsidies would be an important component to ensure the success of such an initiative. The Committee would be grateful if the Government would provide information in its next report on the solutions found to increase the rates of membership and coverage and indicate the progress made with regard to reforming both the pension scheme and the health scheme.

The separation, since 1987, of the management of the short-term benefits scheme and the basic long-term scheme has resulted in each of these schemes devoting a significant proportion of their resources to the performance of administrative and operational functions, particularly those relating to membership and the collection of social contributions. Studies show that the establishment of centralized management with regard to the collection of benefits and supervision of compliance with the obligation to join the social security scheme would allow significant results to be achieved in terms of coverage and would ensure better coordination, planning and linking of strategic activities regarded as priorities from the point of view of the entire system. The creation of an independent specialized body responsible solely for supervising and controlling the social security system, without participating in the management of the system’s programmes, is another necessary component for the proper operation and viability of social security systems. The Committee requests the Government to provide information on the structural measures taken or envisaged with a view to optimizing the structure of the social security system.

Creation of a national strategy for the development of social security

In 2001, the International Labour Conference (ILC) reaffirmed the central role of social security and reiterated that it was a challenge which all member States had to tackle as a matter of urgency. The resolution adopted by the ILC in 2001 recognizes that “the highest priority should be given to policies and initiatives that bring social security to those who are not covered by existing systems”. To achieve that objective, the Conference urged every country to devise a national strategy closely linked to other social policies. States such as Bolivia which are party to the International Covenant on Economic, Social and Cultural Rights (ICESCR) are also required, according to the general observations made in 2007 by the United Nations Committee on Economic, Social and Cultural Rights (CESCR), to devise a national strategy for the comprehensive implementation of the right to social security and to allocate sufficient budgetary and other resources at the national level. The Committee considers that the need to devise a national strategy arises from the general responsibility of the State, established by Convention No. 102, to ensure the continuity and proper operation of the social security system. The launch of a national strategy designed to ensure the strengthening and sustainable development of the social security scheme, taking into account the above concerns, would allow the State to exploit to the full all the potential offered by international social security standards with a view to ensuring the proper administration of schemes and enabling the gradual extension of coverage to the entire population. The Committee draws the Government’s attention to the possibility of making greater use of technical assistance from the ILO with a view to devising, together with the social partners, a national strategy for the sustainable development of social security.

[The Government is asked to reply in detail to the present comments in 2010.]

Direct Request (CEACR) - adopted 2008, published 98th ILC session (2009)

The Committee notes that the Government’s report contains no reply to its previous comments. It hopes that the next report will include full information on the matters raised in its previous direct request, which read as follows:

The Committee notes the entry into force of Act No. 1732 of 29 November 1996 on pensions and its implementing regulations (Supreme Decree No. 24469 of 17 January 1997). It hopes that the Government’s next report will contain information on the impact of this legislation on the implementation of the principle of equal treatment between national and foreign workers and their dependents in the case of industrial injury. Please indicate in particular whether, in the event of employment injury, a beneficiary of invalidity or survivors’ pension would be entitled to the payment of these benefits in the case of residence abroad, whether that person is a Bolivian national or a citizen of any State which has ratified the Convention. Please also indicate the relevant provisions in this respect.

Observation (CEACR) - adopted 2008, published 98th ILC session (2009)

The Committee notes that the Government’s report has not been received. It recalls that the ILO Subregional Office for Andean Countries had carried out a diagnosis of the Bolivian social security system in the framework of the Decent Work Country Programme for 2007–10, which was subsequently submitted to tripartite consultations. The Committee asks the Government to supply a detailed report for examination at its next session as well as to provide information on the progress achieved as regards the overall reform of the social security system.

Direct Request (CEACR) - adopted 2007, published 97th ILC session (2008)

The Committee notes that the Government’s report has not been received. It hopes that a report will be supplied for examination by the Committee at its next session and that it will contain full information on the matters raised in its previous direct request, which read as follows:

The Committee notes the entry into force of Act No. 1732 of 29 November 1996 on pensions and its implementing regulations (Supreme Decree No. 24469 of 17 January 1997). It hopes that the Government’s next report will contain information on the impact of this legislation on the implementation of the Convention. Please indicate in particular whether, in the event of employment injury, beneficiaries of an invalidity or survivors’ pension are entitled to the payment of their benefits in the case of residence abroad, whether they are nationals of Bolivia or of any State which has ratified the Convention.

Direct Request (CEACR) - adopted 2007, published 97th ILC session (2008)

The Committee notes that the Government’s report has not been received. It hopes that a report will be supplied for examination by the Committee at its next session and that it will contain full information on the matters raised in its previous direct request, which read as follows:

Articles 7 and 8 of the Convention. The Committee again asks the Government to provide detailed information in its next report on any bilateral or multilateral social security agreements that the Government may conclude with other States bound by the Convention with a view to ensuring the maintenance of acquired rights and rights in the course of acquisition recognized under their legislation.

Observation (CEACR) - adopted 2007, published 97th ILC session (2008)

The Committee notes the report supplied by the Government. It also observes that the ILO Subregional Office for Andean countries is currently carrying out a diagnosis of the Bolivian social security system in the framework of the Decent Work Country Programme (project BOL/06/50M/NET). This diagnosis is being submitted to tripartite consultations and could serve as a basis for an overall reform of the Bolivian social security system. With reference to the numerous questions raised in its previous comments, the Committee hopes that, with the technical assistance of the ILO, the Government will be able to make progress in finding solutions to the previously identified problems of application. It will therefore undertake an in-depth analysis of the detailed information supplied by the Government at its next session, together with the relevant information from the above diagnosis, once it is adopted.

Observation (CEACR) - adopted 2007, published 97th ILC session (2008)

The Committee notes that the Government’s report has not been received. It must therefore repeat its previous observation, which read as follows:

Article 2, paragraphs 1(i) and 2, and Article 6 of the Convention. In reply to the Committee’s previous comments relating to section 51 of Supreme Decree No. 22578 of 13 August 1990, the Government indicates that under the terms of the Bolivian legislation, family allowances include the prenatal allowance, the birth allowance, the nursing allowance and the funeral allowance. The Committee notes this information. It is however bound to draw the Government’s attention to the fact that these allowances do not fully respond to the concept of family benefit and family allowances within the meaning of the above Articles of the Convention. It also recalls that, in accordance with Article 40 read in conjunction with Article 1(e) of Convention No. 102, of which Part VII (Family benefit) was accepted by Bolivia when ratifying that Convention, the contingency covered is responsibility for the maintenance of children, with the term “child” meaning a child under school-leaving age or under 15 years of age. In these conditions, the Committee once again expresses the hope that the Government will be able to re-examine the situation with a view to re-establishing a scheme of family benefit which complies with Part VII of Convention No. 102, and that, in doing so, full account will be taken of Convention No. 118, and particular of Article 6, which specifies that each Member, which, like Bolivia, has accepted the obligations of the Convention in respect of family benefit, shall guarantee the grant of family allowances both to its own nationals and to the nationals of any other Member which has accepted the obligations of the Convention for that branch, in respect of children who reside on the territory of any such Member, under conditions and within limits to be agreed upon by the Members concerned. The Committee once again wishes to draw the Government’s attention to the possibility of having recourse to the technical assistance of the Office.

The Committee hopes that the Government will make every effort to take the necessary action in the very near future.

Observation (CEACR) - adopted 2007, published 97th ILC session (2008)

The Committee notes the report supplied by the Government. It also observes that the ILO Subregional Office for Andean countries is currently carrying out a diagnosis of the Bolivian social security system in the framework of the Decent Work Country Programme (project BOL/06/50M/NET). This diagnosis is being submitted to tripartite consultations and could serve as a basis for an overall reform of the Bolivian social security system. With reference to the numerous questions raised in its previous comments, the Committee hopes that, with the technical assistance of the ILO, the Government will be able to make progress in finding solutions to the previously identified problems of application. It will therefore undertake an in-depth analysis of the detailed information supplied by the Government at its next session, together with the relevant information from the above diagnosis, once it is adopted.

Observation (CEACR) - adopted 2007, published 97th ILC session (2008)

The Committee notes the report supplied by the Government. It also observes that the ILO Subregional Office for Andean countries is currently carrying out a diagnosis of the Bolivian social security system in the framework of the Decent Work Country Programme (project BOL/06/50M/NET). This diagnosis is being submitted to tripartite consultations and could serve as a basis for an overall reform of the Bolivian social security system. With reference to the numerous questions raised in its previous comments, the Committee hopes that, with the technical assistance of the ILO, the Government will be able to make progress in finding solutions to the previously identified problems of application. It will therefore undertake an in-depth analysis of the detailed information supplied by the Government at its next session, together with the relevant information from the above diagnosis, once it is adopted.

Observation (CEACR) - adopted 2007, published 97th ILC session (2008)

The Committee notes the report supplied by the Government. It also observes that the ILO Subregional Office for Andean countries is currently carrying out a diagnosis of the Bolivian social security system in the framework of the Decent Work Country Programme (project BOL/06/50M/NET). This diagnosis is being submitted to tripartite consultations and could serve as a basis for an overall reform of the Bolivian social security system. With reference to the numerous questions raised in its previous comments, the Committee hopes that, with the technical assistance of the ILO, the Government will be able to make progress in finding solutions to the previously identified problems of application. It will therefore undertake an in-depth analysis of the detailed information supplied by the Government at its next session, together with the relevant information from the above diagnosis, once it is adopted.

Direct Request (CEACR) - adopted 2003, published 92nd ILC session (2004)

The Committee notes that the Government’s report has not been received. It hopes that a report will be supplied for examination by the Committee at its next session and that it will contain full information on the matters raised in its previous direct request, which read as follows:

Referring to its observation, the Committee wishes to draw the Government’s attention to, and receive information on, the following points.

Article 7 of the Convention. (a) The Committee notes that section 2 of Supreme Decree No. 24469 of 1997 issuing the Regulations under the Pensions Act No. 1732 of 1996 contains a definition of industrial accident that includes commuting accidents, but only in cases where the employer provides the means of transport. Given the restrictive nature of this definition, the Committee hopes that the Government will be able to re-examine the legislation with a view to adopting a definition of commuting accident that does not depend on the mode of transport used.

(b) In addition, the Committee recalls that commuting accidents are not included in the definition of industrial accidents contained in section 27 of the Social Security Code and section 115 of its Regulations. The Committee therefore hopes that the Government will indicate in its next report the measures taken or envisaged to complement the definition of industrial accident, in accordance with Article 7 of the Convention.

Article 8. (a) Section 2 of the Regulations under Act No 1732 of 1996 contains a general definition of the term "occupational diseases". Section 62 of the Regulations appears to indicate that, in accordance with Article 8(c) of the Convention, the definition is complemented by a list of occupational diseases. The Committee hopes that the list in question contains all the diseases and types of work listed in Schedule I of the Convention and asks the Government to supply a copy of the text.

(b) The Committee requests the Government to indicate the measures taken or envisaged to complement the list of occupational diseases contained in Annex I of the Social Security Regulations so as to harmonize the list with the one given in the Convention.

Article 9, paragraph 3. In reply to the Committee’s previous comments, the Government states that in accordance with sections 16 and 17 of its Social Security Code, medical care benefits are granted for 26 weeks (with the possibility of being extended for a further 26 weeks). The Committee requests the Government to examine the measures that would be needed to enable persons injured in an industrial accident, in particular those receiving a permanent invalidity pension, to obtain medical care beyond this period where necessary, given that under the terms of this provision of the Convention benefits must be paid throughout the period of the contingency.

Article 16. The Committee notes that, according to the Government’s information, the Pensions Act of 1996 contains no provisions for increments in periodic payments and other special or supplementary benefits for disabled persons requiring the constant help or attendance of another person. The Committee hopes that the Government will re-examine the question and that it will indicate in its next report the measures taken or envisaged to apply Article 16 of the Convention.

Article 17. The Committee requests the Government to indicate in its next report the measures taken or envisaged to allow a review of the amount of invalidity pensions payable in cases of personal injury so as to take account of any changes that might occur in the degree of disability.

Article 18, paragraph 1. The Committee notes with interest that under section 10 of the Pensions Act, read in conjunction with section 5, widowers are now entitled to a survivors’ pension.

Article 18, paragraph 2. Section 12 of the Pensions Act provides for a funeral benefit of 1,100 bolivianos, which is indexed to the United States dollar. The Committee requests the Government to indicate whether that amount is sufficient to cover the normal costs of a funeral, and whether it is actually reviewed periodically.

Article 23. The Committee has noted the information supplied by the Government regarding the right of appeal of claimants where disputes arise regarding the benefits payable under the Social Security Code. The Committee would like to receive the information from the Government regarding the application in practice of this Article of the Convention, and regarding the new pensions legislation, indicating briefly the applicable rules concerning appeals.

*  *  *

The Committee, in addition, requests the Government to provide a copy of the handbook on the classification of occupational risks referred to in section 54 of the aforementioned Regulations, and the handbook referred to in section 59 of the Regulations.

Lastly, the Committee has noted that under the terms of sections 50 and 56 of the Pensions Act Regulations, all members of the SSO in an employment relationship are required to undergo a new work fitness examination; the examination is required every time the member changes employer if that change occurs more than 12 months after the previous examination. The Committee would like to receive the information from the Government as to whether the examination is also a condition for eligibility for benefits.

Observation (CEACR) - adopted 2003, published 92nd ILC session (2004)

The Committee notes that the Government’s report has not been received. It must therefore repeat its previous observation which read as follows:

The Committee has taken note of the information given in the Government’s most recent report, and recalls that in its previous comments it had expressed the wish for more detailed information on the effects of the occupational injuries provisions of the new Pensions Act No. 1732 of 29 November 1996 and its Regulations (Supreme Decree No. 24469 of 1997), which have completely changed the long-term benefits system. Responsibility for the administration of the social security system with regard to these benefits, including benefits payable in cases of occupational injuries, has been handed over to the "pension management companies" (AFPs), which are now responsible for registering insured persons and collecting contributions. These AFPs manage different accounts for different long-term contingencies, in particular a collective fund for occupational risks, which is financed by premiums paid by employers. The rate is set initially at 2 per cent but depends on the particular risks at each enterprise (section 49 of the Regulations). The collective occupational risks account, like the common risks account, is initially being managed by the AFPs but such risks will subsequently be covered by private insurance companies.

In order to be fully able to assess the manner in which the new pensions legislation gives effect to the Convention, the Committee considers it necessary to have some additional information, including statistical information, some of which was requested previously. The Committee also requests the Government to supply with its next report a detailed reply to certain questions raised by the Committee concerning the old social security legislation, in particular the Social Security Code, as amended by Legislative Decree No. 13214 of 1975, which remains in force in matters relating to medical treatment and temporary incapacity benefits.

Article 5 of the Convention. The Committee recalls that, when the Convention was ratified, the Government stated its intention to avail itself of the temporary exception allowed under Article 5. Under the terms of this provision, the application of national legislation concerning employment injury benefits may be limited to prescribed categories of employees, which shall total in number not less than 75 per cent of all employees in industrial undertakings. In its report, the Government refers, as regards the number of workers protected, to an annex which the ILO has not received. Furthermore, the Government indicates that the number of workers in industrial establishments is not known. The Committee recalls, as it has already had occasion to do several times before, that in order to be in a position to assess whether the requirements set out in this provision of the Convention are fulfilled, it must know the number of employees who belong to the new pensions scheme and the number of employees covered by the old social security legislation (as regards medical treatment and temporary incapacity benefits), on the one hand, and the total number of employees in industrial establishments, on the other. The Committee hopes that the Government will do all in its power to supply this information with its next report. If statistics on the number of workers employed in industrial enterprises are still not available, the Committee requests the Government in the meantime to supply statistics on the total number of employees (whatever the nature of the enterprise in which they work), so as to allow it to have an idea of the scope of protection in practice.

Article 9, paragraph 2. The Committee notes that according to section 10(6) of the Pensions Act of 1996 and section 48 of its Regulations, entitlement to benefits begins at the start of the employment relationship and elapses six months after the employment relationship has ended, if the member has not entered into a new employment. The Committee recalls that certain occupational diseases may remain latent for long periods, and that in certain cases, often the most serious ones, symptoms appear only many years later. The Committee therefore hopes that the Government will be able to re-examine the effect of section 10(6) of the Pensions Act (and section 48 of the Regulations) on compensation for occupational diseases, and that it will be able to indicate in its next report the measures taken or envisaged to ensure that diseases which should be recognized as occupational in origin, in accordance with the table in Schedule I of the Convention, give rise to compensation even if they manifest themselves after the six-month period.

Article 9, paragraph 3. Section 10 of the 1996 Pensions Act and section 71 of its Regulations provide that the invalidity pension in the event of occupational invalidity is paid until the member reaches the age of 65 years. A similar provision is contained in section 75 of the Regulations. The Committee requests the Government to indicate the measures taken or envisaged to ensure that, in accordance with Article 9, paragraph 3, of the Convention, disability and survivors’ benefits payable in cases of personal injury at a level prescribed by the Convention are paid for the full duration of the contingency.

Article 14, paragraph 1. The Committee has taken note of the provisions in the Pensions Act and its Regulations concerning pension entitlements in cases of occupational invalidity. The Committee requests the Government once again to indicate the measures taken or envisaged to ensure that invalidity pensions are paid from the end of the period during which temporary disability benefits are payable (according to section 29 of Legislative Decree No. 13214 of 1975, temporary disability benefits are restricted to 26 weeks, with the possibility of extension to 52 weeks).

Article 19 (in conjunction with Articles 13, 14 and 18 of the Convention). In reply to the Committee’s previous comments, the Government indicates in its report that it has not applied the provisions of Article 19 or Article 20 to calculate industrial injury benefits. The Committee recalls that, while States are free to adopt their own rules and methods for calculating benefits, the amount must nevertheless be determined in such a way as to be not less than the amount prescribed in Articles 19 or 20 of the Convention (read in conjunction with the table in Schedule II of the instrument). The calculation methods provided for by these provisions, and the parameters used, are established solely for the purpose of allowing comparisons between a given national situation and the requirements of the Convention. Given that according to section 10 of the 1996 Pensions Act (read in conjunction with section 5), as well as sections 59, 70, 72, 76, 77 and following sections of the Regulations, invalidity and survivors’ pensions payable in cases of occupational injuries are calculated in relation to the worker’s basic wages, Article 19 of the Convention is applicable for the purpose of ascertaining whether the level of invalidity and survivors’ benefits prescribed by the Convention has been reached. This also applies in the case of temporary invalidity benefits which, according to section 28 of Legislative Decree No. 13214 of 1975, are equivalent to 75 per cent of pensionable wages. Since a maximum limit is prescribed, as authorized by Article 19, paragraph 3, of the Convention, both for the basic pay used to calculate invalidity and survivors’ pensions (60 per cent of the national minimum wage, according to section 5 of the Act) and for the pensionable wages (section 58 of Legislative Decree No. 13214 of 1975, as amended), the Committee trusts that the Government will not fail to provide any statistics requested in the report form under Article 19 of the Convention (sections I and IV), in particular as regards the wages of male workers (chosen according to Article 19, paragraph 6 or 7) and the benefits paid to a standard beneficiary whose previous earnings, or whose breadwinner’s earnings, were equivalent to the wages of a skilled male worker.

The Committee has also noted that, according to information supplied by the Government in its report on Convention No. 128, family allowances are not paid during employment or during the period of the contingency. The Government therefore does not need to provide the information requested in the report form.

Article 21. In reply to the Committee’s comments, the Government indicates that the invalidity and survivors’ benefits are not periodically reviewed. The Committee feels bound to recall the importance which it attaches to Article 21 of the Convention, according to which the rates of cash benefits currently payable must be reviewed following substantial changes in the general level of earnings where these result from substantial changes in the cost of living. The Committee hopes that the Government will re-examine the question, and indicate in its next report the measures taken or envisaged to ensure the full implementation of this provision of the Convention, as regards both pensions paid under the old and the new system. In this regard, the Committee recalls that sections 2, 4 and 320 of the Regulations provide for a procedure for adjusting existing or future pensions in the light of the devaluation of the national currency in relation to the United States dollar. The Government is also asked to provide any statistical information requested in the report form under this Article of the Convention, point B, and to supply a copy of the scale of annual increases, as established by the executive authority, for existing or future pensions under the old system, in accordance with section 57 of Act No. 1732, as amended by Act No. 2197 of 9 May 2001.

Article 22. The Committee notes that, according to section 51 of the Regulations implementing the 1996 Pensions Act, the member must, in the case of a work accident, notify his employer either directly or through a third party and fill out an accident report form. This must be signed by the member or his representative and by the employer. It must then be sent to the AFP within ten days of the accident, and it would appear from section 51(3) of the Regulations that the invalidity and survivors’ pension payable in cases of work injury is refused if the AFP does not receive the form within the prescribed period. If the failure to present the form is due to the employer, the member or his representative can inform the Superintendence of Pensions within ten days of the accident, and this will result in benefits being paid. The Committee recalls that, according to Article 22, paragraph 1(f), payment of a benefit may be suspended if the person concerned fails to comply with rules prescribed for verifying the occurrence or continuance of the contingency. At the same time, the Committee considers that those rules should not be such as to make it difficult or impossible to recognize an entitlement to benefits. In this regard, the time limit of ten days under section 51 for notification of an accident appears to be very short, especially if the accident is a serious one or leads to the death of the worker. The Committee therefore hopes that the Government will re-examine the situation and indicate the measures taken or envisaged to ensure that failure to observe the period of ten days established by section 51 of the Regulations does not entail loss of entitlement to invalidity benefits, particularly in cases where the worker is unable to deal with the notification himself. The Committee also considers that where notification is not made because of the employer, the latter should be liable to sanctions and the worker’s pension entitlements should not be affected. In addition, the Committee requests the Government to indicate whether use is made of the other provisions of Article 22, paragraph 1. If that is the case, the Government is asked to indicate the applicable legislation.

Article 24, paragraph 1. The Committee has taken note of the Government’s statement to the effect that the protected persons do not participate in the management of the new system. Given that according to Article 24, paragraph 1, of the Convention, persons protected shall participate in the management of the scheme, the Committee trusts that the Government will wish to re-examine the question and indicate in its next report the measures taken or envisaged to give effect to this fundamental provision of the Convention.

Article 24, paragraph 2, and Article 25. The Committee has taken note of the information communicated by the Government referring in particular to the Superintendence of Pensions and the General Directorate of Pensions, which administers the old distribution-based pensions system. The Committee hopes that the Government’s next report will contain detailed information on the measures taken in this regard by these institutions, and also asks the Government to indicate whether the actuarial studies and calculations required concerning the financial balance of the new pensions system are carried out regularly, and to communicate the result of those studies and calculations.

Article 26, paragraph 2. The Committee requests the Government to supply with its next report statistics on the frequency and severity of industrial accidents in accordance with this provision of the Convention.

