Social services in the 20th century

The social services grew extensively in the 20th century. Early in the century in Britain, for example, as well as bringing in the health insurance scheme, the British government introduced pensions for elderly people, insurance payments for people without jobs, and other such benefits. After World War I, the great worldwide industrial slump created new problems, for millions of people were suddenly out of work. During World War II, a new plan for the social services was introduced which led to family allowances (payments to help parents pay for the cost of their children); a national insurance scheme for all; national assistance (now called income support) to replace the old and much despised Poor Law; and a new system of free education for all children. These benefits made Britain into what is known as a welfare state.

A welfare state is one in which the government (national and local) organizes services to try to eliminate problems such as poverty, disease, poor housing, and unemployment. Each person is believed to have a right to a certain standard of living which includes, for example, the right to treatment for illness. Other welfare states include the Netherlands, France, the Federal Republic of Germany, the Scandinavian countries, and New Zealand.

In the United States, government-funded social and welfare services were introduced somewhat later than in Britain, Europe, and New Zealand. In the 1930s, the years of the great depression, President Franklin D. Roosevelt introduced the New Deal policy to help the 13 million wage earners who had no jobs and the 5 million families living in poverty. Roosevelt believed strongly that if private industries could not provide jobs, then the government should step into help. The 1935 Social Security Act was passed to provide funds to help unemployed workers, and to create old-age pensions for qualified workers retiring after the age of 65.