Social Policies
#1Key Findings
With a wide-ranging social safety net, Norway takes the SGI 2022’s top rank (rank 1) with regard to social policies. Its score on this measure has improved by 0.1 point since 2014.
Education is free at all levels, and attainment is very high, though PISA scores are below average in some areas. Broad and generous social-insurance programs keep poverty rates very low, though the issue is gaining in political significance. Though the universally available health care system is of high quality, hospital consolidation has drawn protests in some local areas.
Generous family benefits and gender-equality programs enable a high employment rate for women. The pension system is based on a model that indexes benefits to wages earned during economically active years, and contains voluntary economic incentives to delay retirement.
Integration policy is well-organized and well-funded, but non-Western immigrants continue to experience higher unemployment rates and are paid less than native Norwegians. Local authorities are compensated economically by the state if they can attract immigrants to settle in their communities. Crime rates are quite low.
Education is free at all levels, and attainment is very high, though PISA scores are below average in some areas. Broad and generous social-insurance programs keep poverty rates very low, though the issue is gaining in political significance. Though the universally available health care system is of high quality, hospital consolidation has drawn protests in some local areas.
Generous family benefits and gender-equality programs enable a high employment rate for women. The pension system is based on a model that indexes benefits to wages earned during economically active years, and contains voluntary economic incentives to delay retirement.
Integration policy is well-organized and well-funded, but non-Western immigrants continue to experience higher unemployment rates and are paid less than native Norwegians. Local authorities are compensated economically by the state if they can attract immigrants to settle in their communities. Crime rates are quite low.
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To what extent does education policy deliver high-quality, equitable and efficient education and training?
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Education policy fully achieves the criteria.
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Education policy largely achieves the criteria.
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Education policy partially achieves the criteria.
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Education policy does not achieve the criteria at all.
Norway has a tradition of high educational attainment and aims to ensure that all young people obtain 13 years of formal education. The Norwegian labor force is thus one of the most educated in the world, as measured by the share of its working population that has completed secondary or tertiary-level education. Like other Scandinavian countries, the Norwegian government spends a comparatively significant share of its budget on public education. Education is tax-financed and available without fees for everyone and at all levels, including PhD students at state universities. Free education for all is a shared, important policy objective. The state provides both grants and subsidized loans in order to achieve this objective. Most schools and universities are public. Private alternatives exist, but they are primarily financed by the state and run on a non-profit basis. Students with difficulties in learning or socialization receive a high level of attention.
In spite of the high levels of educational attainment, there are shortcomings evident within the system. The share of degrees granted in scientific disciplines is low by international standards, which limits the impact of public investment in education on the country’s competitiveness and capacity for innovation. It is also worrying that a significant share of youth who start a course of education drop out before completing their degree programs. Another concern is the quality of education in certain subject areas. In the OECD’s PISA study, Norwegian students’ performance have, for several years, been below the OECD average in math, problem-solving and general scientific knowledge. In order to improve these performances, the country’s teaching establishment may need to put greater emphasis on providing students with incentives to achieve, improving teaching quality and instilling a culture of excellence.
In spite of the high levels of educational attainment, there are shortcomings evident within the system. The share of degrees granted in scientific disciplines is low by international standards, which limits the impact of public investment in education on the country’s competitiveness and capacity for innovation. It is also worrying that a significant share of youth who start a course of education drop out before completing their degree programs. Another concern is the quality of education in certain subject areas. In the OECD’s PISA study, Norwegian students’ performance have, for several years, been below the OECD average in math, problem-solving and general scientific knowledge. In order to improve these performances, the country’s teaching establishment may need to put greater emphasis on providing students with incentives to achieve, improving teaching quality and instilling a culture of excellence.
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To what extent does social policy prevent exclusion and decoupling from society?
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Policies very effectively enable societal inclusion and ensure equal opportunities.
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For the most part, policies enable societal inclusion effectively and ensure equal opportunities.
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For the most part, policies fail to prevent societal exclusion effectively and ensure equal opportunities.
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Policies exacerbate unequal opportunities and exclusion from society.
Like other Scandinavian countries, Norway is a relatively equitable society. Poverty rates are among the lowest in the world. The Norwegian government has assumed responsibility for supporting the standard of living of disadvantaged and vulnerable groups. As a result, expenditures for social policy are well above the EU average. Government-provided social insurance against social risks is strong in almost all areas. Family-support, in the form of child allowances, paid-leave arrangements and childcare, is generous. Social-insurance benefits related to work incapacity, old age, disability, sickness and occupational injury benefits are wage-related and provided at levels well above any poverty line.