*  *  *

In addition, the Committee would like detailed information from the Government on the application in practice of sections 58, 81, 315 and 317 of the Regulations implementing the Pensions Act (No. 1732 of 1996), indicating in particular whether and how invalidity and survivors’ benefits payable in cases of occupational injury under the old distribution-based pensions system continue to be paid in full. The Committee trusts that the Government will take all the necessary measures to review these pensions in a manner that reflects changes in the cost of living and the general level of earnings, in accordance with Article 21 of the Convention.

Observation (CEACR) - adopted 2003, published 92nd ILC session (2004)

The Committee notes that the Government’s report has not been received. It must therefore repeat its previous observation which read as follows:

In its previous comments, the Committee examined the provisions of Act No. 1732 of 29 November 1996 and its implementing regulations (Supreme Decree No. 24469 of 1997) (hereinafter "the Regulations"). This legislation establishes a system based on individual funding through the insured person’s accumulated capital managed by private bodies (Administradoras de Pensiones- AFP), which replaces the former system of pensions based on a pay-as-you-go system and administered by a public body, the Bolivian Social Security Institute. The Committee also noted the observations made by the Bolivian Central of Workers (COB). In view of the fundamental changes introduced by the new system (Seguro Social Obligatorio de Largo Plazo), and in the absence of a report from the Government, the Committee had urged the Government to provide a detailed report permitting it to determine whether the new pensions system continued to give effect to the Convention.

In its report, the Government provides certain information on the contents of the new system for the management of pension funds and states that it has recently started to manage funds but has not yet granted benefits. It adds that the statistics contained in its report on the level of benefits relate to those paid by the former pensions system. The Committee notes this statement. However, it recalls that the new pensions system entered into force on 1 May 1997 and that it should normally have begun providing benefits in view of the qualifying periods established by Act No. 1732 of 1996 and its Regulations. Indeed, under this legislation, the persons covered by the legislation, or the breadwinner for dependants of the first rank, are entitled to invalidity and survivors’ benefit in the event of the contingency where they have, firstly, made 16 monthly contributions to the new pension system or the former pay-as-you-go system and, secondly, paid at least 18 monthly contributions over the past 36 months for common risks coverage (see sections 8, 9, 14 and 15 of the Act and section 2 of the Regulations). Special provisions also exist for persons who do not fulfil the above contribution requirement.

With regard more particularly to old-age benefit, the Committee also notes, from the information provided by the Government, that employees applying for benefits after 31 December 2001 are covered by the new pensions system. The Committee recalls that the Government ratified the Convention in 1977 and that as a consequence it is bound to give effect to its provisions in respect of all persons within its scope, irrespective of the nature of the various systems by which they may be covered during their occupational career. It therefore hopes that the next report will contain detailed information on the implementation in practice of the new pensions system and its relationship with the former system, and particularly on the following points.

1. Scope. In reply to the Committee’s comments concerning the scope of the new pensions system, the Government indicates that the relevant statistics are not yet available. In this respect, the Committee however notes that the Internet site of the Superintendence of Pensions, Shares and Insurance (SPVA) provides certain statistics relating to the number of persons registered with the new pensions system. The Committee therefore hopes that the Government’s next report will not fail to include all the statistical information requested by the report form under Articles 9, 16 and 22 of the Convention. In so far as the Government availed itself at the time of the ratification of the Convention of the temporary derogations set out in paragraph 2 of Articles 9, 16 and 22 of the Convention, the Government may wish to refer to questions 3D or E in the report form under these provisions of the Convention, which relate to the number of employees protected and not the number of beneficiaries of a pension.

2. Level of benefits. (a) Invalidity and survivors’ benefits (Articles 10 and 23 in relation to Article 26 of the Convention). In its report, the Government indicates that, to calculate the amount of the benefit, the national legislation does not take into account the requirements of Articles 26 or 27 of the Convention. In this respect, the Committee recalls that while States remain free to adopt their own rules and methods of calculation to determine the amount of benefits, this amount must however be determined in such a manner that it is at least equal to the amount prescribed by Articles 26, 27 or 28 of the Convention, in conjunction with the Schedule appended to Part V (Standards to be complied with by periodical payments). The methods of calculation envisaged by these provisions and the parameters that they use are established solely to permit comparison between national situations and the requirements of the Convention. In view of the fact that, in accordance with sections 8 and 9 of Act No. 1732 and section 41(c) of the Regulations, invalidity and survivors’ benefits are calculated in relation to the basic wage of the insured person, Article 26 is applicable to assess whether the level of invalidity and survivors’ benefit prescribed by the Convention has been attained. In view of the fact that, as authorized by paragraph 3 of Article 26, a ceiling has been set for the basic wage used for the calculation of the above benefits (60 times the national minimum wage in force in accordance with section 5 of the Act), the Committee trusts that the Government will not fail to provide all the statistical information requested in the report form under Article 26 of the Convention (Titles I, II and IV), and particularly the wage of a skilled manual male employee (selected according to paragraph 4 or 5 of Article 26) and the amount of the benefit provided to a standard beneficiary whose previous wages, or those of the family breadwinner, were equal to the wage of the skilled manual male employee.

Furthermore, the Committee notes, from the information provided by the Government, that family allowances were paid neither during employment nor during the contingency. The Government has not therefore to provide the information requested in this respect by the report form.

(b) Old-age benefit (Article 17 in relation to Articles 26 or 27 of the Convention). (i) The Committee recalls that, in accordance with section 7 of Act No. 1732 of 1996 on pensions, the amount of the old-age pension depends on the capital accumulated in the worker’s individual account. In addition, pursuant to section 17 of the Act and sections 18 and 19 of the Regulations, the pension may take two different forms according to the type of contract selected. Where the insured person chooses a life annuity contract, the amount of the pension will be determined and will correspond to at least 70 per cent of the minimum wage in force; where the insured person chooses a variable monthly annuity contract, the amount of the first pension payment will also correspond to at least 70 per cent of the minimum wage in force; subsequently, the amount of the pension will vary as a function of the mortality of the group of pensioners who have selected this pension system, as well as the return on the variable monthly annuity account. In order to be able to ascertain whether the amount of the old-age pension paid by virtue of the new Act on pensions attains at least to the minimum prescribed by the Convention (45 per cent of the reference wage when the insured person has completed 30 years of contribution or employment), the Committee would be grateful if the Government would provide all the statistical information requested in the report form under Article 26 of the Convention, Titles I and III, for each of the types of pension selected. In view of the fact that the new pensions scheme has not yet reached maturity, the Government may perhaps wish to take into consideration the rights acquired or in the course of acquisition under the former system.

(ii) In so far as a minimum old-age pension equal to 70 per cent of the minimum wage is guaranteed for all pensioners aged 65 years, irrespective of the type of pension selected, the Government may also wish to refer to Article 27 of the Convention and to provide the information requested in the report form under Titles I and III. Please also confirm that insured persons, who select a variable monthly annuity contract at the age of 65 years, benefit from a pension that is at least equal to 70 per cent of the minimum wage in force throughout the duration of its provision, and not only for the first pension payment.

3. Reduced old-age benefits (Article 18 in relation to Article 19 of the Convention). In reply to the Committee’s previous comments, the Government provides certain information on the possibility for persons covered by the former system to receive their benefits before the statutory pensionable age in return for a lower level of benefit. The Committee recalls in this respect that its comments concerned the new pensions system. Indeed, pursuant to section 13 of the Regulations, where the old-age pension resulting from the accumulated capital is lower than 70 per cent of the minimum wage in force, the insured person may withdraw from the account, from the age of 65 onwards, monthly amounts equivalent to 70 per cent of the said minimum wage until the capital accumulated in the account is exhausted. The Committee recalls that, in accordance with Article 18, paragraph 2(a), of the Convention, a reduced old-age benefit must be secured at least to a person protected who has completed, prior to the contingency, a qualifying period of 15 years of contribution or employment and that this reduced benefit must be granted throughout the contingency, in accordance with Article 19 of the Convention. The Committee therefore hopes that the Government will be able to indicate in its next report the measures which have been taken or are envisaged to ensure that effect is given to the Convention on this point in relation to the persons covered by the new pensions system introduced by Act No. 1732 of 1996.

4. Duration of benefits (Articles 12, 19 and 25). The Committee notes the information provided by the Government in reply to its previous comments. It requests the Government to confirm that the old-age, invalidity and survivors’ benefits paid under the new pension system are granted throughout the contingency, even where the capital accumulated in the worker’s individual account is exhausted. It also refers to point 3(b)(ii) above with regard to variable monthly annuity contracts.

5. Age of eligibility for an old-age pension (Article 15). In its report, the Government states that no draft amendments to the new Act on pensions are planned with regard to the age of eligibility for a pension, which is set at 65 years. The Committee notes this information. It recalls that under the previous legislation the pensionable age was fixed at 50 years for women and 55 years for men. It requests the Government to indicate, with the support of statistics, the demographic, economic and social criteria justifying the determination of the age of eligibility to a pension at 65 years since, in view of the observations made previously by the Bolivian Central of Workers (COB), the average life expectancy is well below this age (61.86 years for men and 67.1 for women according to the World Factbook 2002; moreover, according to the same source, persons aged 65 years and over only represent 4.5 per cent of the population).

Furthermore, the Committee once again draws the Government’s attention to the fact that, in accordance with Article 15, paragraph 3, of the Convention, the age for entitlement to a pension shall be less than 65 years in respect of persons who have been engaged in occupations that are deemed to be arduous or unhealthy. It trusts that the Government will be able to indicate in its next report the measures which have been taken or are envisaged to give full effect to this provision of the Convention.

6. Revision of benefits (Article 29). In reply to the Committee’s comments, the Government states that the only procedure for adjustment to which recourse is made consists of the adjustment of the national minimum wage and that the latter does not take into account the devaluation of the national currency in relation to the United States dollar, but is based on the price indices of a household basket, which are much lower. It adds that pensions have not been increased taking into account these parameters. The Committee is bound to recall that, in accordance with Article 29 of the Convention, the rates of invalidity, old-age and survivors’ pensions shall be reviewed periodically following substantial changes in the general level of earnings or substantial changes in the cost of living. The Committee hopes that the Government will be able to re-examine the matter and that it will indicate in its next report the measures taken to give full effect to this provision of the Convention with regard to the pensions paid under both the former system and the new system. In this respect, it recalls that sections 2, 4 and 320 of the Regulations provide for a procedure for the adjustment of current pensions and pensions in the course of acquisition based on the devaluation of the national currency in relation to the United States dollar. Please also provide all the statistical data requested by the report form under this Article of the Convention with regard to current pensions. Please also provide copies of the scale determined with a view to the annual increase in the periodical payments acquired or in the course of acquisition under the former pensions system, as determined by the executive authority in accordance with section 57 of Act No. 1732, as amended by Act No. 2197 of 9 May 2001.

7. Maintenance of rights in course of acquisition (Article 30). In reply to the Committee’s comments concerning the maintenance of rights in course of acquisition of persons insured under the former pay-as-you-go system, the Government provides the following information. All insured persons who apply for their entitlement up to 31 December 2001 and fulfil the age conditions and the qualifying period set out in the former legislation can claim the benefits envisaged by the former pensions system. Under section 27 of the Benefit Manual, insured persons who have reached the age of 55 years for men and 50 years for women, and who have paid fewer than 180 but more than 24 monthly contributions, are also entitled to such benefits as a lump-sum payment (pago global), although six of the contributions must have been paid during the 12 months prior to attaining the age of eligibility for the pension. Furthermore, under section 1 of administrative resolution No. 012/97, insured persons who have not attained the age of eligibility for the pension set out by the former legislation, but who have paid at least 180 monthly contributions, can receive the benefits envisaged by the former system with a reduction of 8 per cent in their periodical payments for each missing year, provided that they have reached the age of 50 for men and 45 for women.

The Government also refers to section 322 of the Regulations, under which persons who have not been able to take their retirement under the pay-as-you-go pensions system and who had paid at least 60 monthly contributions before 1 May 1997 are entitled to compensation for their contributions in the form of an annuity paid by an AFP. Insured persons who had paid fewer than 60 contributions as of 1 May 1997 are entitled to a lump-sum payment provided to them directly by the General Directorate of Pensions.

The Committee notes this information. It recalls that the persons covered by the Convention must receive benefits in accordance with its provisions, irrespective of the fact that they may have been covered during their occupational careers by various pensions schemes, and irrespective of the concepts and principles upon which the latter are based. It therefore hopes that the Government will be able to re-examine the matter and indicate the measures, which have been taken or are envisaged, to ensure that better effect is given to the provisions respecting the maintenance of rights in course of acquisition, particularly with regard to the considerable number of persons who, according to the information provided by the Government, have not accepted the actuarial reduction of 8 per cent in their periodical payments. Noting that this matter is currently the subject of negotiation, the Committee requests the Government to provide detailed information on the measures, which have been adopted or are envisaged in this respect.

The Committee also requests the Government to indicate whether the various compensation measures for the contributions paid take into account not only the contributions paid by insured persons, but also those paid by employers and by the State.

Furthermore, the Committee recalls that, in accordance with the information provided by the Government, section 27 of the Benefit Manual provides for a lump-sum payment (pago global) for persons insured under the former pensions system who have attained the age of eligibility for a pension and who have paid fewer than 180 contributions but more than 24. However, it notes that section 322(a) of the Regulations provides for monthly compensation for contributions in the case of insured persons who have paid at least 60 contributions under the former system. It would be grateful if the Government would provide detailed information on the application in practice of section 27 of the Manual with regard to insured persons who have paid at least 60 contributions.

The Committee would, in addition, be grateful if the Government would provide copies of administrative resolutions Nos. 012/1997 and 001/1998, and of the Benefit Manual referred to by the Government in its report.

8. General responsibility for the provision of benefits and the proper administration of the system (Article 35). The Government indicates that it takes responsibility for the provision of benefits through the Pensions Superintendence and the General Directorate of Pensions, which administers the old distribution-based pensions system. The Committee hopes that the Government’s next report will contain detailed information on the measures taken in this respect by the above institutions. It also requests the Government to indicate whether the necessary actuarial studies and calculations concerning the financial equilibrium of the new pensions system are made periodically and to provide the results of these studies and calculations.

9. Participation in the administration of schemes (Article 36). The Committee notes the Government’s statement that the persons responsible for the management of the new pensions system do not accept interference by the persons protected. In view of the fact that Article 36 of the Convention provides that representatives of the persons protected shall participate in the management of the schemes, the Committee trusts that the Government will re-examine the matter and that it will indicate in its next report the measures which have been taken or are envisaged to give effect to this essential provision of the Convention.

*  *  *

The Committee would be grateful if the Government would provide copies of the various types of contracts concluded between insured persons and the AFPs or insurance companies, whether they are life annuity contracts or variable monthly annuity contracts. Please also indicate the manner in which the mortality tables of the groups of pensioners who have selected variable monthly annuity contracts are established, with an indication of whether the rates differ for men and women.

The Committee also requests the Government to indicate whether the Manual providing for standards of evaluation and qualification of the degree of invalidity mentioned in section 24 of the Regulations has been adopted and, if so, to provide a copy of it.

Finally, the Committee hopes that the Government will indicate, for each of the contingencies contemplated in the Convention, the number, nature and amount of the pensions granted under the new system of administration of pension funds.

Observation (CEACR) - adopted 2003, published 92nd ILC session (2004)

The Committee notes with regret that the Government’s report has not been received. It must therefore repeat its previous observation which read as follows:

In reply to the comments that the Committee has been making for a number of years, the Government cites section 10 of the new Act on Pensions No. 1732 of 1996, covering benefits for invalidity as a result of occupational accidents, stating that all provisions contrary to this Act have been repealed. The Committee draws the Government’s attention to the fact that benefits for employment injury and occupational diseases are considered under the Employment Injury Benefits Convention, 1964 (No. 121), and that the matters raised by the Committee in connection with Convention No. 130 relate solely to medical treatment and medical benefits of ordinary origin. In this regard, the Committee requests the Government to confirm that the legal provisions applicable to these branches of social security to which it referred in its previous reports (Legislative Decree No. 10173 of 1972, No. 13214 of 1975 and No. 14643 of 1977) are still in force. In addition, it trusts once again that the Government’s next report will contain detailed information on the following matters raised in the Committee’s previous comments.

1. Part II (Medical care), Article 16, paragraph 1, of the Convention. The Committee once again requests the Government to adopt the necessary measures to ensure that medical care is provided throughout the contingency, in accordance with this provision of the Convention.

Article 16, paragraph 3. The Committee recalls that, under section 23 of Legislative Decree No. 13214 of 1975, in the event of sickness certified by the responsible physician before the insured person is given sick leave, entitlement to the corresponding medical care for this sickness shall not be interrupted and may continue up to the legal limit of 26 weeks, or less if the medical treatment is terminated. The Committee trusts that the Government will indicate in its next report the measures that have been adopted to extend, in the case of beneficiaries who lose their status as insured persons, the duration of medical care for prescribed diseases recognized as entailing prolonged care, as required by this provision of the Convention.

2. Part III (Sickness benefit), Article 21, in conjunction with Article 22. The Committee once again draws the Government’s attention to the fact that, in accordance with Articles 21 to 23, the rate of the sickness benefit shall be such as to attain a minimum level (60 per cent) for a standard beneficiary (a man with a wife and two children). Articles 22 to 24 offer the Government various formulae that can be adapted to national practice for the determination of this minimum level. The formula envisaged in Article 22 is intended to take into account systems of protection which, as is the case of the Bolivian social security system, provide benefits calculated on the basis of the beneficiary’s former earnings. The Committee recalls in this respect that, in view of the fact that Legislative Decree No. 13214 of 1975, and section 81 of the Social Security Code, as amended, envisage a maximum amount for the rate of benefit and for the earnings taken into account for its calculation, the percentage of 60 per cent provided for in the Convention must be calculated with reference to a standard beneficiary whose earnings are equal to the wage of a skilled manual male employee (Article 22, paragraph 3). The information requested under the terms of Article 22 of the Convention and, in particular, relating to the wage of a skilled manual male employee, is merely intended to permit comparison of the rate of benefit paid under the national legislation with the minimum rate established by the Convention. In these conditions, the Committee once again hopes that the Government will be able to take the necessary measures to provide the information required in the report form adopted by the Governing Body on Convention No. 130, and particularly the information on the wage of a skilled manual male employee, determined in accordance with paragraph 6 or 7 of Article 22, the amount of the sickness benefit paid to such a skilled worker, and the maximum level of wages subject to contributions.

3. Article 26, paragraph 1. The Government states in its report that sickness insurance benefit is provided for 52 weeks and, for chronic illnesses, this period may be extended by the Ministry of Health. With regard to cash benefit, the subsidy for temporary incapacity is provided for 52 weeks at a rate that is equivalent to 75 per cent of the wage that is subject to contributions. The Committee once again emphasizes that section 30 of Legislative Decree No. 13214, of 1975, establishes that the common sickness subsidy commences from the fourth day of incapacity, with a maximum duration of 26 weeks, which can be extended for another 26 weeks if by doing so it is possible to avoid the status of invalidity. The Committee recalls that this requirement is not authorized by Article 26 of the Convention, which provides that sickness benefit shall be granted throughout the contingency, provided that the grant of benefit may be limited to not less than 52 weeks in each case of incapacity. In these conditions, the Committee once again reminds the Government of the need to harmonize the provisions of the legislation that is in force with those of the Convention.

4. In previous comments, the Committee had referred to the possibility of having recourse to the technical assistance of the Office to resolve difficulties arising out of the application of the Convention. In addition, the Government had referred to a structural reform of social security in Bolivia. As so many years have passed since these matters were first raised concerning the application of the Convention, the Committee trusts that the Government will provide a detailed report in which it will take fully into account the matters that have been raised in order to give full effect to the Convention and that it will not hesitate to have recourse to the technical assistance that can be provided by the Office to assist its efforts to apply the Convention.

Direct Request (CEACR) - adopted 2002, published 91st ILC session (2003)

Articles 7 and 8 of the Convention. The Committee again asks the Government to provide detailed information in its next report on any bilateral or multilateral social security agreements that the Government may conclude with other States bound by the Convention with a view to ensuring the maintenance of acquired rights and rights in the course of acquisition recognized under their legislation.

Direct Request (CEACR) - adopted 2002, published 91st ILC session (2003)

Referring to its observation, the Committee wishes to draw the Government’s attention to, and receive information on, the following points.

Article 7 of the Convention. (a) The Committee notes that section 2 of Supreme Decree No. 24469 of 1997 issuing the Regulations under the Pensions Act No. 1732 of 1996 contains a definition of industrial accident that includes commuting accidents, but only in cases where the employer provides the means of transport. Given the restrictive nature of this definition, the Committee hopes that the Government will be able to re-examine the legislation with a view to adopting a definition of commuting accident that does not depend on the mode of transport used.

(b) In addition, the Committee recalls that commuting accidents are not included in the definition of industrial accidents contained in section 27 of the Social Security Code and section 115 of its Regulations. The Committee therefore hopes that the Government will indicate in its next report the measures taken or envisaged to complement the definition of industrial accident, in accordance with Article 7 of the Convention.

Article 8. (a) Section 2 of the Regulations under Act No 1732 of 1996 contains a general definition of the term "occupational diseases". Section 62 of the Regulations appears to indicate that, in accordance with Article 8(c) of the Convention, the definition is complemented by a list of occupational diseases. The Committee hopes that the list in question contains all the diseases and types of work listed in Schedule I of the Convention and asks the Government to supply a copy of the text.

(b) The Committee requests the Government to indicate the measures taken or envisaged to complement the list of occupational diseases contained in Annex I of the Social Security Regulations so as to harmonize the list with the one given in the Convention.

Article 9, paragraph 3. In reply to the Committee’s previous comments, the Government states that in accordance with sections 16 and 17 of its Social Security Code, medical care benefits are granted for 26 weeks (with the possibility of being extended for a further 26 weeks). The Committee requests the Government to examine the measures that would be needed to enable persons injured in an industrial accident, in particular those receiving a permanent invalidity pension, to obtain medical care beyond this period where necessary, given that under the terms of this provision of the Convention benefits must be paid throughout the period of the contingency.

Article 16. The Committee notes that, according to the Government’s information, the Pensions Act of 1996 contains no provisions for increments in periodic payments and other special or supplementary benefits for disabled persons requiring the constant help or attendance of another person. The Committee hopes that the Government will re-examine the question and that it will indicate in its next report the measures taken or envisaged to apply Article 16 of the Convention.

Article 17. The Committee requests the Government to indicate in its next report the measures taken or envisaged to allow a review of the amount of invalidity pensions payable in cases of personal injury so as to take account of any changes that might occur in the degree of disability.

Article 18, paragraph 1. The Committee notes with interest that under section 10 of the Pensions Act, read in conjunction with section 5, widowers are now entitled to a survivors’ pension.

