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Elderly Poverty in Grenada

Elderly Poverty in GrenadaIn many Caribbean countries, including Grenada, aging can mean a loss of income, disability and increased vulnerability to ill health. According to the International Fund for Agricultural Development, approximately 25% of Grenadian citizens live below the poverty line and older adults (65 and above) make up nearly 11% of Grenada’s population.

Elderly poverty in Grenada can be attributed to the difficulty elderly individuals often face in finding employment due to ageism within the workforce, health concerns and varying levels of ability that may prevent them from working. In addition to the risks of unemployment and health concerns, many elderly people in the Caribbean can not afford adequate retirement plans and must rely on support services as income.

However, Grenada’s growing population of older people impacts support services like pensions by limiting its ability to provide aid due to the large number of individuals who must rely on them. Because Grenada is a developing country, social protection systems can only offer minimal assistance to older people, which is not enough to maintain a good standard of living. The amount of financial support that Grenada’s National Insurance Scheme (NIS) can provide is currently struggling to keep up with the number of older adults who qualify for aid.

Limited Access to Health Care

In addition to limited support from pensions and retirement benefits, the elderly in Grenada have limited access to affordable health care services. Because of the lack of access to health care and healthy lifestyle options, some of the leading causes of death among the elderly in the Caribbean are ischaemic heart disease, cerebrovascular disease and diabetes. While primary health care is available to individuals in Grenada, access to specialized care for specific health concerns is disproportionately accessible to those with higher incomes. Medications are subsidized for individuals more than 60 years old in Grenada to address this issue. However, when specific medications are unavailable in the public health system, individuals must pay out of pocket for them in the private sector and those who can not afford them usually go without.

Potential Solutions

With that being said, the NIS proposed solutions to address elderly poverty in Grenada and the challenges they have faced in continuing to provide financial support to elderly citizens. These solutions include gradually increasing the pension age to 65 by 2029 and increasing the contribution rate from 500 to 750 by 2028. While these reforms being made to the pension scheme seem exclusive, the NIS still plans to take care of the Grenadian elderly who do not qualify by offering a government grant. By making these changes, the NIS could continue to support the elderly in Grenada rather than ultimately diminish due to the economic issues associated with a rapidly growing population.

Furthermore, the Economic Commission for Latin America and the Caribbean suggests addressing health care financing, increasing accessibility to specialized health services and limiting out-of-pocket spending would increase accessibility to health care in Grenada. Expanding social health insurance to all workers could also limit out-of-pocket expenses and reduce government expenditures on social welfare by allowing workers’ contributions to fund their own health insurance. Additionally, it would be highly beneficial for non-governmental organizations to advocate for health protection for all citizens of Grenada, especially the elderly.

One nongovernmental organization working to reduce elderly poverty in Grenada is the Grenada Association of Retired Persons (GARP), established in 2010 to offer learning opportunities, social activities and support to elderly individuals in Grenada. In recent years, with the help of other organizations, it has provided food and financial assistance to the elderly.

Final Remark

Since Grenada is a developing country, elderly poverty is caused by various risk factors associated with aging and the government’s limited ability to provide social support services. Individuals aged more than 60 in the nation are among the most vulnerable to poverty, as they must navigate issues associated with aging, such as unemployment, disability, ill health and isolation.

– Elaina Irving

Elaina is based in Raleigh, NC, USA and focuses on World News for The Borgen Project.

Photo: Wikimedia Commons

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Understanding Elderly Poverty in South Africa 

Elderly Poverty in South Africa South Africa, a nation grappling with various tribulations confronts yet another growing challenge: elderly poverty.

The Ageing Index

The rise in the proportion of elderly individuals within the population, referred to as population ageing has become one of the most pertinent issues of the 21st century, affecting nations globally.

The Ageing Index denotes the ratio of individuals aged 60 years and above per 100 individuals less than the age of 15 within a given population. Thus, a higher index signifies a larger proportion of elderly people within a population.

The ageing index in South Africa increased from 30 in 2017, to 33 in 2022, a clear signal of the problem, according to Statistics South Africa. It also reported that in 2022, more than 5 million people were 60 or older. This means that around 9.2% of South Africa’s population comprises the elderly.

Financial Vulnerability

Statistically, one-quarter of all older people could be chronically poor. In addition to this, the University of Natal found that Africans make up almost 90% of chronically poor elderly. This poses a huge threat to the safety and well-being of the elderly population in South Africa. This vulnerability stems from various factors, including inadequate pensions, limited employment opportunities and the burden of supporting extended families.

Root Causes

The elderly in South Africa face a wide range of challenges. Having spent the majority of their lives under an apartheid system, South Africans older than 50 spent their working years under employment restrictions. Thus, one of the main causes of elderly poverty is unemployment. Highly competitive labor markets, without work opportunities for those with poor training and education, serve as a huge hindrance to older workers. Further, limited social protection is another factor that exacerbates elderly poverty in South Africa. The state old age pension system is the only policy in place, however, it is not completely effective due to extended families exploiting the pension, and bureaucratic hurdles. Thus, this policy is unable to help the elderly meet their basic needs, especially in light of rising inflation.