The issue of poverty has gained political significance in the last decade. Exclusion from participating in the workforce is the primary cause of poverty, which affects immigrants and individuals suffering from inadequate health services to persons with drug addiction and mental conditions. When it comes to combating poverty, there has been a clear policy shift away from increasing cash transfers and toward the provision of social services designed to facilitate improved health and the acquisition of occupational qualifications.
The issue of poverty has gained political significance in the last decade. Exclusion from participating in the workforce is the primary cause of poverty, which affects immigrants and individuals suffering from inadequate health services to persons with drug addiction and mental conditions. When it comes to combating poverty, there has been a clear policy shift away from increasing cash transfers and toward the provision of social services designed to facilitate improved health and the acquisition of occupational qualifications.
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To what extent do health care policies provide high-quality, inclusive and cost-efficient health care?
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Health care policy achieves the criteria fully.
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Health care policy achieves the criteria largely.
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Health care policy achieves the criteria partly.
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Health care policy does not achieve the criteria at all.
Norway has an extensive healthcare system that provides high-quality services to its resident community. All residents have a right to publicly provided services if needed. This applies both to treatment at hospitals organized as state enterprises, as well as long-term care services provided by local authorities. There is a patient copayment system involving a upper limit of NOK 2,921 per patient per year. Local care services also include copayments that are set at local levels. Within this system of universal health insurance there is an anomaly: Dental healthcare is a market system, in which the state pays for children and a few other groups only. Despite the role of copayments and market elements, the system as a whole provides high-quality services for the entire population. Social inequality persists with regard to health and longevity. However, these inequalities are better explained by lifestyles and occupational hazards than by unequal access to and quality of the health services provided.
Although the entire population has access to high-quality healthcare services, the efficiency of this system is questionable. A major structural healthcare reform introduced in 2002 transferred ownership of all public hospitals from individual counties to the central state. This shift involved the creation of five healthcare regions that were tasked with managing the provision of services. The objective of the reform was to institute a stricter budget discipline by streamlining healthcare services and promoting regional coordination. In recent years, a reform involved closing down or integrating several smaller hospitals with larger hospitals and encouraging more cost-effective treatment and equitable access to expertise. However, this reform has met with local resistance, as citizens balk at facing long travel distances to the next hospital. Like many other countries, Norway faces the challenge of meeting ever-higher expectations regarding treatment among a population with increasing living standards in a context of increasing health costs.
Although the entire population has access to high-quality healthcare services, the efficiency of this system is questionable. A major structural healthcare reform introduced in 2002 transferred ownership of all public hospitals from individual counties to the central state. This shift involved the creation of five healthcare regions that were tasked with managing the provision of services. The objective of the reform was to institute a stricter budget discipline by streamlining healthcare services and promoting regional coordination. In recent years, a reform involved closing down or integrating several smaller hospitals with larger hospitals and encouraging more cost-effective treatment and equitable access to expertise. However, this reform has met with local resistance, as citizens balk at facing long travel distances to the next hospital. Like many other countries, Norway faces the challenge of meeting ever-higher expectations regarding treatment among a population with increasing living standards in a context of increasing health costs.
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To what extent do family support policies enable women to combine parenting with participation in the labor market?
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Family support policies effectively enable women to combine parenting with employment.
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Family support policies provide some support for women who want to combine parenting and employment.
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Family support policies provide only few opportunities for women who want to combine parenting and employment.
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Family support policies force most women to opt for either parenting or employment.
The labor market participation rate for women in Norway is among the highest in the world; at above 70% it is almost at par with that of men. However, there is a significant and persistent gender segregation of the labor market: women work part- time in the public sector, men work full-time in the private sector. The fertility rate has for several years been close to the population replacement rate, but has in the last few years fallen, coming closer to the European average.
Norway’s family policy has been driven by a widely shared objective of providing women the same economic and career opportunities as those available to men. On the one hand, this has implied a gradual erosion of benefits and tax rules that favors the single-breadwinner family. On the other hand, a generous system of paid parental leave has been developed, now providing a 12-month leave during which one receives 80% of one’s regular wage. One-third of the paid leave is reserved for the father only. To promote labor market participation for parents with children of preschool age, a right to heavily state-subsidized childcare services has been introduced.
Norway’s family policy has been driven by a widely shared objective of providing women the same economic and career opportunities as those available to men. On the one hand, this has implied a gradual erosion of benefits and tax rules that favors the single-breadwinner family. On the other hand, a generous system of paid parental leave has been developed, now providing a 12-month leave during which one receives 80% of one’s regular wage. One-third of the paid leave is reserved for the father only. To promote labor market participation for parents with children of preschool age, a right to heavily state-subsidized childcare services has been introduced.
