The Potential Role of Social
Quality in an Ageing Malaysian
Society
Sharifah Norazizan Syed Abd Rashid, PhD
Institute of Gerontology
Universiti Putra Malaysia
MALAYSIA
sharifah@putra.upm.edu.my
Outline of Presentation
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Aim of Presentation
Profile of Malaysia’s Ageing
Population-the Context
Policy Responses and achievements
Assessing the availability of social
quality indicators in Malaysia – based
on the European SQ Network
Limitations of SQ framework in the
Malaysian context
Profile of Malaysia’s Ageing Population
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Basic Features :
Ageing of the older population (OP)
Malaysia will be aged in the year 2035 when the
proportion of persons aged 60 years and over reaches
the 15% mark.
Feminization of Ageing and Poverty – Double
jeopardy
The sex ratio for the OPs dropped from 108.4 (1970)
to 88.3 (2000)
Ethnic Variations in ageing
Ageing is serious among the chinese. In 2020, 14.4%
Cont…
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Higher Degree of Rural Ageing
Ageing is more pronounced in rural areas because of
migration. In 1991, rate of growth of ageing
population in rural areas (6.5%) and urban areas
(5.3%). Implications on facilities and services?
The old-old is increasing
In 2020, the old-old (those aged 75+) is expected to
increase.
Explosive growth of older persons in absolute
numbers pose greater demands on state resources
especially the poorer states. Can these states cope
with the rising demands?
Cont…
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Speed of ageing
In 2005 (7% OPs) and in 2028 (14% OPs)
Doubled aged population in only 23 years
Fast speed of ageing poses serious problems because
Malaysia is becoming old before she is rich!
Dependency Ratios (DR)
Increase in youth DR and a decrease in old age DR ie
from 10.5 (1970) to 15.7 (2020)
Declining support ratio indicates declining tax base
The Evolving Scenario and the
Challenges
Challenges – Social Areas (Family)
Facts:
• The Malaysian 1994 Population Family Survey
shows that nuclear families form majority of
households (60%).
• Co residence between adult children and their
ageing parents might no longer be a norm –
implies the need to plan for ageing in place
and care in the community
• More older women are staying alone – effects
of the feminization of old age (Women living
alone)
Cont…
• Late marriages
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Family shrinking in size
Intergenerational transfer patterns in
Malaysia is still very much a traditional
structure, with strong emphasis on sons over
daughters and the centrality of children in
social support. This however will not last due
to changing family structures and norms.
The change in living arrangements and the
dependence of older persons – implications on
the social support
Challenges - Economics
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Many do not have pensions or employee
provident funds.
Issues of dependency and income adequacy
in old age are important to protect the well
being of older persons.
The need to work to address income
adequacy among the OP (currently, in 2000,
22.8% are employed)
Financial Security
Malaysia has several security programs for various
types of workers, and the two main programs are:
1.
2.
Employees Provident Fund (EPF) – a mandatory
retirement savings scheme for the private sector,
permitting pre-retirement withdrawals for housing
and health care….computers too.
Pension Scheme – a non contributory social security
scheme for govt employees. Designed for security
for old age. After 10 years of service, gratuity
benefits can be withdrawn and then frozen until
retirement. Government pensions are taxable if
taken at age 50 but not 56.
Income Provisions for
Elderly Malaysians
Caraher, K. (2000, p.2) concluded:
1.Lump sum payments do not represent the best
option for income security into old age
2.Increased accessibility to funds prior to
retirement, through dedicated separate
accounts, lessens the ability of the EPF to act
as a reliable source of income for the elderly
3.Current arrangements are inadequate to meet
the needs of an increasingly elderly population
and thus leaves them more vulnerable to the
socially exclusive aspects of poverty in old age
Aged income security
• Majority of aged are not employed in
the formal sector and need some form
of income security in old age
• Dependent on children, but children may
not be available
• How much is adequate?