Efforts Towards Alleviation

Efforts to alleviate elderly poverty in South Africa involve various government policies, social programs and initiatives from non-governmental organizations.

The South African government provides social grants to vulnerable groups, including the elderly. The South African Social Security Agency (SASSA) administered The Old Age Pension in 1928, providing financial assistance to elderly citizens who meet certain criteria. By 1958, the percentage of old age people receiving the grant had risen to 60%.

Government and non-profit organizations run elderly care facilities that provide housing, health care and social support to seniors in need. These facilities aim to improve the quality of life for elderly individuals who may be experiencing poverty. These are in the form of – Retirement villages, Residential Care facilities, Communal living and Abbeyfield homes.

Many community organizations run meal delivery programs that provide nutritious meals to elderly individuals who may have difficulty preparing food themselves due to physical limitations or financial constraints. For example, the Meals on Wheels Association of South Africa (MOWASA) delivers meals to the homes of elderly citizens across the country. Doctor Denis Baird founded it in 1964, and its national program currently comprises more than 700 service points.

Financial Literacy and Empowerment Programs

Some community organizations offer financial literacy workshops and empowerment programs specifically focusing on elderly individuals to help them manage their finances, access available benefits and resources and plan for their future. These programs aim to enhance the economic security and independence of elderly citizens. The Ageing with Dignity (AWD) initiative started in 2009 and provides financial literacy training and resources to elderly individuals in underserved communities.  The primary aim is to prevent loss of dignity due to health issues in old age, mainly stemming from the feeling that one is a burden to the family. Under AWD, anybody above the age of 60 years in the Dakulguda cluster of 15 villages can choose to join the club meant for them, by paying an annual subscription of Rs 10. In the AWD program, there are currently 636 members, which is almost the entire elderly population of the program villages.

– Naysa Seth
Photo: Flickr

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Seniors Face Poverty in Slovakia

Poverty in SlovakiaSlovakia’s population has been aging rapidly and the working-age population is expected to shrink in the next 30 years. Many senior adult pensioners in Slovakia and Eastern European countries anticipate retirement. Unfortunately, these “younger old” (aged 65 to 74) Senior Slovakian residents will face financial discrepancies that may affect their future “quality of life.” As the aged population in Slovakia grows, poverty and social exclusion are issues that could sway how seniors utilize their anticipated pension package. Some “older young” seniors extend their retirement by working longer or becoming self-employed (own-account workers) to increase their income. Human health and social work industries are popular areas of employment. At the same time, other pensioners draw from investments to increase their income. Unfortunately, this is not an option for many seniors.

Socioeconomic Situation of Slovakia

Poverty in Slovakia “is not only a matter of lack of money.” The number of persons at risk of poverty rate (AROP), severe material deprivation and the number of people living in households with very low work intensity are indicators Slovakia uses when forming policy measures to increase employment, reduce long-term jobs and reduce poverty and social exclusion.

However, according to the Organization for Economic Cooperation (OECD), about 74% of all pensions are below the monthly minimum wage. This leaves 500,000 (2021 estimate) Slovakian pensioners living below the poverty line. This number increased by 200,000 in 2022. Social, employment, health and education reforms are crucial to offset the pressures poverty places on pensioners. A large number of pensions were established during the mid-20th century.

At that time, life expectancy was shorter: 66 for men and 71 for women. Today, the government needs to support pensioners living in their 80s and 90s. So, considering a rising life expectancy and a declining fertility rate, the old-age dependency ratio is anticipated to increase.

Elderly persons’ poverty and social exclusion degree depend on their cohort (i.e., single adult, married with one child and so on) and the region in which they reside. One-third of older people in Central, Western, Eastern and Bratislava regions experience severe poverty. These areas are poorer because of weak business development, poorly developed infrastructure and lower levels of education.

Social Exclusion vs Dignity

According to the OECD, the Slovak Republic’s poverty rate for people aged more than 65 is between 3% and 4%. The retirement income is less than half the national median household disposable income. Hence, a retirement pension assures the elderly population of Slovakia that they “lack the financial resources and essentials for a minimum standard of living,” in short, “poverty.”

The percentage of people with AROP and social exclusion in December 2023 was 3.8%. The Slovak population’s social exclusion can be observed through health and access to health care, poverty and material deprivation, housing, local environment and interpersonal relations. Some senior adults who are unemployed, have limited education and live in single-parent and multi-child households are at the greatest risk of experiencing social exclusion in Slovakia.

Social exclusion unveils the multidimensional nature of poverty. However, being severely materially deprived, living in a jobless household and having a limited education do not qualify as being socially excluded from the dignity of an individual’s position within society.