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To what extent does pension policy realize goals of poverty prevention, intergenerational equity and fiscal sustainability?
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Pension policy achieves the objectives fully.
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Pension policy achieves the objectives largely.
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Pension policy achieves the objectives partly.
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Pension policy does not achieve the objectives at all.
Aging represents a significant challenge for public finances in Norway, as it does for all European countries. Nevertheless, based on current expectations, Norway’s pension system is fairly well-positioned to sustain an aging population over the next few decades. A radical pension reform was introduced in 2011. The reform involved basing one’s future benefits more heavily on the wages received during one’s economically active years as well as replacing a standardized mandatory pension age with a system of voluntary exit that is supplemented by strong economic incentives to postpone retirement. In addition, new principles to be applied in adjusting pensions to demographic factors implies a significant reduction in the future growth of aggregate pension expenditures. In sum, the new system will provide future generations with the same pension level as that provided for today’s retirees, if they extend their working life by one-third of their expected rise in longevity. Even though the new system installed a closer relationship between one’s economic career and one’s retirement income, a guaranteed minimum pension for all has been retained. Pensions are by international comparison generous and equitable, and are set to remain so. The universal basic minimum pension is large enough to essentially eliminate the risk of poverty in old age. The recent reform has strengthened the link between contributions and benefits for earnings-related pensions, while improving the system’s intergenerational equity. The population has broad confidence in the sustainability of state-funded pensions, and there has been no significant push for private sector pension insurance. However, there are concerns that funding the scheme will prove increasingly costly in the long run.
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How effectively do policies support the integration of migrants into society?
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Cultural, education and social policies effectively support the integration of migrants into society.
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Cultural, education and social policies seek to integrate migrants into society, but have failed to do so effectively.
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Cultural, education and social policies do not focus on integrating migrants into society.
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Cultural, education and social policies segregate migrant communities from the majority society.
Integration policy is fairly well organized and well funded in Norway. The key policy objective is to ensure access to education and employment for immigrants, and by so doing, prevent dependencies on economic benefits. While people with an immigrant background have become hugely popular within sports and culture, non-Western immigrants continue to suffer higher unemployment rates and less paid, more insecure jobs than native Norwegians. There are complaints of discrimination both in the labor and in housing markets, as well as in day-to-day life. Nonetheless, Norway has proved more successful than many other OECD countries in terms of integrating immigrants into the labor market.
There is a tension between the pursuit of a policy of multiculturalism and respect for ethnic differences, and the belief in strict principles of equal treatment which, according to its critics, easily becomes a kind of hidden pressure for assimilation. Opinions also differ when it comes to the question of whether immigrants with a (non-Western) refugee background should be treated differently than European immigrants who legally seek employment within the common European labor market.
Integration policies include providing free language training to immigrants and allocating additional resources to schools with a high share of immigrant children. Some of these resources are devoted to preserving cultural identity. For instance, children are offered additional classes in their mother tongue. As a rule, applicants for citizenship must have lived in the country for at least eight out of the last 10 years (six years if their income is above a certain threshold), and either be fluent in Norwegian or have attended courses in Norwegian for 300 hours. Immigrants with permanent residence status are entitled to vote in local, but not at national elections. In order to prevent immigrants from concentrating in the largest cities only, local authorities are compensated economically by the central state if they can attract immigrants to settle in their community.
Although many voters express concerns regarding immigration, Norway does not have a significant political party that pursues an openly xenophobic or particularly strong anti-immigration policy. Surveys also report that the immigration issue has become less salient for voters in the last few years. At the same time, the political consensus has been to pursue a “fair but strict” immigration policy.
There is a tension between the pursuit of a policy of multiculturalism and respect for ethnic differences, and the belief in strict principles of equal treatment which, according to its critics, easily becomes a kind of hidden pressure for assimilation. Opinions also differ when it comes to the question of whether immigrants with a (non-Western) refugee background should be treated differently than European immigrants who legally seek employment within the common European labor market.
Integration policies include providing free language training to immigrants and allocating additional resources to schools with a high share of immigrant children. Some of these resources are devoted to preserving cultural identity. For instance, children are offered additional classes in their mother tongue. As a rule, applicants for citizenship must have lived in the country for at least eight out of the last 10 years (six years if their income is above a certain threshold), and either be fluent in Norwegian or have attended courses in Norwegian for 300 hours. Immigrants with permanent residence status are entitled to vote in local, but not at national elections. In order to prevent immigrants from concentrating in the largest cities only, local authorities are compensated economically by the central state if they can attract immigrants to settle in their community.