Article 18, paragraph 2. Section 12 of the Pensions Act provides for a funeral benefit of 1,100 bolivianos, which is indexed to the United States dollar. The Committee requests the Government to indicate whether that amount is sufficient to cover the normal costs of a funeral, and whether it is actually reviewed periodically.

Article 23. The Committee has noted the information supplied by the Government regarding the right of appeal of claimants where disputes arise regarding the benefits payable under the Social Security Code. The Committee would like to receive the information from the Government regarding the application in practice of this Article of the Convention, and regarding the new pensions legislation, indicating briefly the applicable rules concerning appeals.

*  *  *

The Committee, in addition, requests the Government to provide a copy of the handbook on the classification of occupational risks referred to in section 54 of the aforementioned Regulations, and the handbook referred to in section 59 of the Regulations.

Lastly, the Committee has noted that under the terms of sections 50 and 56 of the Pensions Act Regulations, all members of the SSO in an employment relationship are required to undergo a new work fitness examination; the examination is required every time the member changes employer if that change occurs more than 12 months after the previous examination. The Committee would like to receive the information from the Government as to whether the examination is also a condition for eligibility for benefits.

[The Government is asked to reply in detail to the present comments in 2003.]

Direct Request (CEACR) - adopted 2002, published 91st ILC session (2003)

The Committee notes the entry into force of Act No. 1732 of 29 November 1996 on pensions and its implementing regulations (Supreme Decree No. 24469 of 17 January 1997). It hopes that the Government’s next report will contain information on the impact of this legislation on the implementation of the Convention. Please indicate in particular whether, in the event of employment injury, beneficiaries of an invalidity or survivors’ pension are entitled to the payment of their benefits in the case of residence abroad, whether they are nationals of Bolivia or of any State which has ratified the Convention.

Observation (CEACR) - adopted 2002, published 91st ILC session (2003)

Article 2, paragraphs 1(i) and 2, and Article 6 of the Convention. In reply to the Committee’s previous comments relating to section 51 of Supreme Decree No. 22578 of 13 August 1990, the Government indicates that under the terms of the Bolivian legislation, family allowances include the prenatal allowance, the birth allowance, the nursing allowance and the funeral allowance. The Committee notes this information. It is however bound to draw the Government’s attention to the fact that these allowances do not fully respond to the concept of family benefit and family allowances within the meaning of the above Articles of the Convention. It also recalls that, in accordance with Article 40 read in conjunction with Article 1(e) of Convention No. 102, of which Part VII (Family benefit) was accepted by Bolivia when ratifying that Convention, the contingency covered is responsibility for the maintenance of children, with the term "child" meaning a child under school-leaving age or under 15 years of age. In these conditions, the Committee once again expresses the hope that the Government will be able to re-examine the situation with a view to re-establishing a scheme of family benefit which complies with Part VII of Convention No. 102, and that, in doing so, full account will be taken of Convention No. 118, and particularly of Article 6, which specifies that each Member, which, like Bolivia, has accepted the obligations of the Convention in respect of family benefit, shall guarantee the grant of family allowances both to its own nationals and to the nationals of any other Member which  has accepted the obligations of the Convention for that branch, in respect of children who reside on the territory of any such Member, under conditions and within limits to be agreed upon by the Members concerned. The Committee once again wishes to draw the Government’s attention to the possibility of having recourse to the technical assistance of the Office.

Observation (CEACR) - adopted 2002, published 91st ILC session (2003)

The Committee has taken note of the information given in the Government’s most recent report, and recalls that in its previous comments it had expressed the wish for more detailed information on the effects of the occupational injuries provisions of the new Pensions Act No. 1732 of 29 November 1996 and its Regulations (Supreme Decree No. 24469 of 1997), which have completely changed the long-term benefits system. Responsibility for the administration of the social security system with regard to these benefits, including benefits payable in cases of occupational injuries, has been handed over to the "pension management companies" (AFPs), which are now responsible for registering insured persons and collecting contributions. These AFPs manage different accounts for different long-term contingencies, in particular a collective fund for occupational risks, which is financed by premiums paid by employers. The rate is set initially at 2 per cent but depends on the particular risks at each enterprise (section 49 of the Regulations). The collective occupational risks account, like the common risks account, is initially being managed by the AFPs but such risks will subsequently be covered by private insurance companies.

In order to be fully able to assess the manner in which the new pensions legislation gives effect to the Convention, the Committee considers it necessary to have some additional information, including statistical information, some of which was requested previously. The Committee also requests the Government to supply with its next report a detailed reply to certain questions raised by the Committee concerning the old social security legislation, in particular the Social Security Code, as amended by Legislative Decree No. 13214 of 1975, which remains in force in matters relating to medical treatment and temporary incapacity benefits.

Article 5 of the Convention. The Committee recalls that, when the Convention was ratified, the Government stated its intention to avail itself of the temporary exception allowed under Article 5. Under the terms of this provision, the application of national legislation concerning employment injury benefits may be limited to prescribed categories of employees, which shall total in number not less than 75 per cent of all employees in industrial undertakings. In its report, the Government refers, as regards the number of workers protected, to an annex which the ILO has not received. Furthermore, the Government indicates that the number of workers in industrial establishments is not known. The Committee recalls, as it has already had occasion to do several times before, that in order to be in a position to assess whether the requirements set out in this provision of the Convention are fulfilled, it must know the number of employees who belong to the new pensions scheme and the number of employees covered by the old social security legislation (as regards medical treatment and temporary incapacity benefits), on the one hand, and the total number of employees in industrial establishments, on the other. The Committee hopes that the Government will do all in its power to supply this information with its next report. If statistics on the number of workers employed in industrial enterprises are still not available, the Committee requests the Government in the meantime to supply statistics on the total number of employees (whatever the nature of the enterprise in which they work), so as to allow it to have an idea of the scope of protection in practice.

Article 9, paragraph 2. The Committee notes that according to section 10(6) of the Pensions Act of 1996 and section 48 of its Regulations, entitlement to benefits begins at the start of the employment relationship and elapses six months after the employment relationship has ended, if the member has not entered into a new employment. The Committee recalls that certain occupational diseases may remain latent for long periods, and that in certain cases, often the most serious ones, symptoms appear only many years later. The Committee therefore hopes that the Government will be able to re-examine the effect of section 10(6) of the Pensions Act (and section 48 of the Regulations) on compensation for occupational diseases, and that it will be able to indicate in its next report the measures taken or envisaged to ensure that diseases which should be recognized as occupational in origin, in accordance with the table in Schedule I of the Convention, give rise to compensation even if they manifest themselves after the six-month period.

Article 9, paragraph 3. Section 10 of the 1996 Pensions Act and section 71 of its Regulations provide that the invalidity pension in the event of occupational invalidity is paid until the member reaches the age of 65 years. A similar provision is contained in section 75 of the Regulations. The Committee requests the Government to indicate the measures taken or envisaged to ensure that, in accordance with Article 9, paragraph 3, of the Convention, disability and survivors’ benefits payable in cases of personal injury at a level prescribed by the Convention are paid for the full duration of the contingency.

Article 14, paragraph 1. The Committee has taken note of the provisions in the Pensions Act and its Regulations concerning pension entitlements in cases of occupational invalidity. The Committee requests the Government once again to indicate the measures taken or envisaged to ensure that invalidity pensions are paid from the end of the period during which temporary disability benefits are payable (according to section 29 of Legislative Decree No. 13214 of 1975, temporary disability benefits are restricted to 26 weeks, with the possibility of extension to 52 weeks).

Article 19 (in conjunction with Articles 13, 14 and 18 of the Convention). In reply to the Committee’s previous comments, the Government indicates in its report that it has not applied the provisions of Article 19 or Article 20 to calculate industrial injury benefits. The Committee recalls that, while States are free to adopt their own rules and methods for calculating benefits, the amount must nevertheless be determined in such a way as to be not less than the amount prescribed in Articles 19 or 20 of the Convention (read in conjunction with the table in Schedule II of the instrument). The calculation methods provided for by these provisions, and the parameters used, are established solely for the purpose of allowing comparisons between a given national situation and the requirements of the Convention. Given that according to section 10 of the 1996 Pensions Act (read in conjunction with section 5), as well as sections 59, 70, 72, 76, 77 and following sections of the Regulations, invalidity and survivors’ pensions payable in cases of occupational injuries are calculated in relation to the worker’s basic wages, Article 19 of the Convention is applicable for the purpose of ascertaining whether the level of invalidity and survivors’ benefits prescribed by the Convention has been reached. This also applies in the case of temporary invalidity benefits which, according to section 28 of Legislative Decree No. 13214 of 1975, are equivalent to 75 per cent of pensionable wages. Since a maximum limit is prescribed, as authorized by Article 19, paragraph 3, of the Convention, both for the basic pay used to calculate invalidity and survivors’ pensions (60 per cent of the national minimum wage, according to section 5 of the Act) and for the pensionable wages (section 58 of Legislative Decree No. 13214 of 1975, as amended), the Committee trusts that the Government will not fail to provide any statistics requested in the report form under Article 19 of the Convention (sections I and IV), in particular as regards the wages of male workers (chosen according to Article 19, paragraph 6 or 7) and the benefits paid to a standard beneficiary whose previous earnings, or whose breadwinner’s earnings, were equivalent to the wages of a skilled male worker.

The Committee has also noted that, according to information supplied by the Government in its report on Convention No. 128, family allowances are not paid during employment or during the period of the contingency. The Government therefore does not need to provide the information requested in the report form.

Article 21. In reply to the Committee’s comments, the Government indicates that the invalidity and survivors’ benefits are not periodically reviewed. The Committee feels bound to recall the importance which it attaches to Article 21 of the Convention, according to which the rates of cash benefits currently payable must be reviewed following substantial changes in the general level of earnings where these result from substantial changes in the cost of living. The Committee hopes that the Government will re-examine the question, and indicate in its next report the measures taken or envisaged to ensure the full implementation of this provision of the Convention, as regards both pensions paid under the old and the new system. In this regard, the Committee recalls that sections 2, 4 and 320 of the Regulations provide for a procedure for adjusting existing or future pensions in the light of the devaluation of the national currency in relation to the United States dollar. The Government is also asked to provide any statistical information requested in the report form under this Article of the Convention, point B, and to supply a copy of the scale of annual increases, as established by the executive authority, for existing or future pensions under the old system, in accordance with section 57 of Act No. 1732, as amended by Act No. 2197 of 9 May 2001.

Article 22. The Committee notes that, according to section 51 of the Regulations implementing the 1996 Pensions Act, the member must, in the case of a work accident, notify his employer either directly or through a third party and fill out an accident report form. This must be signed by the member or his representative and by the employer. It must then be sent to the AFP within ten days of the accident, and it would appear from section 51(3) of the Regulations that the invalidity and survivors’ pension payable in cases of work injury is refused if the AFP does not receive the form within the prescribed period. If the failure to present the form is due to the employer, the member or his representative can inform the Superintendence of Pensions within ten days of the accident, and this will result in benefits being paid. The Committee recalls that, according to Article 22, paragraph 1(f), payment of a benefit may be suspended if the person concerned fails to comply with rules prescribed for verifying the occurrence or continuance of the contingency. At the same time, the Committee considers that those rules should not be such as to make it difficult or impossible to recognize an entitlement to benefits. In this regard, the time limit of ten days under section 51 for notification of an accident appears to be very short, especially if the accident is a serious one or leads to the death of the worker. The Committee therefore hopes that the Government will re-examine the situation and indicate the measures taken or envisaged to ensure that failure to observe the period of ten days established by section 51 of the Regulations does not entail loss of entitlement to invalidity benefits, particularly in cases where the worker is unable to deal with the notification himself. The Committee also considers that where notification is not made because of the employer, the latter should be liable to sanctions and the worker’s pension entitlements should not be affected. In addition, the Committee requests the Government to indicate whether use is made of the other provisions of Article 22, paragraph 1. If that is the case, the Government is asked to indicate the applicable legislation.

Article 24, paragraph 1. The Committee has taken note of the Government’s statement to the effect that the protected persons do not participate in the management of the new system. Given that according to Article 24, paragraph 1, of the Convention, persons protected shall participate in the management of the scheme, the Committee trusts that the Government will wish to re-examine the question and indicate in its next report the measures taken or envisaged to give effect to this fundamental provision of the Convention.

Article 24, paragraph 2, and Article 25. The Committee has taken note of the information communicated by the Government referring in particular to the Superintendence of Pensions and the General Directorate of Pensions, which administers the old distribution-based pensions system. The Committee hopes that the Government’s next report will contain detailed information on the measures taken in this regard by these institutions, and also asks the Government to indicate whether the actuarial studies and calculations required concerning the financial balance of the new pensions system are carried out regularly, and to communicate the result of those studies and calculations.

Article 26, paragraph 2. The Committee requests the Government to supply with its next report statistics on the frequency and severity of industrial accidents in accordance with this provision of the Convention.

*  *  *

In addition, the Committee would like detailed information from the Government on the application in practice of sections 58, 81, 315 and 317 of the Regulations implementing the Pensions Act (No. 1732 of 1996), indicating in particular whether and how invalidity and survivors’ benefits payable in cases of occupational injury under the old distribution-based pensions system continue to be paid in full. The Committee trusts that the Government will take all the necessary measures to review these pensions in a manner that reflects changes in the cost of living and the general level of earnings, in accordance with Article 21 of the Convention.

[The Government is asked to reply in detail to the present comments in 2003.]

Observation (CEACR) - adopted 2002, published 91st ILC session (2003)

In its previous comments, the Committee examined the provisions of Act No. 1732 of 29 November 1996 and its implementing regulations (Supreme Decree No. 24469 of 1997) (hereinafter "the Regulations"). This legislation establishes a system based on individual funding through the insured person’s accumulated capital managed by private bodies (Administradoras de Pensiones- AFP), which replaces the former system of pensions based on a pay-as-you-go system and administered by a public body, the Bolivian Social Security Institute. The Committee also noted the observations made by the Bolivian Central of Workers (COB). In view of the fundamental changes introduced by the new system (Seguro Social Obligatorio de Largo Plazo), and in the absence of a report from the Government, the Committee had urged the Government to provide a detailed report permitting it to determine whether the new pensions system continued to give effect to the Convention.

In its report, the Government provides certain information on the contents of the new system for the management of pension funds and states that it has recently started to manage funds but has not yet granted benefits. It adds that the statistics contained in its report on the level of benefits relate to those paid by the former pensions system. The Committee notes this statement. However, it recalls that the new pensions system entered into force on 1 May 1997 and that it should normally have begun providing benefits in view of the qualifying periods established by Act No. 1732 of 1996 and its Regulations. Indeed, under this legislation, the persons covered by the legislation, or the breadwinner for dependants of the first rank, are entitled to invalidity and survivors’ benefit in the event of the contingency where they have, firstly, made 16 monthly contributions to the new pension system or the former pay-as-you-go system and, secondly, paid at least 18 monthly contributions over the past 36 months for common risks coverage (see sections 8, 9, 14 and 15 of the Act and section 2 of the Regulations). Special provisions also exist for persons who do not fulfil the above contribution requirement.

With regard more particularly to old-age benefit, the Committee also notes, from the information provided by the Government, that employees applying for benefits after 31 December 2001 are covered by the new pensions system. The Committee recalls that the Government ratified the Convention in 1977 and that as a consequence it is bound to give effect to its provisions in respect of all persons within its scope, irrespective of the nature of the various systems by which they may be covered during their occupational career. It therefore hopes that the next report will contain detailed information on the implementation in practice of the new pensions system and its relationship with the former system, and particularly on the following points.

1. Scope. In reply to the Committee’s comments concerning the scope of the new pensions system, the Government indicates that the relevant statistics are not yet available. In this respect, the Committee however notes that the Internet site of the Superintendence of Pensions, Shares and Insurance (SPVA) provides certain statistics relating to the number of persons registered with the new pensions system. The Committee therefore hopes that the Government’s next report will not fail to include all the statistical information requested by the report form under Articles 9, 16 and 22 of the Convention. In so far as the Government availed itself at the time of the ratification of the Convention of the temporary derogations set out in paragraph 2 of Articles 9, 16 and 22 of the Convention, the Government may wish to refer to questions 3D or E in the report form under these provisions of the Convention, which relate to the number of employees protected and not the number of beneficiaries of a pension.

2. Level of benefits. (a) Invalidity and survivors’ benefits (Articles 10 and 23 in relation to Article 26 of the Convention). In its report, the Government indicates that, to calculate the amount of the benefit, the national legislation does not take into account the requirements of Articles 26 or 27 of the Convention. In this respect, the Committee recalls that while States remain free to adopt their own rules and methods of calculation to determine the amount of benefits, this amount must however be determined in such a manner that it is at least equal to the amount prescribed by Articles 26, 27 or 28 of the Convention, in conjunction with the Schedule appended to Part V (Standards to be complied with by periodical payments). The methods of calculation envisaged by these provisions and the parameters that they use are established solely to permit comparison between national situations and the requirements of the Convention. In view of the fact that, in accordance with sections 8 and 9 of Act No. 1732 and section 41(c) of the Regulations, invalidity and survivors’ benefits are calculated in relation to the basic wage of the insured person, Article 26 is applicable to assess whether the level of invalidity and survivors’ benefit prescribed by the Convention has been attained. In view of the fact that, as authorized by paragraph 3 of Article 26, a ceiling has been set for the basic wage used for the calculation of the above benefits (60 times the national minimum wage in force in accordance with section 5 of the Act), the Committee trusts that the Government will not fail to provide all the statistical information requested in the report form under Article 26 of the Convention (Titles I, II and IV), and particularly the wage of a skilled manual male employee (selected according to paragraph 4 or 5 of Article 26) and the amount of the benefit provided to a standard beneficiary whose previous wages, or those of the family breadwinner, were equal to the wage of the skilled manual male employee.

Furthermore, the Committee notes, from the information provided by the Government, that family allowances were paid neither during employment nor during the contingency. The Government has not therefore to provide the information requested in this respect by the report form.

(b) Old-age benefit (Article 17 in relation to Articles 26 or 27 of the Convention). (i) The Committee recalls that, in accordance with section 7 of Act No. 1732 of 1996 on pensions, the amount of the old-age pension depends on the capital accumulated in the worker’s individual account. In addition, pursuant to section 17 of the Act and sections 18 and 19 of the Regulations, the pension may take two different forms according to the type of contract selected. Where the insured person chooses a life annuity contract, the amount of the pension will be determined and will correspond to at least 70 per cent of the minimum wage in force; where the insured person chooses a variable monthly annuity contract, the amount of the first pension payment will also correspond to at least 70 per cent of the minimum wage in force; subsequently, the amount of the pension will vary as a function of the mortality of the group of pensioners who have selected this pension system, as well as the return on the variable monthly annuity account. In order to be able to ascertain whether the amount of the old-age pension paid by virtue of the new Act on pensions attains at least to the minimum prescribed by the Convention (45 per cent of the reference wage when the insured person has completed 30 years of contribution or employment), the Committee would be grateful if the Government would provide all the statistical information requested in the report form under Article 26 of the Convention, Titles I and III, for each of the types of pension selected. In view of the fact that the new pensions scheme has not yet reached maturity, the Government may perhaps wish to take into consideration the rights acquired or in the course of acquisition under the former system.

(ii) In so far as a minimum old-age pension equal to 70 per cent of the minimum wage is guaranteed for all pensioners aged 65 years, irrespective of the type of pension selected, the Government may also wish to refer to Article 27 of the Convention and to provide the information requested in the report form under Titles I and III. Please also confirm that insured persons, who select a variable monthly annuity contract at the age of 65 years, benefit from a pension that is at least equal to 70 per cent of the minimum wage in force throughout the duration of its provision, and not only for the first pension payment.

3. Reduced old-age benefits (Article 18 in relation to Article 19 of the Convention). In reply to the Committee’s previous comments, the Government provides certain information on the possibility for persons covered by the former system to receive their benefits before the statutory pensionable age in return for a lower level of benefit. The Committee recalls in this respect that its comments concerned the new pensions system. Indeed, pursuant to section 13 of the Regulations, where the old-age pension resulting from the accumulated capital is lower than 70 per cent of the minimum wage in force, the insured person may withdraw from the account, from the age of 65 onwards, monthly amounts equivalent to 70 per cent of the said minimum wage until the capital accumulated in the account is exhausted. The Committee recalls that, in accordance with Article 18, paragraph 2(a), of the Convention, a reduced old-age benefit must be secured at least to a person protected who has completed, prior to the contingency, a qualifying period of 15 years of contribution or employment and that this reduced benefit must be granted throughout the contingency, in accordance with Article 19 of the Convention. The Committee therefore hopes that the Government will be able to indicate in its next report the measures which have been taken or are envisaged to ensure that effect is given to the Convention on this point in relation to the persons covered by the new pensions system introduced by Act No. 1732 of 1996.

4. Duration of benefits (Articles 12, 19 and 25). The Committee notes the information provided by the Government in reply to its previous comments. It requests the Government to confirm that the old-age, invalidity and survivors’ benefits paid under the new pension system are granted throughout the contingency, even where the capital accumulated in the worker’s individual account is exhausted. It also refers to point 3(b)(ii) above with regard to variable monthly annuity contracts.

5. Age of eligibility for an old-age pension (Article 15). In its report, the Government states that no draft amendments to the new Act on pensions are planned with regard to the age of eligibility for a pension, which is set at 65 years. The Committee notes this information. It recalls that under the previous legislation the pensionable age was fixed at 50 years for women and 55 years for men. It requests the Government to indicate, with the support of statistics, the demographic, economic and social criteria justifying the determination of the age of eligibility to a pension at 65 years since, in view of the observations made previously by the Bolivian Central of Workers (COB), the average life expectancy is well below this age (61.86 years for men and 67.1 for women according to the World Factbook 2002; moreover, according to the same source, persons aged 65 years and over only represent 4.5 per cent of the population).

Furthermore, the Committee once again draws the Government’s attention to the fact that, in accordance with Article 15, paragraph 3, of the Convention, the age for entitlement to a pension shall be less than 65 years in respect of persons who have been engaged in occupations that are deemed to be arduous or unhealthy. It trusts that the Government will be able to indicate in its next report the measures which have been taken or are envisaged to give full effect to this provision of the Convention.

6. Revision of benefits (Article 29). In reply to the Committee’s comments, the Government states that the only procedure for adjustment to which recourse is made consists of the adjustment of the national minimum wage and that the latter does not take into account the devaluation of the national currency in relation to the United States dollar, but is based on the price indices of a household basket, which are much lower. It adds that pensions have not been increased taking into account these parameters. The Committee is bound to recall that, in accordance with Article 29 of the Convention, the rates of invalidity, old-age and survivors’ pensions shall be reviewed periodically following substantial changes in the general level of earnings or substantial changes in the cost of living. The Committee hopes that the Government will be able to re-examine the matter and that it will indicate in its next report the measures taken to give full effect to this provision of the Convention with regard to the pensions paid under both the former system and the new system. In this respect, it recalls that sections 2, 4 and 320 of the Regulations provide for a procedure for the adjustment of current pensions and pensions in the course of acquisition based on the devaluation of the national currency in relation to the United States dollar. Please also provide all the statistical data requested by the report form under this Article of the Convention with regard to current pensions. Please also provide copies of the scale determined with a view to the annual increase in the periodical payments acquired or in the course of acquisition under the former pensions system, as determined by the executive authority in accordance with section 57 of Act No. 1732, as amended by Act No. 2197 of 9 May 2001.