Assisting Organizations and Programs

  1. Slovakian Social Services supports pensioners and people with severe disabilities. It “designs legislation concerning social insurance and pensions” to ensure a just redistribution of pensions in the National Economy.
  2. The Social Security Act of 2014 aims to tackle poverty and social exclusion among senior citizens by providing them with social protection. The act includes the following provisions: health care benefits, social insurance, state social support and social assistance. These rights and obligations ensure that seniors have access to the necessary resources to lead a dignified life.
  3. The European Union (EU) is planning to allocate a significant portion of the European Social Fund Plus (ESF+) resources to mitigate the socioeconomic impact of COVID-19 on Slovakia and to achieve the EU’s social targets by 2030. These targets include reducing poverty and social exclusion by 70,000 individuals by 2030.

Conclusion

Slovakia is a relatively prosperous country but faces challenges in fighting poverty and social exclusion. One of the main challenges is the aging population, which cannot be addressed quickly. As the proportion of older people increases, Slovakian society will need to adapt to the economic, social and political consequences that come with it. This will require essential reforms in social welfare, employment, health and education.

– Pamela Fenton

Pamela is based in Wall Township, NJ, USA and focuses on Global Health and World News for The Borgen Project.

Photo: Unsplash

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Elderly Poverty in the United Arab Emirates 

Elderly Poverty in the United Arab Emirates The United Arab Emirates (UAE) has experienced an increase in life expectancy which means the mortality rate has reduced. This is a positive development with the growth of the elderly population reaching 32,433 in 2005 from 24,520 in 1995. However, this has meant an increase in the old-age dependency rate as the elderly population has grown faster than the working-age population after 2015. The rise of elderly poverty in the United Arab Emirates has become an issue. This could further increase between 2020 to 2050 from 311,000 – 3% of the population to 2 million – 19.7%. Unfortunately, there is no data on elderly poverty in the United Arab Emirates, according to the UNFPA report. But the literacy data can help with predictions. The illiterate population of men and women aged 60+ stands at 3.9% and 16.1% respectively, according to the same report, which puts them in a vulnerable state as during their working years they could earn less.

Lower Social Subsidy

Consequently, having a below pensionable income with lower social subsidy is financially constraining. These individuals are entitled to a subsidy of AED 1,095 which is less than their counterparts of average individuals who have a subsidy of AED 2,190, according to the Dubai School of Government 2013 policy brief. The recent governmental initiatives include the 2019 federal law. It grants the Emirati senior citizens rights such as the right to protection from violence and abuse, the right to social and medical care, the right to an enabling environment, housing, education and work, etc.

Additionally, the law covers penalties and fines for the mistreatment of the elderly and the social subsidy has been revised to AED 4,400. However, this excludes financially constrained individuals, according to the Dubai School of Government. To make matters worse, recently the pensionable salary has been increased, which further limits the benefits the elderly can access.

Under Family Care

Nevertheless, none of this prevents financial abuse. This abuse is more common than any other type of abuse and has resulted in elderly poverty in the United Arab Emirates. The older population lives a poorer quality of life than the normal standard, according to the Dubai School of Government. Inheritance issues prevail widely with children disputing over their parents’ wealth especially when the parents are illiterate or suffer from health conditions like dementia. Courts grant custody of the parents to the children which allows the children full access to their parents’ funds. Unfortunately, this occurs while the parents end up with no financial autonomy, the Dubai School of Government reports.

Furthermore, elderly abuse is common in poor families who cannot afford to take care of the elderly family members. They may also lack proper education in doing so. Moreover, due to work circumstances, the elderly members are home alone which leads to further negligence.

Reforms

Regarding financial abuse, more laws and procedures are necessary to protect the financial security of the elderly, says the Dubai School of Government. This could include improvements in the legal framework that limits guardians from accessing certain information about their wards. The Dubai School of Government states that enrolling in educational programs should be mandatory for the elderly to learn about self-reliance, vigilance and medical precautions that they need to adhere to.

With this in mind, a social startup Senior First has taken the initiative to cater to the elderly. It provides access to health and safety services that are cheap and offer discounts through a phone application. Many of these are government services that many elderly people do not know about. Among them is the TAMM Van. This is a transport service available at all locations with a 50% reduction in taxi fares.

Massarah Card offers discounts in the fields of medicine, banking and other services. In addition to the government entity, private enterprises like the telecommunication services of Du and Etisalat in collaboration with the government provide 50% and 60% discounts on phone plans.

Improving the Public Nursing Homes

The government can increase the number of public nursing homes by allocating one to every emirate instead of one for the whole country. On the other hand, it could subsidize private nursing homes, according to the Dubai School of Government. The government attempted to solve this in the form of the Thukher Card which provides discounts at private clinics, nursing homes and testing laboratories, according to Senior First.

Notably, elderly poverty in the United Arab Emirates is a concern despite the lack of coverage of the issue. A deficiency of coverage has led to a lack of public awareness which results in the persistence of this issue. Hence, prioritizing this age group is a must to not only eradicate their poverty but also prevent it from happening again.

  – Hafsa Dijoo 
Photo: Flickr