Although many voters express concerns regarding immigration, Norway does not have a significant political party that pursues an openly xenophobic or particularly strong anti-immigration policy. Surveys also report that the immigration issue has become less salient for voters in the last few years. At the same time, the political consensus has been to pursue a “fair but strict” immigration policy.
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How effectively does internal security policy protect citizens against security risks?
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Internal security policy protects citizens against security risks very effectively.
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Internal security policy protects citizens against security risks more or less effectively.
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Internal security policy does not effectively protect citizens against security risks.
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Internal security policy exacerbates the security risks.
Norway is traditionally a safe country. The number of homicides per capita is among the lowest in the world, and incarceration rates are also small. Police presence is rarely significant, and incidents of police activism are rare. In general, police officers remain unarmed, although during periods of heightened security risks, police officers have carried arms.
Prison sentences are relatively mild, and Norway has relied instead on long-term crime-prevention policies. Theft and petty crimes are relatively infrequent, although there has been some concern over increasing levels of drugs- and gang-related crimes. There is a perception that knife- and gun-related crimes, often involving youth, have risen in frequency and brutality, particularly in certain urban areas. In recent years, various reforms have sought to enhance cooperation between various police and intelligence units, both internally and with respect to cross-border cooperation.
In the aftermath of the 22 July 2011 terrorist assaults on the government compound in Oslo and on the summer camp of the Labor Party youth organization, the police service was severely criticized for not having put necessary precautions in place. This revealed shortcomings in police organization and logistics, including a low capacity for planning and implementation within the central police directorate. Notable improvements have since been made, including efforts to make better use of resources by requiring the police and military to coordinate their resources allocated for anti-terrorism measures and situations requiring special forces.
Prison sentences are relatively mild, and Norway has relied instead on long-term crime-prevention policies. Theft and petty crimes are relatively infrequent, although there has been some concern over increasing levels of drugs- and gang-related crimes. There is a perception that knife- and gun-related crimes, often involving youth, have risen in frequency and brutality, particularly in certain urban areas. In recent years, various reforms have sought to enhance cooperation between various police and intelligence units, both internally and with respect to cross-border cooperation.
In the aftermath of the 22 July 2011 terrorist assaults on the government compound in Oslo and on the summer camp of the Labor Party youth organization, the police service was severely criticized for not having put necessary precautions in place. This revealed shortcomings in police organization and logistics, including a low capacity for planning and implementation within the central police directorate. Notable improvements have since been made, including efforts to make better use of resources by requiring the police and military to coordinate their resources allocated for anti-terrorism measures and situations requiring special forces.
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To what extent does the government demonstrate an active and coherent commitment to promoting equal socioeconomic opportunities in low- and middle-income countries?
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The government actively and coherently engages in international efforts to promote equal socioeconomic opportunities in low- and middle-income countries. It frequently demonstrates initiative and responsibility, and acts as an agenda-setter.
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The government actively engages in international efforts to promote equal socioeconomic opportunities in low- and middle-income countries. However, some of its measures or policies lack coherence.
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The government shows limited engagement in international efforts to promote equal socioeconomic opportunities in low- and middle-income countries. Many of its measures or policies lack coherence.
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The government does not contribute (and often undermines) efforts to promote equal socioeconomic opportunities in low- and middle-income countries.
Norway is a leading contributor to bilateral and multilateral development cooperation activities, as well as to international agencies focusing on development issues. Norway allocates 1% to the OECD DAC-approved development aid mechanism. In addition, many Norwegian NGOs play a prominent role in international aid. Norway has further strengthened such policies by increasing its spending and promoting specific initiatives (e.g., education for women, global health, the fight against deforestation and the sustainable development of oceans).
Norway’s international aid activities seek to combat poverty and improve women’s ability to participate fully in the economy. In general, Norway favors global free trade arrangements, but still maintains a high level of protectionism with respect to importing agricultural products. However, the 30 least-developed countries have free access to the Norwegian market with their exports, and imports from these countries have risen.
As a response to the increased number of migrants arriving in Europe, the link between development in fragile societies and developments in domestic politics has become firmer. There is a growing awareness of the need for social support measures in creating a safe and secure society.
Norway’s international aid activities seek to combat poverty and improve women’s ability to participate fully in the economy. In general, Norway favors global free trade arrangements, but still maintains a high level of protectionism with respect to importing agricultural products. However, the 30 least-developed countries have free access to the Norwegian market with their exports, and imports from these countries have risen.
As a response to the increased number of migrants arriving in Europe, the link between development in fragile societies and developments in domestic politics has become firmer. There is a growing awareness of the need for social support measures in creating a safe and secure society.