7. Maintenance of rights in course of acquisition (Article 30). In reply to the Committee’s comments concerning the maintenance of rights in course of acquisition of persons insured under the former pay-as-you-go system, the Government provides the following information. All insured persons who apply for their entitlement up to 31 December 2001 and fulfil the age conditions and the qualifying period set out in the former legislation can claim the benefits envisaged by the former pensions system. Under section 27 of the Benefit Manual, insured persons who have reached the age of 55 years for men and 50 years for women, and who have paid fewer than 180 but more than 24 monthly contributions, are also entitled to such benefits as a lump sum payment (pago global), although six of the contributions must have been paid during the 12 months prior to attaining the age of eligibility for the pension. Furthermore, under section 1 of administrative resolution No. 012/97, insured persons who have not attained the age of eligibility for the pension set out by the former legislation, but who have paid at least 180 monthly contributions, can receive the benefits envisaged by the former system with a reduction of 8 per cent in their periodical payments for each missing year, provided that they have reached the age of 50 for men and 45 for women.

The Government also refers to section 322 of the Regulations, under which persons who have not been able to take their retirement under the pay-as-you-go pensions system and who had paid at least 60 monthly contributions before 1 May 1997 are entitled to compensation for their contributions in the form of an annuity paid by an AFP. Insured persons who had paid fewer than 60 contributions as of 1 May 1997 are entitled to a lump sum payment provided to them directly by the General Directorate of Pensions.

The Committee notes this information. It recalls that the persons covered by the Convention must receive benefits in accordance with its provisions, irrespective of the fact that they may have been covered during their occupational careers by various pensions schemes, and irrespective of the concepts and principles upon which the latter are based. It therefore hopes that the Government will be able to re-examine the matter and indicate the measures, which have been taken or are envisaged, to ensure that better effect is given to the provisions respecting the maintenance of rights in course of acquisition, particularly with regard to the considerable number of persons who, according to the information provided by the Government, have not accepted the actuarial reduction of 8 per cent in their periodical payments. Noting that this matter is currently the subject of negotiation, the Committee requests the Government to provide detailed information on the measures, which have been adopted or are envisaged in this respect.

The Committee also requests the Government to indicate whether the various compensation measures for the contributions paid take into account not only the contributions paid by insured persons, but also those paid by employers and by the State.

Furthermore, the Committee recalls that, in accordance with the information provided by the Government, section 27 of the Benefit Manual provides for a lump sum payment (pago global) for persons insured under the former pensions system who have attained the age of eligibility for a pension and who have paid fewer than 180 contributions but more than 24. However, it notes that section 322(a) of the Regulations provides for monthly compensation for contributions in the case of insured persons who have paid at least 60 contributions under the former system. It would be grateful if the Government would provide detailed information on the application in practice of section 27 of the Manual with regard to insured persons who have paid at least 60 contributions.

The Committee would, in addition, be grateful if the Government would provide copies of administrative resolutions Nos. 012/1997 and 001/1998, and of the Benefit Manual referred to by the Government in its report.

8. General responsibility for the provision of benefits and the proper administration of the system (Article 35). The Government indicates that it takes responsibility for the provision of benefits through the Pensions Superintendence and the General Directorate of Pensions, which administers the old distribution-based pensions system. The Committee hopes that the Government’s next report will contain detailed information on the measures taken in this respect by the above institutions. It also requests the Government to indicate whether the necessary actuarial studies and calculations concerning the financial equilibrium of the new pensions system are made periodically and to provide the results of these studies and calculations.

9. Participation in the administration of schemes (Article 36). The Committee notes the Government’s statement that the persons responsible for the management of the new pensions system do not accept interference by the persons protected. In view of the fact that Article 36 of the Convention provides that representatives of the persons protected shall participate in the management of the schemes, the Committee trusts that the Government will re-examine the matter and that it will indicate in its next report the measures which have been taken or are envisaged to give effect to this essential provision of the Convention.

*  *  *

The Committee would be grateful if the Government would provide copies of the various types of contracts concluded between insured persons and the AFPs or insurance companies, whether they are life annuity contracts or variable monthly annuity contracts. Please also indicate the manner in which the mortality tables of the groups of pensioners who have selected variable monthly annuity contracts are established, with an indication of whether the rates differ for men and women.

The Committee also requests the Government to indicate whether the Manual providing for standards of evaluation and qualification of the degree of invalidity mentioned in section 24 of the Regulations has been adopted and, if so, to provide a copy of it.

Finally, the Committee hopes that the Government will indicate, for each of the contingencies contemplated in the Convention, the number, nature and amount of the pensions granted under the new system of administration of pension funds.

[The Government is asked to reply in detail to the present comments in 2003.]

Observation (CEACR) - adopted 2002, published 91st ILC session (2003)

The Committee notes with regret that the Government’s report has not been received. It must therefore repeat its previous observation which read as follows:

In reply to the comments that the Committee has been making for a number of years, the Government cites section 10 of the new Act on Pensions No. 1732 of 1996, covering benefits for invalidity as a result of occupational accidents, stating that all provisions contrary to this Act have been repealed. The Committee draws the Government’s attention to the fact that benefits for employment injury and occupational diseases are considered under the Employment Injury Benefits Convention, 1964 (No. 121), and that the matters raised by the Committee in connection with Convention No. 130 relate solely to medical treatment and medical benefits of ordinary origin. In this regard, the Committee requests the Government to confirm that the legal provisions applicable to these branches of social security to which it referred in its previous reports (Legislative Decree No. 10173 of 1972, No. 13214 of 1975 and No. 14643 of 1977) are still in force. In addition, it trusts once again that the Government’s next report will contain detailed information on the following matters raised in the Committee’s previous comments.

1. Part II (Medical care), Article 16, paragraph 1, of the Convention. The Committee once again requests the Government to adopt the necessary measures to ensure that medical care is provided throughout the contingency, in accordance with this provision of the Convention.

Article 16, paragraph 3. The Committee recalls that, under section 23 of Legislative Decree No. 13214 of 1975, in the event of sickness certified by the responsible physician before the insured person is given sick leave, entitlement to the corresponding medical care for this sickness shall not be interrupted and may continue up to the legal limit of 26 weeks, or less if the medical treatment is terminated. The Committee trusts that the Government will indicate in its next report the measures that have been adopted to extend, in the case of beneficiaries who lose their status as insured persons, the duration of medical care for prescribed diseases recognized as entailing prolonged care, as required by this provision of the Convention.

2. Part III (Sickness benefit), Article 21, in conjunction with Article 22. The Committee once again draws the Government’s attention to the fact that, in accordance with Articles 21 to 23, the rate of the sickness benefit shall be such as to attain a minimum level (60 per cent) for a standard beneficiary (a man with a wife and two children). Articles 22 to 24 offer the Government various formulae that can be adapted to national practice for the determination of this minimum level. The formula envisaged in Article 22 is intended to take into account systems of protection which, as is the case of the Bolivian social security system, provide benefits calculated on the basis of the beneficiary’s former earnings. The Committee recalls in this respect that, in view of the fact that Legislative Decree No. 13214 of 1975, and section 81 of the Social Security Code, as amended, envisage a maximum amount for the rate of benefit and for the earnings taken into account for its calculation, the percentage of 60 per cent provided for in the Convention must be calculated with reference to a standard beneficiary whose earnings are equal to the wage of a skilled manual male employee (Article 22, paragraph 3). The information requested under the terms of Article 22 of the Convention and, in particular, relating to the wage of a skilled manual male employee, is merely intended to permit comparison of the rate of benefit paid under the national legislation with the minimum rate established by the Convention. In these conditions, the Committee once again hopes that the Government will be able to take the necessary measures to provide the information required in the report form adopted by the Governing Body on Convention No. 130, and particularly the information on the wage of a skilled manual male employee, determined in accordance with paragraph 6 or 7 of Article 22, the amount of the sickness benefit paid to such a skilled worker, and the maximum level of wages subject to contributions.

3. Article 26, paragraph 1. The Government states in its report that sickness insurance benefit is provided for 52 weeks and, for chronic illnesses, this period may be extended by the Ministry of Health. With regard to cash benefit, the subsidy for temporary incapacity is provided for 52 weeks at a rate that is equivalent to 75 per cent of the wage that is subject to contributions. The Committee once again emphasizes that section 30 of Legislative Decree No. 13214, of 1975, establishes that the common sickness subsidy commences from the fourth day of incapacity, with a maximum duration of 26 weeks, which can be extended for another 26 weeks if by doing so it is possible to avoid the status of invalidity. The Committee recalls that this requirement is not authorized by Article 26 of the Convention, which provides that sickness benefit shall be granted throughout the contingency, provided that the grant of benefit may be limited to not less than 52 weeks in each case of incapacity. In these conditions, the Committee once again reminds the Government of the need to harmonize the provisions of the legislation that is in force with those of the Convention.

4. In previous comments, the Committee had referred to the possibility of having recourse to the technical assistance of the Office to resolve difficulties arising out of the application of the Convention. In addition, the Government had referred to a structural reform of social security in Bolivia. As so many years have passed since these matters were first raised concerning the application of the Convention, the Committee trusts that the Government will provide a detailed report in which it will take fully into account the matters that have been raised in order to give full effect to the Convention and that it will not hesitate to have recourse to the technical assistance that can be provided by the Office to assist its efforts to apply the Convention.

The Committee hopes that the Government will make every effort to take the necessary action in the very near future.

Observation (CEACR) - adopted 2002, published 91st ILC session (2003)

The Committee regrets to note that for the fourth consecutive year the Government’s report has not been received. It must therefore repeat its previous observation and thus express its deep concern that, since the adoption of the Supreme Decree No. 22-578 of 13 August 1990, the Bolivian social security system no longer provides for the payment of family benefit as prescribed by Article 42, Part VII (Family benefit), of the Convention. It would like to remind once again that in ratifying Convention No. 102 and freely accepting its obligations in respect of Part VII, the Government assumed a legally binding international obligation to guarantee in its national law and practice the provision of the family benefit to the persons protected. In the light of the above, the Committee strongly hopes that the Government will not fail to adopt in the near future the necessary measures to re-establish a family benefit scheme conforming to the provisions of the Convention.

The Committee also refers to its observation on Convention No. 128.

Observation (CEACR) - adopted 2001, published 90th ILC session (2002)

The Committee regrets to note that for the third consecutive year the Government’s report has not been received. It must therefore repeat its previous observation which read as follows:

The Committee notes the Government’s report received in June 1998. It notes with regret that the Government has provided no element of reply to the Committee’s previous observation.

In this situation, the Committee wishes to express its deep concern that, since the adoption of the Supreme Decree No. 22-578 of 13 August 1990, the Bolivian social security system no longer provides for the payment of family benefit as prescribed by Article 42, Part VII (Family benefit), of the Convention. It would like to remind once again that in ratifying Convention No. 102 and freely accepting its obligations in respect of Part VII, the Government placed itself under a legally binding international obligation to guarantee in its national law and practice the provision of the family benefit to the persons protected. In the light of the above, the Committee strongly hopes that the Government will not fail to adopt in the near future the necessary measures to re-establish a family benefit scheme conforming to the provisions of the Convention.

The Committee is further concerned with the fact that the Government does not reply to the communication from the World Federation of Trade Unions, a copy of which was sent to it in August 1997 and which called for a factual analysis of the application of Convention No. 102 by the Government of Bolivia in the light of the new Law on Pensions, No. 1732 of 1996. In this respect the Committee notes the further communication of 14 June 1999, transmitted to the Government the same month, by the Central Obrera Boliviana (COB) alleging violation of the basic principles of social security established by Conventions Nos. 102 and 128. The Committee takes up these questions in detail in its comments under the latter Convention and would like the Government to refer to them. It trusts that the Government’s next report will contain detailed information on the applicable branches of Convention No. 102 in the light of the social security legislation currently in force in Bolivia, as well as a detailed reply to the observations made in this respect by the abovementioned trade union organizations.

The Committee hopes that the Government will make every effort to take the necessary action in the very near future.

Observation (CEACR) - adopted 2001, published 90th ILC session (2002)

The Committee notes that the Government’s report has not been received. It must therefore repeat its previous observation which read as follows:

In its previous comments, the Committee had expressed its hope that the Government would be able to supply detailed information not only in respect of the effects of the employment injuries provisions of the new Pensions Act No. 1732 of 29 November 1996 and its Regulation (Supreme Decree No. 24469 of 1997), but also on the legal provisions or regulations which ensure the application of the provisions of the Convention with respect, in particular, to medical care (Article 12 of the Convention) and temporary incapacity (Article 13). The Committee notes that neither the Government’s report nor the attached legislation do contain this information. Therefore, the Committee cannot but reiterate its request for a detailed report on the implementation of the new legislation with regard to employment injuries’ long-term benefits and of the current legislation on medical care and short-term benefits in the light of the pertinent provisions of the Convention, including statistical data on the scope of application and the level of benefits as required by the report form approved by the Governing Body.

In addition, after having examined the provisions of the Pension Act No. 1732 and the Supreme Decree No. 24469, the Committee wishes to draw, in particular, the Government’s attention to the following provisions of the Convention.

  Article 9(3). The Committee recalls that under this provision of the Convention benefit shall be paid throughout the contingency. It would like the Government to indicate how this provision has been implemented by the new legislation.

  Article 16. The Committee recalls that Article 16 of the Convention provides for the payment of increments in periodical payments or other supplementary or special benefits for disabled persons requiring the constant help or attendance of another person. It would appreciate receiving additional information on how this provision of the Convention has been implemented by the new legislation.

  Article 21. The Committee recalls that invalidity and survivors’ benefits currently payable must be reviewed periodically following substantial changes in the general level of earnings or substantial changes in the cost of living. The Committee would therefore like the Government to indicate how effect is given to this provision of the Convention.

  Article 24. The Committee recalls that Article 24 of the Convention provides that representatives of persons protected shall participate in the administration of a pension system. It would like the Government to indicate how effect has been given to this provision of the Convention.

  Article 27. As articles 1, 3 and 5 of the Pensions Act refer to Bolivian citizens only, the Committee would like the Government to confirm that, according to article 109 of the Supreme Decree, all employees working in Bolivia are covered by compulsory insurance in the employment injury scheme regardless of their nationality.

The Committee hopes that the Government will make every effort to take the necessary action in the very near future.

Observation (CEACR) - adopted 2001, published 90th ILC session (2002)

The Committee notes that the Government’s report has not been received. It must therefore repeat its previous observation which read as follows:

The Committee has studied the provisions of Act No. 1732 of 29 November 1996 concerning pensions and its regulation (Supreme Decree No. 24469 of 1997) which replaces the old pension system based on share-out and administered by the Bolivian Institute of Social Security, a public body, with a completely new system based on individual capitalization of the insured person’s assets and managed by private bodies ("Administradoras de Pensiones" (AFP)). The Committee has also noted the information supplied by the Government in its report along with the comments made by the Bolivian Central of Workers (COB).

In view of the fundamental changes introduced by the new legislation, the Committee emphasized in its previous comments that the Government should report in detail allowing it to assess whether the new pension system continued to ensure application of the Convention. In this regard, the Committee notes with regret that, first, the Government’s report is limited to a brief description of the major provisions of the Act and that, secondly, the reply it contains to the new comments made by the Bolivian Central of Workers concerning the sale of the property belonging to the old supplementary schemes consists solely of a reference to the provisions of the Act and the responsibility of the Ministry of Finance ("Ministerio de Hacienda"). In these circumstances, the Committee is bound to reiterate the hope that the Government will not fail to supply a detailed report on the implementation of the reform in the light of each Article of the Convention, containing all the statistical information required by the report form. The Committee also wishes to draw the Government’s attention to the following specific points:

1. Scope. The new system covers compulsorily persons who are in a dependent employment relationship while others may be affiliated on a voluntarily basis (sections 5 and 24 of Act No. 1732 and section 109 of the Decree). In order to ascertain better in practice the extent of cover of the new pensions regime in relation to the provisions of Articles 9, 16 and 22 of the Convention, the Committee would appreciate the Government providing with its next report all the statistical information required by the report form under these Articles of the Convention.

2. Level of benefits. (a) Invalidity and survivors’ benefits (sections 10 and 23 in relation to Article 26 of the Convention). According to sections 8 and 9 of the Act and section 41(c) of the Decree, the invalidity and survivors’ benefits (paid to a widow with two children) may not be less then 70 per cent of the insured person’s basic salary. Given that a maximum is prescribed for the basic salary serving for calculation of the abovementioned benefits (60 times the minimum national wage in force, according to section 5 of the Act), the Committee trusts that the Government will not fail to supply all the statistical information required by the report form under Article 26 of the Convention (Titles I, II and IV).

(b) Old-age benefits (Article 17 in relation to Article 26). The Committee notes that, according to section 7 of the Act, the amount of the pension depends on the capital accumulated in the worker’s individual account. In addition, pursuant to section 17 of the Act and sections 18 and 19 of the Decree, the pension may take two different forms according to the type of contract selected. If the affiliated person chooses a life annuity contract, the amount of the pension will be fixed and will correspond to at least 70 per cent of the minimum wage in force; if the affiliated person chooses a variable monthly annuity contract, the amount of the first pension payment will also correspond to at least 70 per cent of the minimum wage in force; subsequently, the amount of the pension will vary as a function of the mortality of the group of pensioners who have selected this pension system as well as the return on the variable monthly annuity account. In order to ascertain whether the amount of the old-age pension paid by virtue of the new Act on pensions amounts at least to the minimum prescribed by the Convention (45 per cent of the reference salary when the affiliated person has completed 30 years of subscriptions or employment), the Committee would be grateful if the Government would supply all the statistical information requested by the report form on Article 26 of the Convention, Titles I and III.

3. Reduced old-age benefits (Article 18 in relation to Article 19). According to section 13 of the Decree, if the old-age pension resulting from the accumulated capital is lower than 70 per cent of the minimum salary in force, the affiliated person may withdraw from his account, from the age of 65 onwards, monthly amounts equivalent to 70 per cent of the said minimum salary until the capital accumulated in his account is exhausted. The Committee wishes to draw the Government’s attention to the fact that in application of Article 18, paragraph 2(a), of the Convention reduced old-age benefits must be guaranteed at least to a person protected who has completed, prior to the contingency, a qualifying period of 15 years of contribution or employment and that this reduced benefit must be provided throughout the contingency in accordance with Article 19 of the Convention. The Committee would be grateful if the Government would supply detailed information on how effect is given to the Convention on this point.

4. Duration of benefits (Articles 12, 19 and 25). The Committee would be grateful if the Government would supply detailed information on how effect is given to these provisions of the Convention which stipulate that benefits must be granted throughout the contingency (or, for invalidity benefits, until an old-age benefit becomes payable), whatever the type of pension chosen (life annuity contract or variable monthly annuity contract). Please indicate in particular whether, whatever the type of pension chosen, the invalidity, old-age and survivors’ benefits at the level prescribed by the Convention are guaranteed for a standard beneficiary throughout the contingency (or, for invalidity benefits, until an old-age benefit becomes payable). More particularly, on variable monthly annuity contracts, the Committee would be grateful if the Government would supply detailed information on the impact in regard to Articles 19 and 25 of the Convention of section 19 of the Decree under which the amount of the variable monthly annuity will depend on the mortality of the group of pensioners having selected this method as well as on the profitability of the variable monthly annuity account.

5. Age of eligibility for a pension (Article 15). The Committee notes that, according to section 7 of the Act on pensions, the age of entitlement to old-age benefits is 65 years, unless the capital accumulated by the insured person in his individual account before that age is sufficient to allow payment of a pension equal to at least 70 per cent of the basic salary. The Committee recalls that, under the former share-out system, the age of entitlement to a pension was 55 years for men and 50 for women. The Committee wishes to draw the Government’s attention to the fact that in application of Article 15, paragraph 3, of the Convention, the age for entitlement to a pension shall be less than 65 years in respect of persons who have been engaged in occupations that are deemed to be arduous or unhealthy. The Committee also recalls in this respect the comments of the COB which emphasizes that average life expectation in Bolivia is less than 65 years. The Committee would therefore be grateful if the Government would indicate in its next report the measures taken or envisaged to respond to this concern in the light of Article 15, paragraph 3, of the Convention.

6. Revision of benefits (Article 29). The Committee recalls that, under Article 29 of the Convention, the amount of invalidity, old-age and survivors’ pensions shall be reviewed periodically following substantial changes in the general level of earnings or substantial changes in the cost of living. The Committee notes in this regard that sections 2, 4 and 320 of the Decree provide an adjustment procedure for pensions being drawn and in course of acquisition, based on the devaluation of the national currency in comparison with the United States dollar. The Committee would be grateful if the Government would provide detailed information on the application in practice of these provisions of national legislation. Please also provide all the statistical information required by the report form under this Article of the Convention in regard to pensions currently being drawn.

7. Maintenance of rights in course of acquisition (Article 30). Referring to the comments of the COB, the Committee would be grateful if the Government would supply detailed information on the application in practice of the provisions of the new legislation on pensions in regard to maintenance of rights in course of acquisition for persons affiliated to the old share-out system who, at the moment of entry into force of the new pensions scheme, had not yet reached the age of 55 years for men and 50 for women.

8. General responsibility for the due provision of the benefits provided and for the proper administration of the system (Article 35). Referring to the comments of the COB, the Committee would be grateful if the Government would supply with its next report detailed information on how effect is given in practice to Article 35 of the Convention.

The Committee would also be grateful if the Government would indicate how payment is ensured for invalidity, old-age and survivors’ pensions due under the old pension system based on share-out as well as revision of these pensions to take inflation into account.

9. Participation of representatives of the persons protected in the management of the new pensions system (Article 36). The Committee recalls its previous comments regarding Article 36 of the Convention which provides that representatives of the persons protected shall participate in the management of the system. It trusts that the Government will not fail to indicate in its next report how effect is given to this provision of the Convention.

The Committee hopes that the Government will make every effort to take the necessary action in the very near future.

