Social Insurance Checkpoint
Social insurance funded programs include Social Security, Workmen’s compensation, Medicare, and unemployment benefits. Each of these programs is funded by a portion of a person’s check. A certain amount is taken out of each check and put in an “account” for future use. Some of these programs even include a match payment made by the employer. This is mostly used for Social Security. The benefits from each of these programs are used in the event of a future time of unemployment. The benefits from Social Security are used when a person is old enough to retire. Workmen’s compensation benefits are available to workers that have been hurt upon the job and are no longer able to work for a certain amount of time. Benefits that are available when a person is unemployed are only available if the person is terminated by no fault of their own.
I have found that there is one major drawback to social insurance, the growth in our population. With an increase in population and a decrease in the job market, it is harder for people to go back to work when they have been laid off. Our economy at this point is still unstable. With more and more workers joining the workforce each day and our jobs being sent overseas it is easy to see the drawback to social insurance programs. The one drawback for Social Security according to Chambers & Wedel (2005) is that if we are to make it to the projected year of 2040, those who are in workforce will be forced to provide a higher amount of money out of their checks. I feel that any drawback related to social insurance funding is based upon the growth in population and the decrease in our economy.