Welfare

The phrase welfare is quite expansive and can refer to a number of different things. In general (and depending on your welfare definition), welfare can be broken down into benefits offered by governments, non-profit entities and for-profit enterprises. The classic definition of welfare is providing something without the expectation of receiving something in return. It also refers to the overall well being of an individual, group or nation, but this definition will not be the focus of this article.

Government Welfare

The history of welfare is quite expansive.  Governments throughout the world have provided various levels of welfare for centuries. Early records show that the English Parliament passed the English Poor Law of 1601 and, even earlier, that the Romans were engaged in different public welfare pursuits under Caesar Trajan, who lived during the second century A.D. Other examples could be cited. The bottom line is that it is nothing new to see governments helping others with various levels of welfare needs.

In the United States, welfare programs began to roll out aggressively during the Great Depression, beginning with the Social Security Act of 1935. Although Social Security retirement benefits are not generally considered a form of welfare, there are several other programs managed by the Social Security Administration that are. These include Social Security Disability Insurance (“SSDI”) and Supplemental Security Income (“SSI”). Beyond Social Security, the United States government provides a variety of other public welfare programs including Food Stamps (which are formally known under the name of Supplemental Nutrition Assistance Program), the Temporary Assistance For Needy Families (“TANF”) program, WIC program benefits, unemployment insurance and more.

Non-Profit Welfare

Non-profit organizations are also formed in an effort to distill welfare-like benefits to individuals who may not necessarily receive any type of food, medical care or money from government-based programs. There is also a lot of overlap though in this area, which is not necessarily a bad thing.  These organizations are also known more for their social welfare and the various social welfare programs they promote.  One example of this is the housing program managed by Habitat For Humanity.

One great example of a non-profit program dedicated to providing welfare benefits is the Public Welfare Foundation. The Public Welfare Foundation was founded in 1947 by a wealthy newspaper franchise owner who wanted to promote the overall happiness and well-being of people. It currently accepts applications for various gifts and grants for programs that it deems worth. It also looks for ideas to be brought to it to determine how to best fulfill its stated purpose.

For-Profit Welfare

This is the least thought of welfare option – that given by for-profit companies. What exactly are we talking about here? The technical term for it is “welfare capitalism.” This corporate welfare is defined as employers providing various benefits that they are not otherwise required to give to workers and employees. This includes offering health care coverage (whether the company covers a portion of the health care premium or all of it for the employee), retirement savings matching and profit sharing plans. Of course, some may content that welfare capitalism isn’t a type of welfare at all. They do have a point, but classical definitions say otherwise.

Source: brookings.edu/topics/welfare.aspx

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