The First World War caused greater social
and political upheaval in Europe than in North America. For the first time
in the West, entire societies were mobilized for war. This required
governments to become involved in economic and social issues on an
unprecedented level, introducing such initiatives as conscription,
rationing of food and supplies, and governmental control over many
industries. This war-inspired expansion in the powers of governments led
many people to believe that fundamental social change was possible, and
such change came to be seen as a desired outcome of the war years in
almost every European country.
As the war came to an end, Europe experienced huge demographic,
economic and political problems. The tragic human losses and the physical
destruction sustained in the Great War had immeasurable impacts on
societies, and the fall of the Russian, Austro-Hungarian and Ottoman
empires plunged a large part of the continent into revolution, civil war
or political chaos.
In the late 19th and early 20th centuries, many
countries adopted public pension programs. The question of whether to make
them contributory or non-contributory became an important issue.
Contributory programs usually cost less because workers and employers pay
into them, but they take longer to implement because people must pay into
them for a number of years before they receive benefits. Non-contributory
programs can be introduced much more quickly because payments can begin as
soon as the legislation authorizing them is enacted, but the government
assumes the responsibility of paying the benefits. (A.S. Orloff, The
Politics of Pensions (London, 1993), p. 14.)
The creation of new democratic, socialist and communist states in these
regions led the issue of public pensions to grow significantly in
importance as the role of the state in the area of social security, among
others, became an important topic of debate. This period therefore saw the
establishment of various types of public pension programs in many
countries. In 1919 alone, Italy, Portugal, Spain and Uruguay all adopted
pension programs, and in 1925 Great Britain enacted a contributory pension
system similar to the German system introduced in 1889.
The end of the war also saw the emergence of a spirit of international
co-operation and improvement. The Geneva-based League of Nations was
created as a result of the Versailles Peace Treaty, which established the
terms of the peace in 1919. The purpose of the League involved not only
international efforts to deter war, but also the promotion of social
reforms among the member states.
British Empire Delegation to the Third International Labour Conference,
Geneva, 1927.
One of these proposed reforms was the adoption of public pensions,
which was included in a Labour Convention written into the Versailles
Treaty. The International Labour Organization, also based in Geneva, was
created to promote such issues. This was followed in 1927 by the founding
of another international body committed to advancement of social security
around the world, the International Social Security Association. Canada
continues to be an active member of both the International Labour
Organization and the International Social Security Association.