Observation (CEACR) - adopted 2001, published 90th ILC session (2002)

The Committee notes with regret that the Government’s report has not been received. It must therefore repeat its previous observation which read as follows:

In reply to the comments that the Committee has been making for a number of years, the Government cites section 10 of the new Act on Pensions No. 1732 of 1996, covering benefits for invalidity as a result of occupational accidents, stating that all provisions contrary to this Act have been repealed. The Committee draws the Government’s attention to the fact that benefits for employment injury and occupational diseases are considered under the Employment Injury Benefits Convention, 1964 (No. 121), and that the matters raised by the Committee in connection with Convention No. 130 relate solely to medical treatment and medical benefits of ordinary origin. In this regard, the Committee requests the Government to confirm that the legal provisions applicable to these branches of social security to which it referred in its previous reports (Legislative Decree No. 10173 of 1972, No. 13214 of 1975 and No. 14643 of 1977) are still in force. In addition, it trusts once again that the Government’s next report will contain detailed information on the following matters raised in the Committee’s previous comments.

1. Part II (Medical care), Article 16, paragraph 1, of the Convention. The Committee once again requests the Government to adopt the necessary measures to ensure that medical care is provided throughout the contingency, in accordance with this provision of the Convention.

Article 16, paragraph 3. The Committee recalls that, under section 23 of Legislative Decree No. 13214 of 1975, in the event of sickness certified by the responsible physician before the insured person is given sick leave, entitlement to the corresponding medical care for this sickness shall not be interrupted and may continue up to the legal limit of 26 weeks, or less if the medical treatment is terminated. The Committee trusts that the Government will indicate in its next report the measures that have been adopted to extend, in the case of beneficiaries who lose their status as insured persons, the duration of medical care for prescribed diseases recognized as entailing prolonged care, as required by this provision of the Convention.

2. Part III (Sickness benefit), Article 21, in conjunction with Article 22. The Committee once again draws the Government’s attention to the fact that, in accordance with Articles 21 to 23, the rate of the sickness benefit shall be such as to attain a minimum level (60 per cent) for a standard beneficiary (a man with a wife and two children). Articles 22 to 24 offer the Government various formulae that can be adapted to national practice for the determination of this minimum level. The formula envisaged in Article 22 is intended to take into account systems of protection which, as is the case of the Bolivian social security system, provide benefits calculated on the basis of the beneficiary’s former earnings. The Committee recalls in this respect that, in view of the fact that Legislative Decree No. 13214 of 1975, and section 81 of the Social Security Code, as amended, envisage a maximum amount for the rate of benefit and for the earnings taken into account for its calculation, the percentage of 60 per cent provided for in the Convention must be calculated with reference to a standard beneficiary whose earnings are equal to the wage of a skilled manual male employee (Article 22, paragraph 3). The information requested under the terms of Article 22 of the Convention and, in particular, relating to the wage of a skilled manual male employee, is merely intended to permit comparison of the rate of benefit paid under the national legislation with the minimum rate established by the Convention. In these conditions, the Committee once again hopes that the Government will be able to take the necessary measures to provide the information required in the report form adopted by the Governing Body on Convention No. 130, and particularly the information on the wage of a skilled manual male employee, determined in accordance with paragraph 6 or 7 of Article 22, the amount of the sickness benefit paid to such a skilled worker, and the maximum level of wages subject to contributions.

3. Article 26, paragraph 1. The Government states in its report that sickness insurance benefit is provided for 52 weeks and, for chronic illnesses, this period may be extended by the Ministry of Health. With regard to cash benefit, the subsidy for temporary incapacity is provided for 52 weeks at a rate that is equivalent to 75 per cent of the wage that is subject to contributions. The Committee once again emphasizes that section 30 of Legislative Decree No. 13214, of 1975, establishes that the common sickness subsidy commences from the fourth day of incapacity, with a maximum duration of 26 weeks, which can be extended for another 26 weeks if by doing so it is possible to avoid the status of invalidity. The Committee recalls that this requirement is not authorized by Article 26 of the Convention, which provides that sickness benefit shall be granted throughout the contingency, provided that the grant of benefit may be limited to not less than 52 weeks in each case of incapacity. In these conditions, the Committee once again reminds the Government of the need to harmonize the provisions of the legislation that is in force with those of the Convention.

4. In previous comments, the Committee had referred to the possibility of having recourse to the technical assistance of the Office to resolve difficulties arising out of the application of the Convention. In addition, the Government had referred to a structural reform of social security in Bolivia. As so many years have passed since these matters were first raised concerning the application of the Convention, the Committee trusts that the Government will provide a detailed report in which it will take fully into account the matters that have been raised in order to give full effect to the Convention and that it will not hesitate to have recourse to the technical assistance that can be provided by the Office to assist its efforts to apply the Convention.

The Committee hopes that the Government will make every effort to take the necessary action in the very near future.

Observation (CEACR) - adopted 2000, published 89th ILC session (2001)

The Committee notes that the Government’s report has not been received. It must therefore repeat its previous observation which reads as follows:

The Committee notes the Government’s report received in June 1998. It notes with regret that the Government has provided no element of reply to the Committee’s previous observation.

In this situation, the Committee wishes to express its deep concern that, since the adoption of the Supreme Decree No. 22-578 of 13 August 1990, the Bolivian social security system no longer provides for the payment of family benefit as prescribed by Article 42, Part VII (Family benefit), of the Convention. It would like to remind once again that in ratifying Convention No. 102 and freely accepting its obligations in respect of Part VII, the Government placed itself under a legally binding international obligation to guarantee in its national law and practice the provision of the family benefit to the persons protected. In the light of the above, the Committee strongly hopes that the Government will not fail to adopt in the near future the necessary measures to re-establish a family benefit scheme conforming to the provisions of the Convention.

The Committee is further concerned with the fact that the Government does not reply to the communication from the World Federation of Trade Unions, a copy of which was sent to it in August 1997 and which called for a factual analysis of the application of Convention No. 102 by the Government of Bolivia in the light of the new Law on Pensions, No. 1732 of 1996. In this respect the Committee notes the further communication of 14 June 1999, transmitted to the Government the same month, by the Central Obrera Boliviana (COB) alleging violation of the basic principles of social security established by Conventions Nos. 102 and 128. The Committee takes up these questions in detail in its comments under the latter Convention and would like the Government to refer to them. It trusts that the Government’s next report will contain detailed information on the applicable branches of Convention No. 102 in the light of the social security legislation currently in force in Bolivia, as well as a detailed reply to the observations made in this respect by the abovementioned trade union organizations.

The Committee hopes that the Government will make every effort to take the necessary action in the very near future.

Observation (CEACR) - adopted 2000, published 89th ILC session (2001)

In its previous comments, the Committee had expressed its hope that the Government would be able to supply detailed information not only in respect of the effects of the employment injuries provisions of the new Pensions Act No. 1732 of 29 November 1996 and its Regulation (Supreme Decree No. 24469 of 1997), but also on the legal provisions or regulations which ensure the application of the provisions of the Convention with respect, in particular, to medical care (Article 12 of the Convention) and temporary incapacity (Article 13). The Committee notes that neither the Government’s report nor the attached legislation do contain this information. Therefore, the Committee cannot but reiterate its request for a detailed report on the implementation of the new legislation with regard to employment injuries’ long-term benefits and of the current legislation on medical care and short-term benefits in the light of the pertinent provisions of the Convention, including statistical data on the scope of application and the level of benefits as required by the report form approved by the Governing Body.

In addition, after having examined the provisions of the Pension Act No. 1732 and the Supreme Decree No. 24469, the Committee wishes to draw, in particular, the Government’s attention to the following provisions of the Convention.

Article 9(3).  The Committee recalls that under this provision of the Convention benefit shall be paid throughout the contingency. It would like the Government to indicate how this provision has been implemented by the new legislation.

Article 16.  The Committee recalls that Article 16 of the Convention provides for the payment of increments in periodical payments or other supplementary or special benefits for disabled persons requiring the constant help or attendance of another person. It would appreciate receiving additional information on how this provision of the Convention has been implemented by the new legislation.

Article 21.  The Committee recalls that invalidity and survivors’ benefits currently payable must be reviewed periodically following substantial changes in the general level of earnings or substantial changes in the cost of living. The Committee would therefore like the Government to indicate how effect is given to this provision of the Convention.

Article 24.  The Committee recalls that Article 24 of the Convention provides that representatives of persons protected shall participate in the administration of a pension system. It would like the Government to indicate how effect has been given to this provision of the Convention.

Article 27.  As articles 1, 3 and 5 of the Pensions Act refer to Bolivian citizens only, the Committee would like the Government to confirm that, according to article 109 of the Supreme Decree, all employees working in Bolivia are covered by compulsory insurance in the employment injury scheme regardless of their nationality.

[The Government is asked to report in detail in 2001.]

Observation (CEACR) - adopted 2000, published 89th ILC session (2001)

The Committee has studied the provisions of Act No. 1732 of 29 November 1996 concerning pensions and its regulation (Supreme Decree No. 24469 of 1997) which replaces the old pension system based on share-out and administered by the Bolivian Institute of Social Security, a public body, with a completely new system based on individual capitalization of the insured person’s assets and managed by private bodies ("Administradoras de Pensiones" (AFP)). The Committee has also noted the information supplied by the Government in its report along with the comments made by the Bolivian Central of Workers (COB).

In view of the fundamental changes introduced by the new legislation, the Committee emphasized in its previous comments that the Government should report in detail allowing it to assess whether the new pension system continued to ensure application of the Convention. In this regard, the Committee notes with regret that, first, the Government’s report is limited to a brief description of the major provisions of the Act and that, secondly, the reply it contains to the new comments made by the Bolivian Central of Workers concerning the sale of the property belonging to the old supplementary schemes consists solely of a reference to the provisions of the Act and the responsibility of the Ministry of Finance ("Ministerio de Hacienda"). In these circumstances, the Committee is bound to reiterate the hope that the Government will not fail to supply a detailed report on the implementation of the reform in the light of each Article of the Convention, containing all the statistical information required by the report form. The Committee also wishes to draw the Government’s attention to the following specific points:

1.  Scope.  The new system covers compulsorily persons who are in a dependent employment relationship while others may be affiliated on a voluntarily basis (sections 5 and 24 of Act No. 1732 and section 109 of the Decree). In order to ascertain better in practice the extent of cover of the new pensions regime in relation to the provisions of Articles 9, 16 and 22 of the Convention, the Committee would appreciate the Government providing with its next report all the statistical information required by the report form under these Articles of the Convention.

2.  Level of benefits:  (a)  Invalidity and survivors’ benefits (sections 10 and 23 in relation to Article 26 of the Convention).  According to sections 8 and 9 of the Act and section 41(c) of the Decree, the invalidity and survivors’ benefits (paid to a widow with two children) may not be less then 70 per cent of the insured person’s basic salary. Given that a maximum is prescribed for the basic salary serving for calculation of the abovementioned benefits (60 times the minimum national wage in force, according to section 5 of the Act), the Committee trusts that the Government will not fail to supply all the statistical information required by the report form under Article 26 of the Convention (Titles I, II and IV).

(b)  Old-age benefits (section 17 in relation to Article 26 of the Convention).  The Committee notes that, according to section 7 of the Act, the amount of the pension depends on the capital accumulated in the worker’s individual account. In addition, pursuant to section 17 of the Act and sections 18 and 19 of the Decree, the pension may take two different forms according to the type of contract selected. If the affiliated person chooses a life annuity contract, the amount of the pension will be fixed and will correspond to at least 70 per cent of the minimum wage in force; if the affiliated person chooses a variable monthly annuity contract, the amount of the first pension payment will also correspond to at least 70 per cent of the minimum wage in force; subsequently, the amount of the pension will vary as a function of the mortality of the group of pensioners who have selected this pension system as well as the return on the variable monthly annuity account. In order to ascertain whether the amount of the old-age pension paid by virtue of the new Act on pensions amounts at least to the minimum prescribed by the Convention (45 per cent of the reference salary when the affiliated person has completed 30 years of subscriptions or employment), the Committee would be grateful if the Government would supply all the statistical information requested by the report form on Article 26 of the Convention, Titles I and III.

3.  Reduced old-age benefits (section 18 in relation to Article 19 of the Convention).  According to section 13 of the Decree, if the old-age pension resulting from the accumulated capital is lower than 70 per cent of the minimum salary in force, the affiliated person may withdraw from his account, from the age of 65 onwards, monthly amounts equivalent to 70 per cent of the said minimum salary until the capital accumulated in his account is exhausted. The Committee wishes to draw the Government’s attention to the fact that in application of Article 18, paragraph 2(a), of the Convention reduced old-age benefits must be guaranteed at least to a person protected who has completed, prior to the contingency, a qualifying period of 15 years of contribution or employment and that this reduced benefit must be provided throughout the contingency in accordance with Article 19 of the Convention. The Committee would be grateful if the Government would supply detailed information on how effect is given to the Convention on this point.

4.  Duration of benefits (Articles 12, 19 and 25).  The Committee would be grateful if the Government would supply detailed information on how effect is given to these provisions of the Convention which stipulate that benefits must be granted throughout the contingency (or, for invalidity benefits, until an old-age benefit becomes payable), whatever the type of pension chosen (life annuity contract or variable monthly annuity contract). Please indicate in particular whether, whatever the type of pension chosen, the invalidity, old-age and survivors’ benefits at the level prescribed by the Convention are guaranteed for a standard beneficiary throughout the contingency (or, for invalidity benefits, until an old-age benefit becomes payable). More particularly, on variable monthly annuity contracts, the Committee would be grateful if the Government would supply detailed information on the impact in regard to Articles 19 and 25 of the Convention of section 19 of the Decree under which the amount of the variable monthly annuity will depend on the mortality of the group of pensioners having selected this method as well as on the profitability of the variable monthly annuity account.

5.  Age of eligibility for a pension (Article 15).  The Committee notes that, according to section 7 of the Act on pensions, the age of entitlement to old-age benefits is 65 years, unless the capital accumulated by the insured person in his individual account before that age is sufficient to allow payment of a pension equal to at least 70 per cent of the basic salary. The Committee recalls that, under the former share-out system, the age of entitlement to a pension was 55 years for men and 50 for women. The Committee wishes to draw the Government’s attention to the fact that in application of Article 15, paragraph 3, of the Convention, the age for entitlement to a pension shall be less than 65 years in respect of persons who have been engaged in occupations that are deemed to be arduous or unhealthy. The Committee also recalls in this respect the comments of the COB which emphasizes that average life expectation in Bolivia is less than 65 years. The Committee would therefore be grateful if the Government would indicate in its next report the measures taken or envisaged to respond to this concern in the light of Article 15, paragraph 3, of the Convention.

6.  Revision of benefits (Article 29 of the Convention).  The Committee recalls that, under Article 29 of the Convention, the amount of invalidity, old-age and survivors’ pensions shall be reviewed periodically following substantial changes in the general level of earnings or substantial changes in the cost of living. The Committee notes in this regard that sections 2, 4 and 320 of the Decree provide an adjustment procedure for pensions being drawn and in course of acquisition, based on the devaluation of the national currency in comparison with the United States dollar. The Committee would be grateful if the Government would provide detailed information on the application in practice of these provisions of national legislation. Please also provide all the statistical information required by the report form under this Article of the Convention in regard to pensions currently being drawn.

7.  Maintenance of rights in course of acquisition (Article 30 of the Convention).  Referring to the comments of the COB, the Committee would be grateful if the Government would supply detailed information on the application in practice of the provisions of the new legislation on pensions in regard to maintenance of rights in course of acquisition for persons affiliated to the old share-out system who, at the moment of entry into force of the new pensions scheme, had not yet reached the age of 55 years for men and 50 for women.

8.  General responsibility for the due provision of the benefits provided and for the proper administration of the system (Article 35 of the Convention). Referring to the comments of the COB, the Committee would be grateful if the Government would supply with its next report detailed information on how effect is given in practice to Article 35 of the Convention.

The Committee would also be grateful if the Government would indicate how payment is ensured for invalidity, old-age and survivors’ pensions due under the old pension system based on share-out as well as revision of these pensions to take inflation into account.

9.  Participation of representatives of the persons protected in the management of the new pensions system (Article 36 of the Convention).  The Committee recalls its previous comments regarding Article 36 of the Convention which provides that representatives of the persons protected shall participate in the management of the system. It trusts that the Government will not fail to indicate in its next report how effect is given to this provision of the Convention.

Observation (CEACR) - adopted 2000, published 89th ILC session (2001)

The Committee notes that the Government’s report has not been received. It must therefore repeat its previous observation which reads as follows:

In reply to the comments that the Committee has been making for a number of years, the Government cites section 10 of the new Act on Pensions No. 1732 of 1996, covering benefits for invalidity as a result of occupational accidents, stating that all provisions contrary to this Act have been repealed. The Committee draws the Government’s attention to the fact that benefits for employment injury and occupational diseases are considered under the Employment Injury Benefits Convention, 1964 (No. 121), and that the matters raised by the Committee in connection with Convention No. 130 relate solely to medical treatment and medical benefits of ordinary origin. In this regard, the Committee requests the Government to confirm that the legal provisions applicable to these branches of social security to which it referred in its previous reports (Legislative Decree No. 10173 of 1972, No. 13214 of 1975 and No. 14643 of 1977) are still in force. In addition, it trusts once again that the Government’s next report will contain detailed information on the following matters raised in the Committee’s previous comments.

1.  Part II (Medical care), Article 16, paragraph 1, of the Convention.  The Committee once again requests the Government to adopt the necessary measures to ensure that medical care is provided throughout the contingency, in accordance with this provision of the Convention.

  Article 16, paragraph 3.  The Committee recalls that, under section 23 of Legislative Decree No. 13214 of 1975, in the event of sickness certified by the responsible physician before the insured person is given sick leave, entitlement to the corresponding medical care for this sickness shall not be interrupted and may continue up to the legal limit of 26 weeks, or less if the medical treatment is terminated. The Committee trusts that the Government will indicate in its next report the measures that have been adopted to extend, in the case of beneficiaries who lose their status as insured persons, the duration of medical care for prescribed diseases recognized as entailing prolonged care, as required by this provision of the Convention.

2.  Part III (Sickness benefit), Article 21, in conjunction with Article 22.  The Committee once again draws the Government’s attention to the fact that, in accordance with Articles 21 to 23, the rate of the sickness benefit shall be such as to attain a minimum level (60 per cent) for a standard beneficiary (a man with a wife and two children). Articles 22 to 24 offer the Government various formulae that can be adapted to national practice for the determination of this minimum level. The formula envisaged in Article 22 is intended to take into account systems of protection which, as is the case of the Bolivian social security system, provide benefits calculated on the basis of the beneficiary’s former earnings. The Committee recalls in this respect that, in view of the fact that Legislative Decree No. 13214 of 1975, and section 81 of the Social Security Code, as amended, envisage a maximum amount for the rate of benefit and for the earnings taken into account for its calculation, the percentage of 60 per cent provided for in the Convention must be calculated with reference to a standard beneficiary whose earnings are equal to the wage of a skilled manual male employee (Article 22, paragraph 3). The information requested under the terms of Article 22 of the Convention and, in particular, relating to the wage of a skilled manual male employee, is merely intended to permit comparison of the rate of benefit paid under the national legislation with the minimum rate established by the Convention. In these conditions, the Committee once again hopes that the Government will be able to take the necessary measures to provide the information required in the report form adopted by the Governing Body on Convention No. 130, and particularly the information on the wage of a skilled manual male employee, determined in accordance with paragraph 6 or 7 of Article 22, the amount of the sickness benefit paid to such a skilled worker, and the maximum level of wages subject to contributions.

3.  Article 26, paragraph 1.  The Government states in its report that sickness insurance benefit is provided for 52 weeks and, for chronic illnesses, this period may be extended by the Ministry of Health. With regard to cash benefit, the subsidy for temporary incapacity is provided for 52 weeks at a rate that is equivalent to 75 per cent of the wage that is subject to contributions. The Committee once again emphasizes that section 30 of Legislative Decree No. 13214, of 1975, establishes that the common sickness subsidy commences from the fourth day of incapacity, with a maximum duration of 26 weeks, which can be extended for another 26 weeks if by doing so it is possible to avoid the status of invalidity. The Committee recalls that this requirement is not authorized by Article 26 of the Convention, which provides that sickness benefit shall be granted throughout the contingency, provided that the grant of benefit may be limited to not less than 52 weeks in each case of incapacity. In these conditions, the Committee once again reminds the Government of the need to harmonize the provisions of the legislation that is in force with those of the Convention.

4.  In previous comments, the Committee had referred to the possibility of having recourse to the technical assistance of the Office to resolve difficulties arising out of the application of the Convention. In addition, the Government had referred to a structural reform of social security in Bolivia. As so many years have passed since these matters were first raised concerning the application of the Convention, the Committee trusts that the Government will provide a detailed report in which it will take fully into account the matters that have been raised in order to give full effect to the Convention and that it will not hesitate to have recourse to the technical assistance that can be provided by the Office to assist its efforts to apply the Convention.

The Committee hopes that the Government will make every effort to take the necessary action in the very near future.

Observation (CEACR) - adopted 1999, published 88th ILC session (2000)

The Committee notes the Government's report received in June 1998. It notes with regret that the Government has provided no element of reply to the Committee's previous observation.

In this situation, the Committee wishes to express its deep concern that, since the adoption of the Supreme Decree No. 22-578 of 13 August 1990, the Bolivian social security system no longer provides for the payment of family benefit as prescribed by Article 42, Part VII (Family benefit), of the Convention. It would like to remind once again that in ratifying Convention No. 102 and freely accepting its obligations in respect of Part VII, the Government placed itself under a legally binding international obligation to guarantee in its national law and practice the provision of the family benefit to the persons protected. In the light of the above, the Committee strongly hopes that the Government will not fail to adopt in the near future the necessary measures to re-establish a family benefit scheme conforming to the provisions of the Convention.

The Committee is further concerned with the fact that the Government does not reply to the communication from the World Federation of Trade Unions, a copy of which was sent to it in August 1997 and which called for a factual analysis of the application of Convention No. 102 by the Government of Bolivia in the light of the new Law on Pensions, No. 1732 of 1996. In this respect the Committee notes the further communication of 14 June 1999, transmitted to the Government the same month, by the Central Obrera Boliviana (COB) alleging violation of the basic principles of social security established by Conventions Nos. 102 and 128. The Committee takes up these questions in detail in its comments under the latter Convention and would like the Government to refer to them. It trusts that the Government's next report will contain detailed information on the applicable branches of Convention No. 102 in the light of the social security legislation currently in force in Bolivia, as well as a detailed reply to the observations made in this respect by the abovementioned trade union organizations.

[The Government is asked to report in detail in 2000.]

Observation (CEACR) - adopted 1999, published 88th ILC session (2000)

In reply to the comments that the Committee has been making for a number of years, the Government cites section 10 of the new Act on Pensions No. 1732 of 1996, covering benefits for invalidity as a result of occupational accidents, stating that all provisions contrary to this Act have been repealed. The Committee draws the Government's attention to the fact that benefits for employment injury and occupational diseases are considered under the Employment Injury Benefits Convention, 1964 (No. 121), and that the matters raised by the Committee in connection with Convention No. 130 relate solely to medical treatment and medical benefits of ordinary origin. In this regard, the Committee requests the Government to confirm that the legal provisions applicable to these branches of social security to which it referred in its previous reports (Legislative Decree No. 10173 of 1972, No. 13214 of 1975 and No. 14643 of 1977) are still in force. In addition, it trusts once again that the Government's next report will contain detailed information on the following matters raised in the Committee's previous comments.

