The risk of poverty—particularly affecting families with children and pension-age residents—cannot be reduced through isolated short-term measures alone, according to an interim evaluation report by the Ministry of Welfare on social protection and labour market policy, which the government has taken note of.
The report assesses the implementation of the Social Protection and Labour Market Policy Guidelines for 2021–2027, reviewing results achieved so far, identifying key challenges, and outlining future priorities.
As the Ministry informed LETA, the risk of poverty in Latvia remains above the European Union average. At the same time, statistical data indicate that the impact of social benefits and other transfers on reducing poverty risk remains limited, especially for families with children and pensioners.
In the area of material support, the medium-term objective has been assessed as only partially achieved. Although all planned measures up to 2024 have been implemented, around half of the performance indicators have not been met. The report concludes that this is due to low average income levels, high income inequality, insufficient adequacy of the social protection system, and rising living costs.
The Ministry notes that
the most significant contribution to reducing poverty and social exclusion risk has come from reforms to minimum income support,
revisions to family state benefits, regular pension indexation, and increased benefits for persons with disabilities and seniors. These measures have improved the financial situation of more than 100,000 low-income residents.
Social protection expenditure in Latvia has increased both in nominal terms and as a share of GDP, but it still remains lower than in most EU member states. In addition, high inflation and rising living costs have significantly reduced purchasing power, limiting the tangible impact of improvements in everyday life.
In the field of social services, the medium-term objective is generally considered achieved, although some indicators have not been fully met. A key development has been the introduction of a minimum basket of social services in municipalities, as well as the expansion of community-based services, including mobile palliative care at home, support person services, and services for children with functional impairments.
However, the evaluation reveals uneven availability and quality of social services across regions, increasing workloads for social workers, and rising demand for care services driven by an ageing population. The report concludes that
further strengthening of social worker capacity and development of the long-term care system are needed.
In the labour market, positive developments include increases in the minimum wage, improvements in its setting mechanism, and active employment measures that have helped reduce long-term unemployment.
At the same time, several challenges remain unresolved—underutilisation of the employment potential of persons with disabilities, a high number of serious and fatal workplace accidents, and a growing share of young people not engaged in education or employment. The Ministry concludes that more targeted support measures are needed for young people.
In the field of state-provided legal aid, the medium-term objective has been partially achieved, as not all planned measures have been completed. The use of digital solutions has increased, and public trust in the judicial system has improved. However,
public awareness of legal rights and alternative dispute resolution options remains insufficient.
Among key efforts to strengthen governance in social protection and labour market policy are the development of digital solutions, enhanced cross-sector cooperation, raising the prestige of social work, and advancing gender equality measures. Nevertheless, challenges persist in attracting qualified labour, ensuring competitive salaries, and improving data quality.
Overall, the report concludes that structural problems remain in Latvia’s social protection and labour market systems, requiring comprehensive, long-term solutions.
In the next planning period, continued targeted support for families with children is planned, alongside strengthening the long-term care system, improving service quality across the country, and developing a data-driven, sustainable, and crisis-resilient social protection and labour market policy.
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