Improving the Chinese Welfare State in the New Millennium

This paper reviews the major innovations at improving the Chinese welfare state since the 1990s. After two decades of economic reform, the social welfare system badly needed an overhaul. Introduction of the market economy and market inroads into the welfare regime has created havocs that harm the social fabric. The most serious deficiencies include the lack of a safety net, a patchy social insurance system, unaffordable health care, underdevelopment of the third sector, and lack of trained personnel to ameliorate personal distress. Tracing China’s attempt to plug these loopholes, the paper chronicles and analyzes state policies in consolidating social assistance; extending social insurance; reforming healthcare; promoting and regulating NGOs; and developing social work training and personal social services. The paper ends with a brief assessment of the deficiencies that hinder the full fledged development of China’s welfare state as the first decade of the 21st century draws to a close.