1. Part II (Medical care), Article 16, paragraph 1, of the Convention. The Committee once again requests the Government to adopt the necessary measures to ensure that medical care is provided throughout the contingency, in accordance with this provision of the Convention.

Article 16, paragraph 3. The Committee recalls that, under section 23 of Legislative Decree No. 13214 of 1975, in the event of sickness certified by the responsible physician before the insured person is given sick leave, entitlement to the corresponding medical care for this sickness shall not be interrupted and may continue up to the legal limit of 26 weeks, or less if the medical treatment is terminated. The Committee trusts that the Government will indicate in its next report the measures that have been adopted to extend, in the case of beneficiaries who lose their status as insured persons, the duration of medical care for prescribed diseases recognized as entailing prolonged care, as required by this provision of the Convention.

2. Part III (Sickness benefit), Article 21, in conjunction with Article 22. The Committee once again draws the Government's attention to the fact that, in accordance with Articles 21 to 23, the rate of the sickness benefit shall be such as to attain a minimum level (60 per cent) for a standard beneficiary (a man with a wife and two children). Articles 22 to 24 offer the Government various formulae that can be adapted to national practice for the determination of this minimum level. The formula envisaged in Article 22 is intended to take into account systems of protection which, as is the case of the Bolivian social security system, provide benefits calculated on the basis of the beneficiary's former earnings. The Committee recalls in this respect that, in view of the fact that Legislative Decree No. 13214 of 1975, and section 81 of the Social Security Code, as amended, envisage a maximum amount for the rate of benefit and for the earnings taken into account for its calculation, the percentage of 60 per cent provided for in the Convention must be calculated with reference to a standard beneficiary whose earnings are equal to the wage of a skilled manual male employee (Article 22, paragraph 3). The information requested under the terms of Article 22 of the Convention and, in particular, relating to the wage of a skilled manual male employee, is merely intended to permit comparison of the rate of benefit paid under the national legislation with the minimum rate established by the Convention. In these conditions, the Committee once again hopes that the Government will be able to take the necessary measures to provide the information required in the report form adopted by the Governing Body on Convention No. 130, and particularly the information on the wage of a skilled manual male employee, determined in accordance with paragraph 6 or 7 of Article 22, the amount of the sickness benefit paid to such a skilled worker, and the maximum level of wages subject to contributions.

3. Article 26, paragraph 1. The Government states in its report that sickness insurance benefit is provided for 52 weeks and, for chronic illnesses, this period may be extended by the Ministry of Health. With regard to cash benefit, the subsidy for temporary incapacity is provided for 52 weeks at a rate that is equivalent to 75 per cent of the wage that is subject to contributions. The Committee once again emphasizes that section 30 of Legislative Decree No. 13214, of 1975, establishes that the common sickness subsidy commences from the fourth day of incapacity, with a maximum duration of 26 weeks, which can be extended for another 26 weeks if by doing so it is possible to avoid the status of invalidity. The Committee recalls that this requirement is not authorized by Article 26 of the Convention, which provides that sickness benefit shall be granted throughout the contingency, provided that the grant of benefit may be limited to not less than 52 weeks in each case of incapacity. In these conditions, the Committee once again reminds the Government of the need to harmonize the provisions of the legislation that is in force with those of the Convention.

4. In previous comments, the Committee had referred to the possibility of having recourse to the technical assistance of the Office to resolve difficulties arising out of the application of the Convention. In addition, the Government had referred to a structural reform of social security in Bolivia. As so many years have passed since these matters were first raised concerning the application of the Convention, the Committee trusts that the Government will provide a detailed report in which it will take fully into account the matters that have been raised in order to give full effect to the Convention and that it will not hesitate to have recourse to the technical assistance that can be provided by the Office to assist its efforts to apply the Convention.

[The Government is asked to report in detail in 2000.]

Observation (CEACR) - adopted 1998, published 87th ILC session (1999)

In response to the Committee's previous comments, the Government states that, in particular, if at the end of the treatment, the worker continues to suffer from a reduction in his/her working capacity, the benefits to be disbursed shall, in future, be governed by the Act respecting pensions and the new schedule fixing levels of incapacity. In this respect, the Committee notes the adoption of Act No. 1732 of 1996 and its Regulation established under Supreme Decree No. 24469 of 1997. In light of the fundamental changes introduced into the pension scheme by this new legislation, the Committee would be grateful if the Government would provide a report containing detailed information in respect of the effect of the new legislation on each of the Articles of the Convention, including statistical data on the scope of application and the level of benefits, as required by the report form approved by the Governing Body.

The Committee also requests the Government to communicate detailed information in respect of the legal provisions or regulations which ensure the application of the provisions of the Convention which do not fall within the scope of the new Act respecting pensions and in particular those relative to medical care (Article 12 of the Convention) and the temporary capacity for work (Article 13).

[The Government is asked to report in detail in 1999.]

Observation (CEACR) - adopted 1998, published 87th ILC session (1999)

1. In its previous comments, the Committee noted the adoption of Act No. 1732 of 1996 establishing a new pension scheme. It also noted the observations made by the Bolivian Central of Workers and the National Confederation of Pensioners of Bolivia. Consequently, the Committee had hoped that the Government would communicate a detailed report allowing it to assess whether the new legislation continued to ensure the application of the Convention. In this regard, the Committee notes with regret that the Government's report consists only of the text of the above Act No. 1732, which replaced the old pension system based on share-out and administered by the Bolivian Institute of Social Security with a system based on individual capitalization of the insured person's assets and managed by private bodies.

Given the fundamental changes introduced into the pension scheme by Act No. 1732 of 1996 and its Regulations (Supreme Decree No. 2469 of 1997), the Committee must urge the Government once again to supply a detailed report containing, for each Article of the Convention, all the information requested by the report form adopted by the Governing Body, including statistics on coverage and the amount of invalidity, old-age and survivors' benefits.

The Committee also wishes to draw the Government's attention to the following specific points.

Level of benefits. The Committee recalls that the Convention provides for a minimum level for invalidity, old-age and survivors' benefits. For a standard beneficiary, invalidity benefits should be 50 per cent of the reference salary after a qualifying period of 15 years of contribution. In the case of old-age benefits, the amount should be 45 per cent of the reference salary after 30 years of contribution, and 45 per cent after 15 years of contribution in the case of survivors' benefits. That level of benefits must be maintained throughout the duration of contingency, or until such time as the invalidity benefit is replaced by old-age benefit, irrespective of the amount accumulated in the individual account of the insured person, and irrespective of the type of pension chosen (life annuity contract or variable monthly annuity contract), in accordance with Articles 10, 11, 17, 18, 23 and 24 of the Convention, read in conjunction with Part V of that instrument concerning the calculation of periodical payments.

Adjustment of pensions. The Committee recalls that, under Article 29 of the Convention, invalidity, old-age and survivors' benefits currently payable must be reviewed periodically following substantial changes in the general level of earnings or substantial changes in the cost of living.

Responsibility for providing benefits and administering the system. Under Article 35 of the Convention, the State must accept general responsibility for the due provision of benefits and must take all measures required for that purpose.

In addition, Article 36 of the Convention provides that representatives of persons protected shall participate in the administration of the pension system.

2. The Committee also hopes that the Government will provide information in its next report on any interim measures taken with regard to persons who were members of the old pension system administered by the Bolivian Social Security Institute. Please also indicate the measures taken to ensure, in accordance with Article 29 of the Convention, the review of invalidity, old-age and survivors' pensions paid under the old share-out system, including information on statistics requested in the report form under this Article of the Convention.

[The Government is asked to report in detail in 1999.]

Direct Request (CEACR) - adopted 1997, published 86th ILC session (1998)

The Committee notes with regret that the Government's report has not been received. It hopes that a report will be supplied for examination by the Committee at its next session and that it will contain full information on the matters raised in its previous direct request, which read as follows:

Articles 7 and 11 of the Convention. The Committee would be grateful if the Government would supply detailed information in its future reports on any bilateral or multilateral social security agreements that the Government may conclude with a view to the maintenance of the acquired rights and rights in course of acquisition recognized under its legislation.

Observation (CEACR) - adopted 1997, published 86th ILC session (1998)

1. In its previous comments, the Committee noted that under Supreme Decree No. 22-578 of 13 August 1990 the social security system no longer provides for the payment of family benefit as prescribed by Article 42, Part VII (Family benefit) of the Convention. Since the Government's report has not been received, the Committee can but reiterate the hope that the Government will adopt the necessary measures to re-establish a family benefit scheme conforming to the provisions of Part VII of the Convention.

2. The Committee also refers to its comments on Convention No. 128 concerning invalidity, old-age and survivors' benefits, 1967, and again expresses the hope that the Government will provide a detailed report for the applicable branches of Convention No. 102, taking account of the social security provisions currently in force in Bolivia. The Committee trusts that the report will also contain the Government's observations on the communication from the World Federation of Trade Unions, a copy of which was sent to it in August 1997.

Observation (CEACR) - adopted 1997, published 86th ILC session (1998)

The Committee notes with regret that the Government's report has not been received. It must therefore repeat its previous observation which read as follows:

Article 6 of the Convention (Payment of family allowances in respect of children resident abroad). The Committee notes from the information supplied by the Government in its report as also from section 51 of Supreme Decree No. 22578 of 13 August 1990, that the Bolivian social security scheme no longer provides for the payment of family allowances as contemplated under Article 6 of Convention No. 118 and Article 42 of Convention 102 of which it accepted Part VII (Family benefit) when it ratified the Convention. The Committee therefore expresses the hope that the Government will be able to re-examine the situation with a view to re-establishing a scheme of family benefits which complies with Part VII of Convention No. 102 and that on that occasion full account will be taken of Article 6 of Convention No. 118, which specifies that each Member which like Bolivia has accepted the obligations of the Convention in respect of family benefit shall guarantee the grant of family allowances both to its own nationals and to the nationals of any other Member which has accepted the obligations of the Convention for that branch, in respect of children who reside on the territory of any such Member, under conditions and within limits to be agreed upon by the Members concerned.

The Committee draws the Government's attention to the availability of technical assistance of the Office.

Observation (CEACR) - adopted 1997, published 86th ILC session (1998)

The Committee notes that the Government's report has not been received. It must therefore repeat its previous observation which read as follows:

1. Article 5 of the Convention. In its previous comments the Committee noted that, according to the statistics provided by the Government and to the ILO Year Book of Labour Statistics, 1991, the proportion of protected employees working in Bolivian industrial undertakings was lower than the proportion prescribed by the Convention ("75 per cent of all employees in industrial undertakings ..."). In these circumstances the Committee asked the Government to indicate the measures taken or contemplated gradually to extend the employment injury branch of the social security scheme to new categories of workers or employees in industrial undertakings. Since the Government's report contains no reply on this matter, the Committee is bound to express, once again, the hope that the Government will adopt the necessary measures for this purpose. It also asks the Government to provide updated statistical data of the total number of active insured persons employed in industrial undertakings as defined in Article 1(c) of the Convention, and the total number of employees in those undertakings. 2. Article 7. The Government states in its report that it has noted the Committee's recommendation concerning commuting accident coverage. The Committee asks the Government to indicate in its next report the progress made in this respect. 3. Article 8. In its answer to the Committee's previous comments, the Government states that it has noted the recommendation that, in a future edition or revision of the Social Security Code, an updated list of occupational diseases should be published, along with the activities likely to cause them, in conformity with schedule 1 annexed to the Convention. The Committee asks the Government to indicate any progress made in this area in its future reports. 4. Article 9, paragraph 3. With regard to the previous comments, the Government indicates in particular that insured persons and beneficiaries suffering from chronic diseases who no longer qualify for medical care provided through social security are entitled, unconditionally, to benefits in kind in hospitals of the Ministry of Public Health. The Committee notes this statement. It points out, however, that the Government has not provided the legislative, regulatory or other texts stipulating the type of medical care provided, in accordance with section 113 of Decree No. 14643 of 1977, in the specialized centres of the Ministry of Social Security and Public Health. It therefore asks the Government once again to provide these texts. 5. The Committee notes with interest that the Government considers that assistance from the ILO Regional Adviser for Latin America would be most useful in drafting the report in the manner established in the report form adopted by the Governing Body with regard to Articles 13, 14 and 18 (in relation to Articles 19 and 20), and 21 (in relation to Articles 14 and 18) of the Convention. The Committee notes this statement with interest. It expresses the hope that the Government will be able, possibly with the assistance of the Regional Adviser, to provide the above-mentioned information.

The Committee hopes that the Government will make every effort to take the necessary action in the very near future.

Observation (CEACR) - adopted 1997, published 86th ILC session (1998)

1. In its observation and direct request of 1996, the Committee raised a number of questions on the application of the Convention and took note of the comments sent by the National Confederation of Pensioners of Bolivia and the Bolivian Central of Workers. In their comments these organizations referred to a Bill on pensions. The Committee regrets to note that the Government has not sent a detailed report as the Committee asked in its previous observation.

2. The Committee notes the new comments sent on 27 November 1996 by the Bolivian Central of Workers and forwarded to the Government on 31 January 1997, recalling the consequences of the Bill on pensions for the application of the Convention. Furthermore, the Committee notes the adoption, on 29 November 1996, of Act No. 1732 establishing a new pension scheme. In these circumstances, the Committee can but reiterate the hope that the Government will provide a detailed report including information and statistics on each Article of the Convention, in accordance with the report form, so that it can assess to what extent the new legislation gives effect to the Convention, in view of the comments on the questions raised by the above-mentioned workers' organizations.

Direct Request (CEACR) - adopted 1996, published 85th ILC session (1997)

The Committee notes that the Government's report has not been received. It hopes that a report will be supplied for examination by the Committee at its next session and that it will contain full information on the matters raised in its previous direct request, which read as follows:

Articles 7 and 11 of the Convention. The Committee would be grateful if the Government would supply detailed information in its future reports on any bilateral or multilateral social security agreements that the Government may conclude with a view to the maintenance of the acquired rights and rights in course of acquisition recognized under its legislation.

Direct Request (CEACR) - adopted 1996, published 85th ILC session (1997)

With reference to its observation, the Committee notes that the Government's report has not been received. It therefore hopes that a report will be supplied for examination by the Committee at its next session and that it will contain the following information asked for in its previous direct request, together with the texts mentioned below in so far as they are still in force.

1. Part I (General provisions), Article 6 of the Convention (in conjunction with Articles 10, 11, 17, 18, 23 and 24). The Committee asks the Government to supply copies of the following legislation: (a) regulations respecting cash benefits referred to in section V of the by-laws of the supplementary social security fund for the construction industry; (b) Presidential Decree No. 10191, of 14 April 1972, respecting the establishment of the Supplementary Fund for the Public Administration; (c) Presidential Decree No. 10972, of 11 July 1973, respecting the Supplementary Fund for Commerce; (d) Presidential Decree No. 11227, of 13 December 1973, respecting the payment of benefits and their financing; (e) Act No. 1141 of 23 February 1990.

2. Part V (Standards to be complied with by periodical payments), Articles 26 and 27 (in conjunction with Articles 10, 17 and 23). In order to enable it to assess whether the levels set out in the Convention are reached for invalidity, old-age and survivors' benefits, the Committee once again hopes that the Government will be able to supply the information required by the report form adopted by the Governing Body under Articles 26 or 27 of the Convention, depending on which of these Articles the Government has decided to use.

3. Article 29. The Committee once again requests the Government to supply in its next report the information requested in the report form adopted by the Governing Body concerning the adjustment of basic pensions under this provision of the Convention.

4. The Committee also requests the Government to supply the text of Decree No. 20991, of 1 August 1985, and of Presidential Decree No. 22407 of 11 January 1990.

Direct Request (CEACR) - adopted 1996, published 85th ILC session (1997)

I. The Committee notes the Government's report, in which it states that the applicable legal provisions (Legislative Decrees Nos. 10173 of 1972; 13214 of 1975; and 14643 of 1977) are compatible with the provisions of the Convention. The Committee notes that the Government's report does not contain information on the matters raised in its previous comments. The Committee hopes that in its next report the Government will include detailed information on the following matters:

1. Part II (Medical care), Article 16, paragraph 1, of the Convention. The Committee once again requests the Government to adopt the necessary measures to ensure that medical care is provided throughout the contingency, in accordance with this provision of the Convention.

Article 16, paragraph 3. The Committee recalls that, under section 23 of Legislative Decree No. 13214 of 1975, in the event of sickness certified by the responsible physician before the insured person is given sick leave, entitlement to the corresponding medical care for this sickness shall not be interrupted and may continue up to the legal limit of 26 weeks, or less if the medical treatment is terminated. The Committee trusts that the Government will indicate in its next report the measures that have been adopted to extend, in the case of beneficiaries who lose their status as insured persons, the duration of medical care for prescribed diseases recognized as entailing prolonged care, as required by this provision of the Convention.

2. Part III (Sickness benefit), Article 21, in conjunction with Article 22. The Committee once again draws the Government's attention to the fact that, in accordance with Articles 21 to 23, the rate of the sickness benefit shall be such as to attain a minimum level (60 per cent) for a standard beneficiary (a man with a wife and two children). Articles 22 to 24 offer the Government various formulae that can be adapted to national practice for the determination of this minimum level. The formula envisaged in Article 22 is intended to take into account systems of protection which, as is the case of the Bolivian social security system, provide benefits calculated on the basis of the beneficiary's former earnings. The Committee recalls in this respect that, in view of the fact that Legislative Decree No. 13214 of 1975, and section 81 of the Social Security Code, as amended, envisage a maximum amount for the rate of benefit and for the earnings taken into account for its calculation, the percentage of 60 per cent provided for in the Convention must be calculated with reference to a standard beneficiary whose earnings are equal to the wage of a skilled manual male employee (Article 22, paragraph 3). The information requested under the terms of Article 22 of the Convention and, in particular, relating to the wage of a skilled manual male employee, is merely intended to permit comparison of the rate of benefit paid under the national legislation with the minimum rate established by the Convention. In these conditions, the Committee once again hopes that the Government will be able to take the necessary measures to provide the information required in the report form adopted by the Governing Body on Convention No. 130, and particularly the information on the wage of a skilled manual male employee, determined in accordance with paragraph 6 or 7 of Article 22, the amount of the sickness benefit paid to such a skilled worker, and the maximum level of wages subject to contributions.

3. Article 26, paragraph 1. The Government states in its report that sickness insurance benefit is extended for 52 weeks and for chronic illnesses, and that after this period it comes under the responsibility of the Ministry of Health. With regard to cash benefit, the subsidy for temporary incapacity is provided for 52 weeks at a rate that is equivalent to 75 per cent of the wage that is subject to contributions. The Committee once again emphasizes that section 30 of Legislative Decree No. 13214, of 1975, establishes that the common sickness subsidy commences from the fourth day of incapacity, with a maximum duration of 26 weeks, which can be extended for another 26 weeks if by doing so it is possible to avoid the status of invalidity. The Committee recalls that this requirement is not authorized by Article 26 of the Convention, which provides that sickness benefit shall be granted throughout the contingency, provided that the grant of benefit may be limited to not less than 52 weeks in each case of incapacity. In these conditions, the Committee once again reminds the Government of the need to harmonize the provisions of the legislation that is in force with those of the Convention.

II. In previous comments, the Committee had referred to the possibility of having recourse to the technical assistance of the Office to resolve difficulties arising out of the application of the Convention. In addition, the Government had referred to a structural reform of social security in Bolivia. As so many years have passed since these matters were first raised concerning the application of the Convention, the Committee trusts that the Government will provide a detailed report in which it will take fully into account the matters that have been raised in order to give full effect to the Convention and that it will not hesitate to have recourse to the technical assistance that can be provided by the Office to assist its efforts to apply the Convention.

Observation (CEACR) - adopted 1996, published 85th ILC session (1997)

The Committee notes that the Government's report has not been received. It must therefore repeat its previous observation which read as follows:

In its previous comments, the Committee had pointed out that, pursuant to section 51 of Supreme Decree No. 22-578 of 13 August 1990, the Bolivian social security system does not provide for the payment of family benefits in the manner prescribed under Article 42, Part VII (Family benefits), of the Convention. In reply, the Government limits itself to stating that the regime of family allowances is under the administration of the employers, and that the social security system monitors compliance. In these circumstances, the Committee cannot but again express the hope that the Government will adopt the necessary measures to re-establish a regime of family benefits which complies with the provisions of Part VII of the Convention.

The Committee hopes that the Government will make every effort to take the necessary action in the very near future.

Observation (CEACR) - adopted 1996, published 85th ILC session (1997)

The Committee notes that the Government's report has not been received. It must therefore repeat its previous observation which read as follows:

Article 6 of the Convention (Payment of family allowances in respect of children resident abroad). The Committee notes from the information supplied by the Government in its report as also from section 51 of Supreme Decree No. 22578 of 13 August 1990, that the Bolivian social security scheme no longer provides for the payment of family allowances as contemplated under Article 6 of Convention No. 118 and Article 42 of Convention 102 of which it accepted Part VII (Family benefit) when it ratified the Convention. The Committee therefore expresses the hope that the Government will be able to re-examine the situation with a view to re-establishing a scheme of family benefits which complies with Part VII of Convention No. 102 and that on that occasion full account will be taken of Article 6 of Convention No. 118, which specifies that each Member which like Bolivia has accepted the obligations of the Convention in respect of family benefit shall guarantee the grant of family allowances both to its own nationals and to the nationals of any other Member which has accepted the obligations of the Convention for that branch, in respect of children who reside on the territory of any such Member, under conditions and within limits to be agreed upon by the Members concerned.

The Committee draws the Government's attention to the availability of technical assistance of the Office.

Observation (CEACR) - adopted 1996, published 85th ILC session (1997)

The Committee notes the comments communicated by the National Confederation of Pensioners of Bolivia (Confederación Nacional de Jubilados y Rentistas de Bolivia), as well as those communicated by the Bolivian Central of Workers (Central Obrera Boliviana) with respect to a new draft Law on pensions. According to these organizations, the draft law would ignore the provisions contained in certain social security conventions, in particular Convention No. 128. These comments were sent to the Government on 28 September 1995 and 2 September 1996, respectively. As the Government's report has not been received, the Committee can only trust that in the elaboration of any new piece of legislation, including a new Pension Law, the requirements of the Convention will be fully taken into consideration. It hopes that the Government's next report will contain a reply to the comments of the aforementioned organizations, as well as the text of the Bill or the Law on pensions, if adopted.

[The Government is asked to send a detailed report in 1997.]