• Many are living in poverty
• No scheme to help the informal sector
aged
Challenges - Social care
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Care of the old-old
Social capital
Community care
Availability of family members
Housing alternatives
Integrated care
Challenges - Health care
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Cost of care
Readiness of care system to adapt
to change
Long term care
Care of the old-old
Disability free life expectancy
Other Challenges - some example
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Social inclusion
versus exclusion
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Home bound among
the OPs
Lack of involvement
and participation
Accessibility
Empowerment
Policy Response
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Social Policy (SP)
Social Welfare Policy (SWP)
National Policy for the Elderly (NPE)
Social Policy in Malaysia
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Evolved within the context of political and
economic stability and have remained integral
components of overall national development
strategies
1969 ethnic unrest has led to the adoption of a
new development policy incorporating growth
with equity which had an impact on social
policy.
The new development policy (in 1970) was
cemented in the form of the New Economic
Policy (NEP) with the goal to achieve national
unity and not economic growth.
NEP incorporated two prong strategies ie
firstly the eradication of poverty, and
secondly the restructuring of Malaysian
society irrespective of race
Features of Social Policy in Malaysia
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A conducive environment of economic and political
stability
A strong government and a public sector
committed to improve the welfare and well being
of all Malaysians and of particular groups of
people ie the women, youth, children, elderly,
disabled and ethnic minorities.
Incorporates objectives and strategies that
address a number of social concerns and problems
which include health, education, training, housing,
unemployment, poverty and income disparity,
ethnic and community relations and family
violence.
Table 1 : Welfare Regimes in East Asia :
Summary Indicators
Korea
Malaysia
Thailand
Philippins Indonesi
Av
State
Social
Spending/GDP
11.0
8.2
5.9
6.0
3.1
6.8
Market
Private finance
in health and
education as a
percentage
5
36
53
66
58
53
Househ
old
Private transfers
% income
4
11
-
12
10
9
Welfare HDI
Outcom Poverty rate
es
Gini index of
inequality
.85
.36
.77
22
.8
.5
2
.6
.7
63
.3
.68
50
.37
.76
40
.42
Basic
data
46
12.3
22
7.0
61
5.8
75
3.5
204
2.8
408
6.2
Population (m)
Income $000
Where Malaysia stands…
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Malaysia allocated 8% of its total spending
on education, health and social security
Malaysia is one of the best performers in
access to basic and preventive health care
Roemer (1991) classified Malaysian health
care systems as welfare oriented
Malaysia recorded very high (11%) on level
of saving
Strong state provisions and investments
largely in primary education and basic health
services
Social protection is minimal
Family transfers and provisions remain
crucial
A Summary of Indicators for Social Policy
Public Expenditure
%GDP
Total government revenue
•Total government expenditure
•Education,
•Health
•Social security
•Total education, health, social security
•Total social services %total government
expenditure
•
Education
•
Net enrollment ratio
•Secondary
•Tertiary
•Av years of study
Health care systems
•
National Health service
•Rural health service
•Provident fund (EPF account 3)
A Summary of Indicators for Social Policy
Under 5 mortality rate
•Life expectancy (yrs) at birth (male,female)
•Maternal mortality rate per 1000
•Doctors/1000 pop
•Nurses/1000 pop
•Hospital beds/1000 pop
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Health
Retirement Programmes
Social assistance programme
•EPF
•Civil servants and company schemes (lump
sums)
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A Summary of Indicators for Social Policy
Household transfers
Poverty
% households receiving private transfers
•Average % of income of receiving households
•Persons over 60 yearsliving with children or
family (%)
•
Incidence of poverty %
No of poor households (thousands)
Incidence of hardcore poverty %
Total households (thousands)
Social Policy – a Summary
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Social Policy designed to serve a segment of
groups or problem groups ie the older
population, failing to create a social system
with a sustainable welfare content
In terms of the indicators used, the
tendency to use objective indicators ie the
usual official statistics
The concerns of social policy are firstly to
address the socio economic security of the
population and secondly to address the issue
about unity and equity. However, the
indicators used are not addressing the latter.
Social policy is subordinated to economics
and the pursuit of economic growth.
National Welfare Policy in Malaysia (NWP)
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In Malaysia, the term welfare often
denotes ‘state hand outs’ or charity.
Formulated in 1990 with ultimate
objectives of ensuring a secure and stable
society in line with Malaysian 2020 to be a
fully developed nation.
Emphasises on enhancing well being and
social stability and the establishment of a
Caring Society
The guiding principle of the policy is the
attainment of self reliance and an
equalization of opportunities for the less
fortunate.
