Simultaneously to the introduction of the public administration reform, the government has instigated three other social reforms aimed at the rstructuring of the education, social security, and health care systems. Changes initiated in 1989 have not covered these areas of social life. Further delay of reform in these vital spheres of public life might have possed a thread to thhe sustainde, stable development of the country.
 
      That is why the complex reform efforts currently being undertaken are so important for the overall success of the social and economic transformation of Poland.
 
 
HEALTH CARE SYSTEM
 
      Until now, attempts to improve the quality and the scope of services, as well as to raise wages in the health sector, have been ineffective. Increased funds have not brought about an improvement in medical seervices nor have they satisfied wage claims. To achieve qualitative changes, a new financing system for the health care systeems has been elaborated.
 
      With the application of the Law on General Health Insurance, new institutioons - the Health Funds - will become responsible for the collection of insurance contributions and the payments of benefits. The resources at the disposal of the Health Funds will mainly be derived from a 7,5% levy on the personal income of all people covered by the system. The Funds will contract medical services from both public and private health service institutions.
 
      The introduction of the funds will bring about the separation of functions between the purchaser and provider of services, and will create a medical services market in witch health care units will complete for Health Fund's contracts.
 
      Sixteen Health Funds have been established, and will operate in the new voivodships, as well as one sectoral Fund for members of the army, police, railway, and custom services.
 
      The Health Fund system comes into effect on January 1-st, 1999.
 
 
EDUCATION
 
      The goal of the education reform is to improve the overall level of education in the society, and adjust its contents to meet the challenges of the present. An important element in this process is harmonisation of educational standards in Poland with those of the Member States of the European Union in order to attain full mutual recognition of diplomas and certificates.
 
      The reform introduces new organisational, curricular and moniitoring systems as well as new regulationns on working conditions and the professional status of teachers.
 
      The new schooling system will begin with 6 years of primary school and 3 years of junior hiigh school. Having completed these, a student will be able to choose a three-year high school, or a two-year vocational school. High school graduation is a precondition for starting university (college) education.
 
      The reform will introduce the standards for thee knowledge and skills that a student should acquire at each stage of education.
 
      In the new system, all primary and secondary schools are under the supervision of local and regional self-governments.
 
      The law amending the previous Act on the Educational System was adopted by the Sejm on July 25, 1998. Work on the implementation of the Act and other elements of educational reform are supposed to be completed by Septembeer 1, 1999.
 
 
PENSION BENEFITS SYSTEM
 
      Leaving the pension system in its present form could result in a financial disaster for the state budget. The present social security system is based on the repartition principle, meaning that it is financed from the current contributions of the working population. The ageing of the population is placing the whole system at risk.
 
      Authors of the reform have decided to introduce a mixed model containing elements of a repartition and a capital funding system. Following the reform, pension benefits will originate from three sources:

1. Benefits paid out by the Social Security in a way similar to the present system but with mandatory contributions of insured persons accumulating to individual accounts.
   
2. Benefits from capitalised pension funds - 1/3 of a mandatory contribution is earmarked for this.
   
3. Benefits from voluntary insurance with insurance companies.

      The system allows, on the one hand, for an increase in future benefits, depending on the amount paid in by individual contributors, and on the other guarantees a minimum pension.
 
      People born after December 31, 1948 are eligible for thhe new system.
 
      The reform becomes effective on January 1-st, 1999, with the provisions pertaining to pension funds of the second pillar coming into operation on April 1-st, 1999.