Observation (CEACR) - adopted 1995, published 82nd ILC session (1995)

1. Article 5 of the Convention. In its previous comments the Committee noted that, according to the statistics provided by the Government and to the ILO Year Book of Labour Statistics, 1991, the proportion of protected employees working in Bolivian industrial undertakings was lower than the proportion prescribed by the Convention ("75 per cent of all employees in industrial undertakings ..."). In these circumstances the Committee asked the Government to indicate the measures taken or contemplated gradually to extend the employment injury branch of the social security scheme to new categories of workers or employees in industrial undertakings. Since the Government's report contains no reply on this matter, the Committee is bound to express, once again, the hope that the Government will adopt the necessary measures for this purpose. It also asks the Government to provide updated statistical data of the total number of active insured persons employed in industrial undertakings as defined in Article 1(c) of the Convention, and the total number of employees in those undertakings.

2. Article 7. The Government states in its report that it has noted the Committee's recommendation concerning commuting accident coverage. The Committee asks the Government to indicate in its next report the progress made in this respect.

3. Article 8. In its answer to the Committee's previous comments, the Government states that it has noted the recommendation that, in a future edition or revision of the Social Security Code, an updated list of occupational diseases should be published, along with the activities likely to cause them, in conformity with schedule 1 annexed to the Convention. The Committee asks the Government to indicate any progress made in this area in its future reports.

4. Article 9, paragraph 3. With regard to the previous comments, the Government indicates in particular that insured persons and beneficiaries suffering from chronic diseases who no longer qualify for medical care provided through social security are entitled, unconditionally, to benefits in kind in hospitals of the Ministry of Public Health. The Committee notes this statement. It points out, however, that the Government has not provided the legislative, regulatory or other texts stipulating the type of medical care provided, in accordance with section 113 of Decree No. 14643 of 1977, in the specialized centres of the Ministry of Social Security and Public Health. It therefore asks the Government once again to provide these texts.

5. The Committee notes with interest that the Government considers that assistance from the ILO Regional Adviser for Latin America would be most useful in drafting the report in the manner established in the report form adopted by the Governing Body with regard to Articles 13, 14 and 18 (in relation to Articles 19 and 20), and 21 (in relation to Articles 14 and 18) of the Convention. The Committee notes this statement with interest. It expresses the hope that the Government will be able, possibly with the assistance of the Regional Adviser, to provide the above-mentioned information.

[The Government is asked to report in detail in 1997.]

Observation (CEACR) - adopted 1995, published 83rd ILC session (1996)

In its previous comments, the Committee had pointed out that, pursuant to section 51 of Supreme Decree No. 22-578 of 13 August 1990, the Bolivian social security system does not provide for the payment of family benefits in the manner prescribed under Article 42, Part VII (Family benefits), of the Convention. In reply, the Government limits itself to stating that the regime of family allowances is under the administration of the employers, and that the social security system monitors compliance. In these circumstances, the Committee cannot but again express the hope that the Government will adopt the necessary measures to re-establish a regime of family benefits which complies with the provisions of Part VII of the Convention.

Direct Request (CEACR) - adopted 1994, published 81st ILC session (1994)

I. 1. Part I (General provisions), Article 6 of the Convention (in conjunction with Articles 10, 11, 17, 18, 23 and 24). With reference to its previous comments, the Committee notes the text of the by-laws of the supplementary social security fund for the construction industry. The Committee requests the Government to supply the regulations respecting cash benefits, to which reference is made in section V of the above by-laws. It also requests it to supply the following texts, which were referred to in its 1991 report: (a) Presidential Decree No. 10191, of 14 April 1972, respecting the establishment of the Supplementary Fund for the Public Administration; (b) Presidential Decree No. 10972, of 11 July 1973, respecting the Supplementary Fund for Commerce; and (c) Presidential Decree No. 11227, of 13 December 1973, respecting the payment of benefits and their financing. Please also supply the text of Act No. 1141 of 23 February 1990.

2. Part V (Standards to be complied with by periodical payments), Articles 26 and 27 (in conjunction with Articles 10, 17 and 23). With reference to its previous comments concerning the level of periodical benefits covered by Articles 10, 17 and 23 of the Convention, the Committee notes that the Government once again refers to the actuarial mathematical study on the basic pensions scheme of 1991-95, which was adopted by the Bolivian Social Security Institute. In view of the fact that the information contained in the actuarial mathematical study does not permit it to assess whether the levels set out in the Convention are reached for invalidity, old-age and survivors' benefits, the Committee once again hopes that the Government will be able to supply in the near future the information required by the report form adopted by the Governing Body under either Article 26 or Article 27, according to which of these Articles the Government has decided to use.

3. Article 29. The Committee once again requests the Government to supply in its next report the information requested in the report form adopted by the Governing Body concerning the adjustment of basic pensions under this provision of the Convention.

II. 1. The Committee once again requests the Government to supply information on the structural reforms which it announced in a previous report, and on any progress achieved in the adoption of the draft Social Security Code.

2. The Committee also requests the Government to supply the text of Decree No. 20991, of 1 August 1985, and of Presidential Decree No. 22407 of 11 January 1990.

Observation (CEACR) - adopted 1994, published 81st ILC session (1994)

In its previous comments the Committee drew the Government's attention to the fact that under section 51 of Presidential Decree No. 22-578 of 13 August 1990, the Bolivian social security system no longer provides for the payment of family benefit within the meaning of Article 42, Part VII (Family benefit) of the Convention. In its reply the Government indicates that the family allowance scheme set out in section 51 of Presidential Decree No. 22-578 will remain in force until the legal standard is amended as part of the reform which it plans to carry out. The Committee notes the Government's statement. It is none the less bound to reiterate the hope that in the context of the planned social security reform the Government will take the necessary measures to establish once again a family benefit scheme which is in keeping with the provisions of Part VII of this Convention. In this connection, the Committee again recalls that the draft Social Security Code, to which the Government has referred in its previous reports and which was prepared with technical assistance from the Office, provides in section 89 for the payment of such family benefits. The Committee hopes that the Government will provide detailed information on progress made in this respect.

[The Government is asked to report in detail for the period ending 30 June 1994.]

Direct Request (CEACR) - adopted 1993, published 80th ILC session (1993)

Articles 7 and 11 of the Convention. The Committee would be grateful if the Government would supply detailed information in its future reports on any bilateral or multilateral social security agreements that the Government may conclude with a view to the maintenance of the acquired rights and rights in course of acquisition recognized under its legislation.

Observation (CEACR) - adopted 1993, published 80th ILC session (1993)

The Committee notes that the Government's report does not contain a reply to its previous comments. It however notes from the information provided by the Government in the report concerning Convention No. 118 as also from section 51 of Supreme Decree No. 22-578 of 13 August 1990, that the Bolivian social security scheme no longer provides for the payment of family allowances as contemplated under Article 42, Part VII (Family benefit) of the Convention. In these conditions, the Committee can but express the hope that the Government will take the necessary measures with a view to re-establishing a scheme of family benefits which complies with Part VII of the Convention. It recalls in this respect that the draft Social Security Code prepared with the assistance of the Office to which the Government referred in its previous reports, provides in section 89 for the payment of such family benefits. The Committee hopes that the Government will furnish detailed information on the progress made in this field.

Observation (CEACR) - adopted 1993, published 80th ILC session (1993)

Article 6 of the Convention (Payment of family allowances in respect of children resident abroad). The Committee notes from the information supplied by the Government in its report as also from section 51 of Supreme Decree No. 22-578 of 13 August 1990, that the Bolivian social security scheme no longer provides for the payment of family allowances as contemplated under Article 6 of Convention No. 118 and Article 42 of Convention 102 of which it accepted Part VII (Family benefit) when it ratified the Convention. The Committee therefore expresses the hope that the Government will be able to re-examine the situation with a view to re-establishing a scheme of family benefits which complies with Part VII of Convention No. 102 and that on that occasion full account will be taken of Article 6 of Convention No. 118, which specifies that each Member which like Bolivia has accepted the obligations of the Convention in respect of family benefit shall guarantee the grant of family allowances both to its own nationals and to the nationals of any other Member which has accepted the obligations of the Convention for that branch, in respect of children who reside on the territory of any such Member, under conditions and within limits to be agreed upon by the Members concerned.

Direct Request (CEACR) - adopted 1992, published 79th ILC session (1992)

I. 1. Part I (General provisions), Article 6 of the Convention (in conjunction with Articles 10, 11, 17, 18, 23 and 24). In its previous comments, the Committee requested the Government to provide information on, and copies of, the by-laws of supplementary social security funds. As the Office has not received the legal texts referred to by the Government in its report, the Committee asks the Government again to provide the above texts.

2. Part V (Standards to be complied with by periodical payments), Articles 26 and 27 (in conjunction with Articles 10, 17 and 23). In response to the Committee's previous comments concerning the level of periodical benefits covered by Articles 10, 17 and 23 of the Convention, the Government has provided a copy of the Actuarial Mathematical Study on the basic pensions scheme of 1991-95 adopted by the Bolivian Social Security Institute. The Committee takes note of the above Study. It also notes with interest the text of Presidential Decree No. 22578 of 13 August 1990 which introduces, in conformity with sections 12-15 of the same Decree, a national minimum pension equivalent to the national minimum wage and lays down new provisions for determining survivors' benefits. The Committee observes, however, that it is unable to ascertain from the information contained in the Actuarial Mathematical Study whether the amount prescribed by the Convention for invalidity, old age and survivors' benefits is attained. The Committee nonetheless notes with interest the Government's statement in its report on Convention No. 130, that it intends to request the assistance of the ILO Regional Adviser on social security for Latin America on this matter. The Committee therefore hopes that, with the assistance of the Regional Adviser, the Government will be able to provide the information required by the report form adopted by the Governing Body under Articles 26 or 27, depending on which of these two provisions the Government avails itself of.

3. Article 29. The Committee notes with interest the information supplied by the Government concerning the adjustment of basic pensions for dependants. It asks the Government to provide in its next report the information requested, under this provision of the Convention, in the report form adopted by the Governing Body.

II. Regarding the new draft Social Security Code, the Government indicates that it is currently being revised in the technical committees of both Chambers of the National Congress. The Government adds, however, that owing to the proposed structural changes in the Bolivian social security system, it will not be adopted or come into force. The Committee asks the Government to provide information in its future reports on the above-mentioned structural reforms, and on any progress made in the adoption of the Code.

Direct Request (CEACR) - adopted 1992, published 79th ILC session (1992)

The Committee takes note of the information supplied by the Government in its report.

1. Part II (Medical care), Article 16, paragraphs 1 and 3 of the Convention. In reply to the Committee's previous comments, the Government indicates that in the restructuring of the Bolivian social security, careful account has been taken of the Committee's recommendation that medical care should be provided throughout the contingency. In accordance with the Convention, this care should be extended for prescribed diseases recognised as entailing prolonged care when the beneficiary ceases to belong to a category of protected persons. The Committee notes this statement with interest. It hopes that the above-mentioned structural reform will shortly be completed and that it will give full effect to the Convention as regards this point.

2. Part III (Sickness benefit), Article 21 (in conjunction with Article 22). The Committee notes with interest the information supplied by the Government. It notes in particular that the Government will request technical assistance from the ILO. The Committee hopes that, with the help of the ILO Regional Adviser on social security, in its next report the Government will be able to provide the statistical information required by the report form adopted by the Governing Body under Article 22, so that the Committee can determine whether the amount of sickness benefit prescribed by the Convention for a standard beneficiary is attained.

3. Article 26, paragraph 1. In reply to the Committee's previous comments, the Government indicates that section 30 of Legislative Decree No. 13214 of 24 December 1975 does not impose any conditions for the extension of the payment of sickness benefit by a further 26 weeks. However it states that, should the Committee maintain its position, it would be grateful to receive assistance from the Regional Adviser.

The Committee notes this statement with interest. It considers that, to avert any risk of confusion, it would be advisable to harmonise section 30 of Legislative Decree No. 13214 with this provision of the Convention which prescribes that sickness benefits must be granted throughout the contingency, although the grant of the benefit may be limited to 52 weeks in each case of incapacity.

The Committee expresses the hope that, with technical assistance from the Office, the Government will gradually be able to overcome its difficulties in applying the Convention.

Observation (CEACR) - adopted 1992, published 79th ILC session (1992)

1. Article 5 of the Convention. The Committee has taken note of the statistics of insured persons supplied by the Government. The Committee observes that, according to that information, the total number of active insured persons employed in industrial undertakings as defined in Article 1, subparagraph (c), of the Convention is approximately 70,000. Since the Government has availed itself of the temporary exception provided for in Article 5 of the Convention, the Committee must again point out to the Government that, in order to be able to assess whether the requirements of this provision of the Convention are met, it also needs to know the total number of employees in industrial undertakings. It consequently hopes that the Government will be able to supply all these statistics in its next report.

Furthermore the Committee points out that under the said Article 5 the application of national legislation concerning employment injury benefits may be limited to "prescribed categories of employees, which shall total in number not less than 75 per cent of all employees in industrial undertakings ...". In this connection the Committee has noted from the information given in the ILO Year Book of Labour Statistics, 1991, that, for the sectors of construction, transport, storage and communications alone, the total number of employees was 118,400 in 1989. The proportion of protected employees working in industrial undertakings is thus less than the proportion prescribed by the Convention. In these circumstances the Committee expresses the hope that the Government will be able to indicate in its next report the measures taken or contemplated gradually to extend the employment injury branch of the social security scheme to new categories of wage-earners in industrial undertakings.

Article 7. In response to the Committee's previous comments concerning commuting accident coverage, the Government refers in particular to section 7 of Legislative Decree No. 14643 of 3 June 1977 concerning benefits in case of non-industrial injury. Furthermore it indicates that in case of an accident the cost of the benefit is normally borne by the person who caused the injury (for example, the driver of the vehicle). Furthermore in practice, when the injuries resulting from a non-occupational hazard do not involve the insurance institution in heavy expense, the benefits are covered as though it was a case of industrial accident.

The Committee takes note of this information. It wishes to point out to the Government, however, that under the Convention the benefits due in case of an industrial accident or occupational disease, including commuting accidents, must be granted whether or not any third person bears any liability (without prejudice to any recourse against such a person). Furthermore, under the Convention, the granting of such benefits to the insured person or his dependants must not be made conditional upon any waiting period. Hence the obligations prescribed by the Convention cannot be met by a system of sickness, invalidity and survivors' insurance which, as in Bolivia, makes the acquisition of entitlement to benefit and the amount of benefit subject to completion of a period of membership or subscription.

In these circumstances, the Committee again expresses the hope that the Government will be able to re-examine the question so as to supplement the definition of "industrial accident" laid down in section 27 of the Social Security Code and section 115 of the Regulations thereunder to include a commuting accident, in accordance with Article 7 of the Convention.

Article 8. In its previous comments, the Committee asked for the supply of the circulars which, according to the Government, had been addressed to the agencies administering social security in order to bring to their notice the list of occupational diseases prescribed by schedule I of the Convention. In its report, the Government states that the adoption of such circulars was unnnecessary because Presidential Decree No. 14228 of 23 December 1976 for the adoption and ratification of Convention No. 121 was published in the Official Gazette of Bolivia, which is a medium for broad dissemination of the country's national standards. In this connection the Committee ventures to remind the Government that the Multidisciplinary Committee established by Presidential Resolution No. 193458 of 5 November 1980 provides among other recommendations that the list of occupational diseases shown in Annex 1 to the Social Security Code and the Regulations thereunder should undergo immediate revision in as much as it is outdated. These recommendations, which go back more than ten years, make no reference to the list of occupational diseases annexed to Convention No. 121. In these circumstances, in order to preclude any risk of confusion in the quarters concerned regarding the content of the law on compensation for occupational diseases, the Committee considers that it would be desirable, on the occasion of a forthcoming revision or publication of the Social Security Code, to publish an up-to-date list of occupational diseases and activities likely to cause them, in conformity with schedule I annexed to the Convention.

Article 9, paragraph 3. In its previous comments, the Committee expressed the hope that the Government would supply the text of all provisions of laws, regulations or other texts specifying the nature of the medical care provided in accordance with section 11 of Decree No. 14643 of 1977 at the specialised centres of the Ministry of Social Security and Public Health, together with the conditions to be met, in order to qualify for such benefits, by persons ceasing to be entitled to medical care provided through social security. Since the Government refers in its reply only to the provisions of Chapter II of the Social Security Code concerning benefits in kind, the Committee can but ask the Government once again to supply the information requested.

Articles 13, 14 and 18 (in conjunction with Articles 19 and 20). (a) The Committee takes note with interest of the text of Presidential Decree No. 20991 of 1 August 1985 which increases the amount of temporary incapacity benefit in case of an industrial accident to 90 per cent of the insured person's wage which is subject to contributions at the start of incapacity.

(b) Furthermore the Committee notes that the Government's report does not contain the statistical information which it previously requested and which it needs in order to determine whether the amount of benefit paid to the standard beneficiary in case of temporary incapacity, permanent total incapacity or death reaches the level prescribed by the Convention. It has, however, noted with interest the Government's statement in its report on Convention No. 130 that it intended to ask the help of the ILO Regional Adviser on Social Security for Latin America on this point. The Committee therefore hopes that the Government will be able to supply with its next report the information requested by the report form adopted by the Governing Body under Article 19 or 20, depending on which of these provisions is resorted to.

Article 21. The Committee again asks the Government to supply with its forthcoming reports the information requested under this Article of the Convention by the report form concerning the review of the benefits provided for in Articles 14 and 18 as a result of substantial changes in the cost of living.

2. The Committee ventures to remind the Government of the possibility of having recourse to the technical cooperation of the ILO to help it in finding a solution to the problems arising out of the application of the Convention.

Direct Request (CEACR) - adopted 1991, published 78th ILC session (1991)

The Committee notes with regret that for the second consecutive year the Government's report has not been received. It hopes that a report will be supplied for examination by the Committee at its next session and that it will contain full information on matters raised in its previous direct request, which read as follows:

Article 5 of the Convention. The Committee notes from the information supplied in the Government's report that the total number of employers is 602,000, of whom 367,608 are protected by compulsory social insurance. Since the Government has availed itself of the temporary exception provided for in Article 5 of the Convention the Committee wishes to point out that, in order to be in a position to assess whether the requirements set out in this provision of the Convention are fulfilled, it is also necessary to know the total number of employees in industrial undertakings. It therefore hopes that the Government will be able to supply in its next report not only statistics for the total number of wage earners protected, but also the number of employees in industrial undertakings, as defined in Article 1(c).

Article 7. The Government once again states that there is no express provision concerning commuting accidents but that they are considered to be employment injuries for the purposes of insurance by applying case-law and the general principles of justice and equity. In these circumstances, the Committee requests the Government to supply with its next report examples of case-law in this respect.

Article 8. In reply to the previous comments of the Committee, the Government states that section 2 of Supreme Decree No. 14228 of 23 December 1976, which includes the occupational diseases listed in Schedule I of the Convention in those provided for by the Social Security Code, has been brought to the knowledge of the parties concerned (National Social Security Fund, employers, workers, magistrates, etc.) by means of the national press, the publication of the Decree in the Official Journal and specific circulars to management bodies, so that, under section 2 of the above Decree, the occupational diseases listed in Schedule I of the Convention are now considered as such. The Committee notes this information with interest. It would be grateful if the Government would transmit a copy of the text of the circulars sent to the administrative organisations. Furthermore, in order to avoid any risk that the circles concerned may be confused about the content of the legislation in this respect, the Committee considers that it would be desirable, on the occasion of the a forthcoming revision or edition of the Social Security Code, to publish and up-to-date list of the occupational diseases and the activities liable to cause them, in accordance with Schedule I annexed to the Convention.

Article 9, paragraph 3. The Government states in its reply that section 11 of Decree No. 14643 of 1977 - under which persons suffering from a chronic disease and who are no longer entitled to hospital, medical and pharmaceutical care in social security centres are transferred to specialised centres run by the Ministry for Social Welfare and Public Health - is also applicable to workers handicapped as a result of an industrial accident or an occupational disease and who are no longer entitled to medical assistance provided under social security. It adds that the medical care provided in the specialised centres run by the Ministry for Social Welfare and Public Health is identical to the care provided in social security centres. The Committee notes this information with interest. It would be grateful if the Government would supply the texts of any law or regulations specifying the type of medical care provided in the specialised centres run by the Ministry for Social Welfare and Public Health, and, where appropriate, the conditions that must be fulfilled by the persons concerned in order to benefit from such care.

Articles 13, 14 and 18 (in conjunction with Articles 19 and 20). (a) Regarding benefits in respect of temporary incapacity, the Committee notes with interest the Government's statement to the effect that, under Supreme Decree No. 20-991 of 1 August 1985, the benefits for temporary incapacity provided in the event of employment injuries is equivalent to 90 per cent of the proportion of the wage earned by the insured at the commencement of incapacity that was subject to contributions. The Committee would be grateful if the Government would transmit a copy of this Decree.

(b) Furthermore, the Government states that in accordance with the Act that is currently in force, periodical payments are calculated on the basis of the wage that is subject to contributions, without taking into account whether the wage correspond to that of a skilled employee or a labourer, and that family allowances are not taken into account when determining the percentage of the periodical payment awarded to the worker or his dependents. In this connection, the Committee wishes to draw the Government's attention to the fact that, in accordance with Schedule II annexed to the Convention, the amount of the periodical payments prescribed in Articles 13, 14 and 18 of the Convention must correspond for a standard beneficiary to a minimum level (60 per cent for temporary incapacity benefit paid to a standard beneficiary (man with a wife and two children); 60 per cent for permanent incapacity benefit paid to a standard beneficiary (man with a wife and two children); 50 per cent for survivor's benefits paid to a standard beneficiary (widow with two children). In order to determine the minimum level of benefits, two formulas intended to be adapted to the practice in various countries are available to Government's in Articles 19 and 20 of the Convention. The formula envisaged in Article 19 is intended to take into account protection schemes under which the benefits are calculated on the basis of the former earnings of beneficiaries or their family breadwinner. However, if, as is the case in Bolivia, there is a ceiling for benefits or for the earnings that are taken into account in their calculation, the percentage required by the Convention must be reached for a standard beneficiary whose earnings (or the earnings of his family breadwinner) are equivalent to the wage of a skilled manual male employee (Article 19, paragraph 2). On the other hand, the formula established in Article 20 takes into account protection schemes that provide flat-rate benefits, although it can also be used in cases where the benefits provided in respect of employment injuries may not be less than a prescribed minimum. Furthermore, both Article 19 and Article 20 take into account, when assessing whether the percentage required by the Convention has been met, of family allowances payable during employment or during the contingency (Article 19, paragraph 1, and Article 20, paragraph 1). The information called for in Articles 19 and 20 therefore has the sole aim of enabling a comparison to be made between the level of benefits provided under national legislation and the minimum level set forth by the Convention. In these conditions, the Committee once again requests the Government to indicate: (a) the maximum and minimum cash benefits granted in cases of temporary incapacity, permanent total incapacity and death to a standard beneficiary as prescribed by the Convention; (b) the family allowances paid, if any, to a standard beneficiary during the eventuality; (c) the wage of a skilled manual male employee determined according to Article 19, paragraph 6, of the Convention (if the Government intends to have recourse to this provision in calculating the benefits) or the wage of an ordinary adult male labourer determined in accordance with paragraph 4 or 5 of Article 20 (if the Government intends to have recourse to this provision in calculating benefits), and (d) the amount of family allowances, if any, which are granted during employment to a worker with a wife and two children.