Provisions made by the NWP
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Provide federal assistance schemes for the
older persons (BOT)
Complemented with state welfare or zakat
money
Maintains and supports 130 old folks homes
and 9 state run shelters, day care centers
Tax relief in 1992 for adult offsprings for
the medical expenses incurred by ageing
parents
The medical benefits enjoyed by civil
servants are now extended to include their
parents
A Summary of the NWP
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Situation of the older persons is formally
addressed by related govt agencies but its
approach is still very welfare based
The prevalent image of the elderly is one that
of dependency, misery and vulnerability.
National policy for the Elderly (NPE)
Policy statement
To ensure that the social status, dignity
and well being of the elderly as members
of the family, society and nation by
enabling them to optimise their self
potential, have access to all opportunities
and have provision for their care and
protection
NPE Objectives
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To enhance the respect and dignity of the
elderly in their family, society and nation
To improve the potential of the elderly so
that they continue to be active and
productive in national development, and to
create opportunities to assist them to
continue to be self reliant
Encourage the establishment and
availability of specific facilities to ensure
the care and protection of the elderly
towards enhancing their well being
Policy Analysis - Some Criticisms
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Absence of clear performance indicators in its
action plan
Most of the programs and activities are carried
out in isolation and the usual departmental
boundaries are highly visible
The adoption of the Resolution 46/91 ie the UN
principles for the older persons which was the
catalyst to the NPE did not fundamentally
changed the welfare oriented approach of the
administration.
Older persons are still regarded as passive
recipients of social work rather than subjects of
empowerment.
NPE is a loose non interventive and low impact
entity with a broad focus that is largely
undirected.
Assessing the Availability of
Indicators of Social Quality in
Malaysia
Socio Economic Security
Domains
Sub Domains
Social Indicators
Social Indicators for
Older Persons
Income
Sufficiency
-
The average monthly
consumption expenditure
of household in Malaysia
(RM1953 per month)
- Food and non
alcoholic beverages :RM
393
- Clothing and
footwear : RM59
-Health : RM27
-Housing, water,
electricity, gas and other
fuel : RM430
(DOS, Household Exp
Survey 2004/05)
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Financial
Resources
Income
Security
Sources of own
annual income of
older persons
- Expenditure and
number of older
persons receiving
government
allocation financial
aid (Dept of Soc
Welfare)
- Intergenerational
transfer
- The total number
of elderly aid
recipients under the
Elderly Support
Domains
Sub
Domains
Housing •Housing
security
and the
environm
•Housing
ent
Social Indicators
-Proportion of people who
have certainty of keeping
their home (DOS)
-Average number of person
per occupied housing unit
conditions
4.7
Proportion of population
•Environment
al conditions living in houses with lack of
functioning basic amenities
(social and
(water, sanitation and
natural)
energy)
-% of housing units with
electricity 97.8%
-Piped water
Older Persons
-Living arrangements
Av household size and rate
of household types by
stratum for urban and
rural areas (DOSM)
-Causes of falls among
older persons in their
home environment
-Status of poverty from
the perspectives of
housing conditions
(Housing Survey)
Proportion of older
persons living in houses
without basic amenities
Domains
Sub domains
Social Indicators
Older Persons
-People affected by
criminal offences per
10,000 inhabitants (6.2
cases)
-Quality of the environment
index :98.22 based on air,
water quality and forested
land)
(DOS, Pop and Housing
Census, Malaysian Quality
of Life Survey)
Health and
care
Security of
health provisions
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Health services
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Care services
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-Proportion of medical
doctors per 10,000
inhabitants
-Average distance to
hospitals/health care
centers/clinics
(accessibility)
- Functional status
of older Malaysians
(MOH)
-% distribution of
main causes of death
among older persons
(MOH)
Domain
Work
Sub Domain
Employment
security
•
Working
conditions
•
Education
Security of
education
Quality of
education
Social Indicators
Indicators for the
Older Persons
-No of accidents (fatal
and non fatal) at work
per 10,000 employed
persons
-Mean hours worked in
Malaysia
Labour Force Survey
Report 2004
-% distribution of employed
persons by occupation and
age group (DOSM)Employment status among
older male and female
-Proportion of pupils
-%tage education levels of
leaving school education Older persons (DOSM)
without finishing
compulsory education
-Proportion of students
who within a year of
leaving school with or
without certificate are
able to find
employment.
