AAE and IAA in Joint Discussion Forum with ILO and ISSA in Geneva

For the last 6 years, the Actuarial Association of Europe (AAE) and the International Actuarial Association (IAA) have organized a discussion forum together with two important international bodies - the International Labour Organization (ILO), and the International Social Security Association (ISSA). The purpose of this forum is to exchange views on current projects and issues, and to seek further areas of collaboration - all to help improve the soundness of decisions being made on societal issues having a global impact. On September 30th sixteen participants from the four organizations engaged in a full day of discussions.

An important activity at the ILO and ISSA has been the preparation of Guidelines on Actuarial Work for Social Security. This project is nearing maturity with a launch due early in 2017; the IAA and the AAE have provided input into this process.

Recently, the ILO has focused on employment injury insurance in global supply chains. Issues and examples (in particular from Bangladesh) were presented, and the IAA has been asked for any insights it can offer.

Chris Daykin presented the AAE work carried out on the implications for pensions of the ageing population in the EU, by the Social Security Subcommittee and its Adequacy Task Force. The sustainability and adequacy of pension systems remains an important topic for the ILO and the ISSA, not least the issue of how to best measure these concepts, and the need for continued work and dialogue on these subjects was emphasized.

The Forum also discussed the International Public Sector Accounting Standards Board’s consultation paper on the recognition and measurement of social benefits, as well as the European System of National and Regional Accounts (ESA 2010). The IAA, assisted by the AAE, responded to the IPSASB consultation earlier in the year. The need to continue to present the arguments for accounting mechanisms that give a more sensible picture of the sustainability of social benefits systems was discussed and agreed by all participants.