Article 21. The Committee would also be grateful if the Government would supply in its forthcoming reports the information called for under this Article of the Convention by the report form adopted by the Governing Body concerning the adjustment of the benefits envisaged under Articles 14 and 18 of the Convention as a result of substantial changes in the cost of living.

Direct Request (CEACR) - adopted 1991, published 78th ILC session (1991)

The Committee notes with regret that for the third consecutive year the Government's report has not been received. It hopes that a report will be supplied for examination by the Committee at its next session and that it will contain full information on the matters raised in its previous direct request, which read as follows:

I. 1. Article 6 of the Convention (in conjunction with Articles 10, 11, 17, 18, 23 and 24). The Committee requested the Government to supply detailed information on the supplementary non-compulsory social security scheme to which it referred with regard to the application of Parts II, III and IV of the Convention. The Committee also noted the information supplied by the Government to the effect that at present all sectors included in the Bolivian social security scheme are covered by the supplementary scheme. The Committee would be grateful if the Government would supply, by way of illustration, copies of the by-laws of supplementary social security funds.

2. Part V (Standards to be complied with by periodical payments), Articles 26 and 27 (in conjunction with Articles 10, 17 and 23). In its previous comments, the Committee requested the Government to supply certain statistics in order to enable it to assess whether the level of periodical benefits covered by Articles 10, 17 and 23 of the Convention corresponds to the percentage prescribed by the Schedule appended to Part V. As this information has not been supplied, the Committee once again requests the Government to indicate:

(a) if the Government wishes to have recourse to Article 26:

(i) the wage of a skilled manual male employee, selected in conformity with paragraph 6;

(ii) for each of the benefits covered by Articles 10, 17 and 23, the amount of the benefit, including the amount paid by the supplementary scheme, for a standard beneficiary (that is, a man with a spouse and two children, in the event of invalidity; a man with a spouse of pensionable age, in the event of old age; a widow with two children in the event of the death of the bread-winner), when the wage of this beneficiary or (in the event of his death) of his family bread-winner is equivalent to the wage of a skilled male manual employee;

(b) if the Government wishes to have recourse to Article 27, in so far as understanding that old-age, invalidity and survivors' benefits are not less than a prescribed minimum amount:

(i) the wage of an ordinary adult male labourer, selected in accordance with paragraph 4 of Article 27;

(ii) for each of the benefits covered by Articles 10, 17 and 23, the minimum amount of benefit, including the amount paid by the complementary scheme for a standard beneficiary (that is: a man with a spouse and two children, in the event of invalidity; a man with a spouse of pensionable age, in the event of old age; a widow with two children in the event of the death of the bread-winner).

3. Article 29. The Committee would also be grateful if the Government would supply, in future reports, information concerning the review of the rates of periodical benefits currently payable under Articles 10, 17 and 23, of the Convention following substantial changes in the cost of living.

The Committee has also been informed that a new draft Social Security Code has been prepared and is in the course of being adopted. It also notes that this draft provides for the review of the basic level of pensions and their automatic readjustment in the event of increases in wages and prices. The Committee hopes that this new Code will be adopted in the near future and that the Government will be able to supply the information that is requested in this respect in its next report and indicate the progress achieved with regard to the adoption of the Code.

Direct Request (CEACR) - adopted 1991, published 78th ILC session (1991)

The Committee notes that the Government's report has not been received. It hopes that a report will be supplied for examination by the Committee at its next session and that it will contain full information on the matters raised in its previous direct request, which read as follows:

Article 16, paragraphs 1 and 3, of the Convention. In its previous comments, the Committee, while noting the statement of the Government that it will take into account the Committee's comments when formulating the new Social Security Code, had requested the Government to adopt, without prejudice to the announced reforms, the necessary measures to give full effect to Article 16, paragraphs 1 and 3. In accordance with these provisions, medical care should be provided throughout the contingency (paragraph 1 of Article 16) and this period should be extended for prescribed diseases recognised as entailing prolonged care, in the prescribed circumstances (paragraph 3 of Article 16) when the beneficiary ceases to belong to a category of protected persons. No information to this effect being contained in the Government's report, the Committee hopes that the Government will not fail to indicate in its next report any measures taken or envisaged to ensure the application of the Convention on the above-mentioned points.

Article 21 (in relation with Article 22). In response to the Committee's previous comments, the Government states that ordinary sickness benefits are calculated on the basis of the wage on which contribution is levied without considering whether the wage corresponds to that of a skilled employee or an ordinary labourer; for this reason, neither the Institute nor the social insurance management bodies keeps statistics on the question. The Committee wishes to draw the Government's attention to the fact that, according to Articles 21 to 23, the amount of sickness benefit must correspond for a standard beneficiary (a man having a wife and two children) to a minimum level (60 per cent). To determine this minimum level several formulas, intended to meet the practice of different countries, are offered to governments under Articles 22 to 24. The formula prescribed by Article 22 is precisely designed to take account of the system of protection which, like the Bolivian social security systems, provides for benefits calculated on the basis of previous earnings of the beneficiary. However, if, as in the case of Bolivia (see section 28 of Legislative Decree No. 13214 of 24 December 1975 and section 81 of the Social Security Code as amended), a maximum is prescribed for the amount of benefits or for the earnings taken into account for their calculation, the 60 per cent required by the Convention must be reached for a standard beneficiary whose earnings are equal to the wage of a skilled manual male employee (Article 22, paragraph 3). The information required by Article 22 and, in particular, that relating to the wage of a skilled manual male employee, has no other objective than to permit the comparison of the amount of benefits paid under national legislation with the minimum amount prescribed by the Convention. Under these circumstances, the Committee hopes that the Government will be able to take the necessary measures in order to provide the information on the wage of a skilled manual male employee, determined according to paragraphs 6 and 7 of Article 22, and that it will also be able to submit with its next report information on the amount of family benefits paid during the period under consideration, during employment as well as during the contingency, and the maximum limit of the wage on which contribution may be levied. In this regard, the Committee takes the opportunity to draw to the attention of the Government the possibility of seeking the technical assistance of the ILO regional adviser on social security for Latin America.

Article 26, paragraph 1. The Government states in its report that, in accordance with Legislative Decree No. 10173 of 28 March 1972, the grant of medical benefits to persons suffering from tuberculosis can be extended up to a period of 26 extra weeks, in addition to the 52 recognised by the Social Security Code and that, according to section 36 of this Code, sickness benefit is paid throughout the period of medical care. While taking note of this information, the Committee must draw the attention of the Government to the fact that, according to section 30 of Legislative Decree No. 13214 of 24 December 1975 reforming the Bolivian system of social security, sickness benefit is payable for 26 weeks which may be extended for an equal period if this prolongation makes it possible to avoid permanent incapacity. The extension of the payment of the benefit to 52 weeks is therefore not assured in all cases but only in those cases where the extension makes it possible to avoid permanent incapacity. Such a condition is not authorised by Article 26 of the Convention, which prescribes that sickness benefits must be granted throughout the contingency, although the grant of the benefit may be limited to 52 weeks in each case of incapacity. The Committee would therefore be grateful if the Government would indicate the measures taken or envisaged to bring section 30 of Legislative Decree No. 13214 of 1975 into conformity with this provision of the Convention. The Committee also takes this opportunity to suggest resort to the technical assistance of the regional adviser for social security in order to find a suitable solution to this question.

Observation (CEACR) - adopted 1991, published 78th ILC session (1991)

The Committee notes with regret that for the third consecutive year the Government's report has not been received. It hopes that a report will be supplied for examination by the Committee at its next session and that it will contain full information on the matters raised in a new direct request.

Direct Request (CEACR) - adopted 1990, published 77th ILC session (1990)

The Committee notes that the Government's report has not been received. It hopes that a report will be supplied for examination by the Committee at its next session and that it will contain full information on matters raised in its previous direct request, which read as follows:

Article 5 of the Convention. The Committee notes from the information supplied in the Government's report that the total number of employers is 602,000, of whom 367,608 are protected by compulsory social insurance. Since the Government has availed itself of the temporary exception provided for in Article 5 of the Convention the Committee wishes to point out that, in order to be in a position to assess whether the requirements set out in this provision of the Convention are fulfilled, it is also necessary to know the total number of employees in industrial undertakings. It therefore hopes that the Government will be able to supply in its next report not only statistics for the total number of wage earners protected, but also the number of employees in industrial undertakings, as defined in Article 1(c).

Article 7. The Government once again states that there is no express provision concerning commuting accidents but that they are considered to be employment injuries for the purposes of insurance by applying case-law and the general principles of justice and equity. In these circumstances, the Committee requests the Government to supply with its next report examples of case-law in this respect.

Article 8. In reply to the previous comments of the Committee, the Government states that section 2 of Supreme Decree No. 14228 of 23 December 1976, which includes the occupational diseases listed in Schedule I of the Convention in those provided for by the Social Security Code, has been brought to the knowledge of the parties concerned (National Social Security Fund, employers, workers, magistrates, etc.) by means of the national press, the publication of the Decree in the Official Journal and specific circulars to management bodies, so that, under section 2 of the above Decree, the occupational diseases listed in Schedule I of the Convention are now considered as such. The Committee notes this information with interest. It would be grateful if the Government would transmit a copy of the text of the circulars sent to the administrative organisations. Furthermore, in order to avoid any risk that the circles concerned may be confused about the content of the legislation in this respect, the Committee considers that it would be desirable, on the occasion of the a forthcoming revision or edition of the Social Security Code, to publish and up-to-date list of the occupational diseases and the activities liable to cause them, in accordance with Schedule I annexed to the Convention.

Article 9, paragraph 3. The Government states in its reply that section 11 of Decree No. 14643 of 1977 - under which persons suffering from a chronic disease and who are no longer entitled to hospital, medical and pharmaceutical care in social security centres are transferred to specialised centres run by the Ministry for Social Welfare and Public Health - is also applicable to workers handicapped as a result of an industrial accident or an occupational disease and who are no longer entitled to medical assistance provided under social security. It adds that the medical care provided in the specialised centres run by the Ministry for Social Welfare and Public Health is identical to the care provided in social security centres. The Committee notes this information with interest. It would be grateful if the Government would supply the texts of any law or regulations specifying the type of medical care provided in the specialised centres run by the Ministry for Social Welfare and Public Health, and, where appropriate, the conditions that must be fulfilled by the persons concerned in order to benefit from such care.

Articles 13, 14 and 18 (in conjunction with Articles 19 and 20). (a) Regarding benefits in respect of temporary incapacity, the Committee notes with interest the Government's statement to the effect that, under Supreme Decree No. 20-991 of 1 August 1985, the benefits for temporary incapacity provided in the event of employment injuries is equivalent to 90 per cent of the proportion of the wage earned by the insured at the commencement of incapacity that was subject to contributions. The Committee would be grateful if the Government would transmit a copy of this Decree.

(b) Furthermore, the Government states that in accordance with the Act that is currently in force, periodical payments are calculated on the basis of the wage that is subject to contributions, without taking into account whether the wage correspond to that of a skilled employee or a labourer, and that family allowances are not taken into account when determining the percentage of the periodical payment awarded to the worker or his dependents. In this connection, the Committee wishes to draw the Government's attention to the fact that, in accordance with Schedule II annexed to the Convention, the amount of the periodical payments prescribed in Articles 13, 14 and 18 of the Convention must correspond for a standard beneficiary to a minimum level (60 per cent for temporary incapacity benefit paid to a standard beneficiary (man with a wife and two children); 60 per cent for permanent incapacity benefit paid to a standard beneficiary (man with a wife and two children); 50 per cent for survivor's benefits paid to a standard beneficiary (widow with two children). In order to determine the minimum level of benefits, two formulas intended to be adapted to the practice in various countries are available to Government's in Articles 19 and 20 of the Convention. The formula envisaged in Article 19 is intended to take into account protection schemes under which the benefits are calculated on the basis of the former earnings of beneficiaries or their family breadwinner. However, if, as is the case in Bolivia, there is a ceiling for benefits or for the earnings that are taken into account in their calculation, the percentage required by the Convention must be reached for a standard beneficiary whose earnings (or the earnings of his family breadwinner) are equivalent to the wage of a skilled manual male employee (Article 19, paragraph 2). On the other hand, the formula established in Article 20 takes into account protection schemes that provide flat-rate benefits, although it can also be used in cases where the benefits provided in respect of employment injuries may not be less than a prescribed minimum. Furthermore, both Article 19 and Article 20 take into account, when assessing whether the percentage required by the Convention has been met, of family allowances payable during employment or during the contingency (Article 19, paragraph 1, and Article 20, paragraph 1). The information called for in Articles 19 and 20 therefore has the sole aim of enabling a comparison to be made between the level of benefits provided under national legislation and the minimum level set forth by the Convention. In these conditions, the Committee once again requests the Government to indicate: (a) the maximum and minimum cash benefits granted in cases of temporary incapacity, permanent total incapacity and death to a standard beneficiary as prescribed by the Convention; (b) the family allowances paid, if any, to a standard beneficiary during the eventuality; (c) the wage of a skilled manual male employee determined according to Article 19, paragraph 6, of the Convention (if the Government intends to have recourse to this provision in calculating the benefits) or the wage of an ordinary adult male labourer determined in accordance with paragraph 4 or 5 of Article 20 (if the Government intends to have recourse to this provision in calculating benefits), and (d) the amount of family allowances, if any, which are granted during employment to a worker with a wife and two children.

Article 21. The Committee would also be grateful if the Government would supply in its forthcoming reports the information called for under this Article of the Convention by the report form adopted by the Governing Body concerning the adjustment of the benefits envisaged under Articles 14 and 18 of the Convention as a result of substantial changes in the cost of living.

Direct Request (CEACR) - adopted 1990, published 77th ILC session (1990)

The Committee notes with regret that the Government's report has not been received for the second year consecutively. It hopes that a report will be supplied for examination by the Committee at its next session and that it will contain full information on the matters raised in its previous direct request, which read as follows:

I. 1. Article 6 of the Convention (in conjunction with Articles 10, 11, 17, 18, 23 and 24). The Committee requested the Government to supply detailed information on the supplementary non-compulsory social security scheme to which it referred with regard to the application of Parts II, III and IV of the Convention. The Committee also noted the information supplied by the Government to the effect that at present all sectors included in the Bolivian social security scheme are covered by the supplementary scheme. The Committee would be grateful if the Government would supply, by way of illustration, copies of the by-laws of supplementary social security funds.

2. Part V (Standards to be complied with by periodical payments), Articles 26 and 27 (in conjunction with Articles 10, 17 and 23). In its previous comments, the Committee requested the Government to supply certain statistics in order to enable it to assess whether the level of periodical benefits covered by Articles 10, 17 and 23 of the Convention corresponds to the percentage prescribed by the Schedule appended to Part V. As this information has not been supplied, the Committee once again requests the Government to indicate:

(a) if the Government wishes to have recourse to Article 26:

(i) the wage of a skilled manual male employee, selected in conformity with paragraph 6;

(ii) for each of the benefits covered by Articles 10, 17 and 23, the amount of the benefit, including the amount paid by the supplementary scheme, for a standard beneficiary (that is, a man with a spouse and two children, in the event of invalidity; a man with a spouse of pensionable age, in the event of old age; a widow with two children in the event of the death of the bread-winner), when the wage of this beneficiary or (in the event of his death) of his family bread-winner is equivalent to the wage of a skilled male manual employee;

(b)if the Government wishes to have recourse to Article 27, in so far as understanding that old-age, invalidity and survivors' benefits are not less than a prescribed minimum amount:

(i) the wage of an ordinary adult male labourer, selected in accordance with paragraph 4 of Article 27;

(ii)for each of the benefits covered by Articles 10, 17 and 23, the minimum amount of benefit, including the amount paid by the complementary scheme for a standard beneficiary (that is: a man with a spouse and two children, in the event of invalidity; a man with a spouse of pensionable age, in the event of old age; a widow with two children in the event of the death of the bread-winner).

3. Article 29. The Committee would also be grateful if the Government would supply, in future reports, information concerning the review of the rates of periodical benefits currently payable under Articles 10, 17 and 23, of the Convention following substantial changes in the cost of living.

II. The Committee has also been informed that a new draft Social Security Code has been prepared and is in the course of being adopted. It also notes that this draft provides for the review of the basic level of pensions and their automatic readjustment in the event of increases in wages and prices. The Committee hopes that this new Code will be adopted in the near future and that the Government will be able to supply the information that is requested in this respect in its next report and indicate the progress achieved with regard to the adoption of the Code.

Direct Request (CEACR) - adopted 1989, published 76th ILC session (1989)

1. The Committee takes note of the Government's reply to its previous comments and notes in particular the information concerning the following provisions of the Convention: Part XIII (Common provisions), Article 69, and Part XIV (Miscellaneous provisions), Article 76 (in conjunction with Article 50) (Maternity benefit).

2. Part XIV (Miscellaneous provisions), Article 76 (in conjunction with Article 44) (Family benefit). The Committee had also requested the Government to supply the statistical data required by the report form on the Convention under Article 44, so that it could ascertain whether the total value of family benefits attained the percentage prescribed by this Article.

In its reply, the Government refers to the provisions of Supreme Decree No. 21.637 of 25 June 1987 issuing the regulations of Act No. 0924, which introduces certain important innovations to the family allowances scheme. The Committee takes note with interest of these improvements. However, it again asks the Government to indicate in its next report: (i) the total value (in Bolivian pesos) of family benefits, in both cash and kind, granted during the period covered by the report to the children of persons protected; (ii) the total number of children of all protected persons under the family allowances scheme (or the total number of children of all residents); (iii) the amount of the wage of an ordinary adult male labourer as established during the period covered by the report. (Please select the ordinary adult male labourer according to the rules laid down by Article 66, paragraphs 4 and 5, of the Convention.)

The Committee hopes that the Government will not fail to provide the above-mentioned statistical data.

Direct Request (CEACR) - adopted 1988, published 75th ILC session (1988)

1. Article 6 of the Convention (grant of family allowances in respect of children resident abroad). The Committee notes with interest that family allowances in respect of children resident abroad are paid by the employer to the father or mother working and residing in Bolivia. The Committee hopes that the Government will give statutory effect to this practice in accordance with the Convention.

2. Articles 7 and 11. The Committee notes that the rights acquired under the Bolivian social security scheme continue to apply even if the worker leaves the country. The Committee requests the Government to provide information on any other measures adopted with a view to participating with other Members concerned in a scheme for the maintenance of acquired rights and rights in course of acquisition.

3. The Committee again requests the Government to provide information on the practical effect given to the Convention, in accordance with Point V of the report form adopted by the Governing Body.

Direct Request (CEACR) - adopted 1987, published 74th ILC session (1987)

Article 16, paragraphs 1 and 3, of the Convention. In its previous comments, the Committee, while noting the statement of the Government that it will take into account the Committee's comments when formulating the new Social Security Code, had requested the Government to adopt, without prejudice to the announced reforms, the necessary measures to give full effect to Article 16, paragraphs 1 and 3. In accordance with these provisions, medical care should be provided throughout the contingency (paragraph 1 of Article 16) and this period should be extended for prescribed diseases recognised as entailing prolonged care, in the prescribed circumstances (paragraph 3 of Article 16) when the beneficiary ceases to belong to a category of protected persons. No information to this effect being contained in the Government's report, the Committee hopes that the Government will not fail to indicate in its next report any measures taken or envisaged to ensure the application of the Convention on the above-mentioned points.

Article 21 (in relation with Article 22). In response to the Committee's previous comments, the Government states that ordinary sickness benefits are calculated on the basis of the wage on which contribution is levied without considering whether the wage corresponds to that of a skilled employee or an ordinary labourer; for this reason, neither the Institute nor the social insurance management bodies keeps statistics on the question. The Committee wishes to draw the Government's attention to the fact that, according to Articles 21 to 23, the amount of sickness benefit must correspond for a standard beneficiary (a man having a wife and two children) to a minimum level (60 per cent). To determine this minimum level several formulas, intended to meet the practice of different countries, are offered to governments under Articles 22 to 24. The formula prescribed by Article 22 is precisely designed to take account of the system of protection which, like the Bolivian social security systems, provides for benefits calculated on the basis of previous earnings of the beneficiary. However, if, as in the case of Bolivia (see section 28 of Legislative Decree No. 13214 of 24 December 1975 and section 81 of the Social Security Code as amended), a maximum is prescribed for the amount of benefits or for the earnings taken into account for their calculation, the 60 per cent required by the Convention must be reached for a standard beneficiary whose earnings are equal to the wage of a skilled manual male employee (Article 22, paragraph 3). The information required by Article 22 and, in particular, that relating to the wage of a skilled manual male employee, has no other objective than to permit the comparison of the amount of benefits paid under national legislation with the minimum amount prescribed by the Convention. Under these circumstances, the Committee hopes that the Government will be able to take the necessary measures in order to provide the information on the wage of a skilled manual male employee, determined according to paragraphs 6 and 7 of Article 22, and that it will also be able to submit with its next report information on the amount of family benefits paid during the period under consideration, during employment as well as during the contingency, and the maximum limit of the wage on which contribution may be levied. In this regard, the Committee takes the opportunity to draw to the attention of the Government the possibility of seeking the technical assistance of the ILO regional adviser on social security for Latin America.

Article 26, paragraph 1. The Government states in its report that, in accordance with Legislative Decree No. 10173 of 28 March 1972, the grant of medical benefits to persons suffering from tuberculosis can be extended up to a period of 26 extra weeks, in addition to the 52 recognised by the Social Security Code and that, according to section 36 of this Code, sickness benefit is paid throughout the period of medical care. While taking note of this information, the Committee must draw the attention of the Government to the fact that, according to section 30 of Legislative Decree No. 13214 of 24 December 1975 reforming the Bolivian system of social security, sickness benefit is payable for 26 weeks which may be extended for an equal period if this prolongation makes it possible to avoid permanent incapacity. The extension of the payment of the benefit to 52 weeks is therefore not assured in all cases but only in those cases where the extension makes it possible to avoid permanent incapacity. Such a condition is not authorised by Article 26 of the Convention, which prescribes that sickness benefits must be granted throughout the contingency, although the grant of the benefit may be limited to 52 weeks in each case of incapacity. The Committee would therefore be grateful if the Government would indicate the measures taken or envisaged to bring section 30 of Legislative Decree No. 13214 of 1975 into conformity with this provision of the Convention. The Committee also takes this opportunity to suggest resort to the technical assistance of the regional adviser for social security in order to find a suitable solution to this question.