Contd on education
-Workforce without formal
education (4.7%)
-School participation rates and
higher education participation
rates
-Percentage of population
literate (Literacy rate 94%)
Indicators of Social Inclusion
Citizensh •Constitutio -Proportion of residents with
ip rights nal/politica citizenship-Proportion having
l rights
rights to vote in local
elections and proportion
exercising it.Based on census
Access to
paid
employmen
t
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Labour
market
-% distribution of labour
force by age, sex, educational
attainment
-% distributions of employed
persons by age groups
-% distributions of
unemployed persons by age
group
-% distribution of employed
persons by occupation and age
groups
-% distribution of labour
force by age, sex,
educational attainment
-% distributions of
employed persons by age
groups
-% distributions of
unemployed persons by age
group
-% distribution of
employed persons by
occupation and age groups
Indicators of Social Inclusion
Domains
Sub Domains
Social Indicators
Indicators for Older
Persons
Transport
•Education
•Health
•Services
•Civic/Cultural
services
-Proportion of population
who have access to public
transport system
-Density of public
transport system and
road density
-No of public sport
facilities per 10,000
inhabitants
-No of public, private
civic and cultural
facilities per 10,000
inhabitants
* some of the indicators
overlapped in the socio
-Number and
percentage per age
group of older persons
who have mental health
problems-Total number
of RSK’s, daily care
centers,
•
Services
economic security domain
Indicators of Social Cohesion
Domains
Social
Networks
Sub Domains
Networks
•
Social Indicators
Indicators for
Older Persons
-Membership to
political, voluntary,
-membership or
involvement in
organizations/activitie
charitable organisations
s by age and sex
-Types of voluntary
work involvement by
age, ethnicity and sex,
Indicators of Social Empowerment
Domains
Sub Domains
Social Indicators
Knowledge
base
Application
of knowledge
-% own PC
-% internet subscribers
-No of internet users;
internet users per 100
inhabitants
-Estimated PCs per 100
users
(DOS, Malaysia)
-% own PC
-% internet subscribers
-No of internet users;
internet users per 100
inhabitants
-Estimated PCs per 100
users
(DOS, Malaysia)
-% of national and local
budget devoted to
disabled people (mental
-Expenditure and number
of older persons receiving
government allocation
financial aid (Dept of Soc
Welfare)-Recipients of
home-help service
(Central Welfare Council
Malaysia)
Availability
of knowledge
Personal
Provision of
relationship services
s
supporting
physical and
social
indepoendenc
e
and physical
Indicators for Older
Persons
National Policy for the Elderly – A
Summary
Malaysia has 20 out of the 95 social quality
indicators developed by the European
Network on SQ for the various conditional
factors. However, the score was lowest for
the social inclusion, exclusion and
empowerment factors.
Limitations of the SQ Indicators – for
Malaysia
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Malaysia is a multi ethnic society and the SQ indicators
developed have not taken this issue into account, thus
presenting problems on issues like shared identities, norms
and values.
The Malaysian government is aware that resources are
scarce and the respect and relationships between people
and the environment is not reflected in the SQ indicators.
This would contradict with the Malaysian Planning Doctrine
which upholds the three relationships ie Relationships
between Man and his Creator; Relationships between Man
and Man; and lastly Relationships between Man and His
Environment.
contd
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Malaysia has always put the issue about
integration and unity centerstage, but failed to
develop indicators to measure this.
Unity and integration in the Malaysian context
can be achieved via economics ie by
restructuring society irrespective of race.
Indicators must move beyond the standard
official statistics but to focus more on the
four conditional factors of SQ.
Contd…
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The Government’s quest to move beyond
welfare oriented approach towards older
persons will have implications on the potential
role of the SQ approach in Malaysia.
Conclusions
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SQ framework is timely in Malaysia
to address the issue of persistent
inequality and to address the four
conditional factors.
There is the need to develop SQ
indicators to suit Malaysian socio
cultural context.
Thank You
For your kind attention